To: Board of Supervisors
From: Public Works
Agenda Section: Consent
SUBJECT:
Purchase of Two (2) DYNAPAC Chip Seal Rollers CP1200W, Authorization to Enter into Purchase Agreement, Declare Equipment Surplus, Establish Fixed Asset Line Roads-Maintenance and Approve the Supplemental Budget for Heavy Equipment (4/5 Vote Required)
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RECOMMENDATION(S):
Recommendation
That the Board of Supervisors:
1. Authorize the purchase of two (2) DYNAPAC Chip Seal Rollers CP1200W;
2. Authorize the Purchasing Agent to enter into a purchase agreement with Pape Machinery;
3. Declare two (2) 1988 Hyster Chip Seal Rollers C530A, equipment numbers 46827 & 46828 as surplus;
4. Approve the attached supplemental budget for fund 3540, budget unit (BU) 330- Heavy Equipment (4/5 vote required); and
5. Direct the Auditor-Controller to establish fixed asset line 8488- Roads Equipment in fund 1200, BU 325- Roads-Maintenance per the attached appropriation transfer.
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SOURCE OF FUNDING:
Roads Heavy Equipment ISF (3540)
Roads Fund (1200)
DISCUSSION:
The Humboldt County Public Works, Heavy Equipment Division is requesting authorization to enter into a purchase agreement for two (2) DYNAPAC chip seal rollers CP1200W. The chip sealer rollers will replace the two existing 1988 Hyster chip seal rollers that are no longer functioning. Should the Board choose to declare the 1988 Hyster chip seal rollers, equipment numbers 46827 & 46828 as surplus, they will be cannibalized and used as parts for the current fleet. The Public Works Heavy Equipment Division received one (1) quote from Pape Machinery a member of the National Joint Powers Alliance (NJPA). Public Works intends to sole source the equipment under the NJPA provision. The total quoted sales price including taxes and fees is $236,841.
FINANCIAL IMPACT:
The total cost to purchase the two (2) DYNAPAC chip seal rollers CP1200W is $236,841. Heavy Equipment intends to purchase the equipment outright using a combination of funds from the Heavy Equipment Internal Service Fund (ISF) 3540 and budgeted funds in the Roads Maintenance budget unit 1200325. The current fund balance as of October 31, 2019, in the Heavy Equipment ISF $1,261,851. The attached supplemental budget is a request to transfer $127,698 from Heavy Equipment ISF to the Heavy Equipment budget, 354033. The attached appropriation transfer will create the fixed asset line 8488 Roads Equipment in the Roads Maintenance budget 1200325 in the remaining amount of $109,143. Funding for this appropriation is available in services and supplies that are anticipated to be unspent in the current fiscal year. There is no impact to the General Fund.
STRATEGIC FRAMEWORK:
This action supports your Board’s Strategic Framework by managing our resources to ensure sustainability of services .
OTHER AGENCY INVOLVEMENT:
None
ALTERNATIVES TO STAFF RECOMMENDATIONS:
The Board could deny the purchase. This is not recommended because it the current equipment is no longer functioning. This will cause a shortage of heavy equipment required for road maintenance.
ATTACHMENTS:
Supplemental Budget- Heavy Equipment (3540330)
Appropriation Transfer- Roads-Maintenance (1200325)
Quote-CP1200W
PREVIOUS ACTION/REFERRAL:
Board Order No.: N/A
Meeting of: N/A
File No.: N/A