4�owN of MEETING DATE: 11/05/12
ITEM NO: L
tosA�oS COUNCIL AGENDA REPORT
DATE: OCTOBER 22, 2012
TO: MAYOR AND TOWN COUNCIL
FROM: GREG LARSON, TOWN MANAGER
SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE AN AGREEMENT
WITH COAST COUNTIES PETERBUILT FOR THE PURCHASE OF A
CATCH BASIN SEWER CLEANER IN AN AMOUNT NOT TO EXCEED
$319,909
RECOMMENDATIONS:
Authorize the Town Manager to execute an agreement with Coast Counties Peterbuilt for the
purchase of a catch basin sewer cleaner in an amount not to exceed $319,909.
BACKGROUND:
As part of the FY 2012/13 Operating Budget, the Equipment Replacement Fund was approved,
providing funds for replacement of high mileage or older vehicles that have become obsolete.
Vehicles may also be replaced because they are not in compliance with regulatory measures,
such as air emission standards or air quality board regulations. The Town's catch basin sewer
cleaner is one of those vehicles that no longer meets the qualifications of the California Air
Resource Board's fleet rules and is recommended for replacement. Additionally, there is a need
for a new catch basin sewer cleaner because of new requirements based on the California Water
Quality Control Board's stormwater permit. Town staff is required to perform ongoing
maintenance of catch basins throughout the downtown area.
Generally the Town Council does not review individual vehicle purchase requests. Fleet vehicle
replacement purchases are reviewed annually through the Operating Budget and approved as part
of the budget process. However, due to the purchase price of this vehicle, staff wishes to provide
this information to Council for review and consideration.
DISCUSSION:
In December 2005, the California Air Resources Board implemented new, specific fleet rules
and regulations, which included a mandate amount of diesel particulate matter emissions per
agency. Under these new regulations, municipal agencies were given until January 2013 to
remove or replace vehicles that are not in compliance.
-� Cwt
PREPARED BY: TODD CAPURSO
DIRECTOR OF PARKS AND PUBLIC WORKS
Reviewed by: Assistant Town Manager Town Attorney Finance
N:\PPW \MANAGEMENT \COUNCIL \COUNCIL REPORTS\2012 Reports \110512 \Catch Basin Sewer Truck Vehicle Purchase.docx
PAGE 2
OCTOBER 22, 2012
MAYOR AND TOWN COUNCIL
SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE AN AGREEMENT
WITH COAST COUNTIES PETERBUILT FOR THE PURCHASE OF A
CATCH BASIN SEWER CLEANER IN AN AMOUNT NOT TO EXCEED
$319,909
DISCUSSION (cont'd):
The current sewer cleaner which is more than 20 years old and was scheduled to be replaced
seven years ago, prior to the Town transferring the sanitary sewer system to the West Valley
Sanitation District (WVSD) in 2005. This vehicle is being used on a limited term basis due to
the regulatory emission standards outlined by the resource board.
In addition to compliance with fleet rules and regulations, Town staff is required to perform
ongoing maintenance of catch basins throughout the downtown area. The California Regional
Water Quality Control Board adopted a new Municipal Regional Stormwater Permit (MRP) in
October 2009, establishing. requirements for National Pollution Discharge Elimination System
(NPDES) for Bay Area counties. As a result of these new regulations, the Town installed 26 full
trash capture devices in the downtown business district. The devices were funded through a grant
from the San Francisco Estuary Partnership. The Town is responsible for the ongoing
maintenance of the trash capture devices, which require a minimum of bi- annual cleaning,
depending on the amount of debris that collects. During the peak storm weather season, more
frequent cleaning may be required to prevent street flooding. The new catch basin sewer vehicle
will provide the equipment resources necessary to perform these ongoing maintenance requests.
The new vehicle will also assist with the maintenance of the newly constructed 42 -inch storm
drain system along Wedgewood Avenue parallel to the La Rinconada golf course. In addition,
there are multiple storm drain outfalls that filter into creek channels throughout Town that
require ongoing maintenance by Town staff. During the wet weather season, these areas are
subject to flooding.
Requirements for storm drain system maintenance continue to increase, along with the additional
trash capture devices, and storm sewer devices, which necessitates the purchase of a new catch
basin sewer vehicle for the Town to respond to ongoing maintenance issues.
Equipment Replacement Fund
As part of the Town's Operating Budget, the Equipment Replacement Fund provides funding for
the replacement acquisition of Town vehicles, equipment and information technology greater
than $10,000. The Town's Equipment Replacement policy determines which assets should be
replaced by evaluating predetermined age and /or mileage criteria.
Through the Equipment Replacement Fund, Non -Point Source funds had been allocated to pay
for replacement of the Town's street sweeper vehicle. In December 2011, the street sweeper
vehicle caught on fire, which resulted in replacement of this asset sooner than anticipated. The
replacement of this asset was paid for through the Town's insurance provider. As a result, the
vehicle was replaced at no cost to the Town, and the funds allocated to this vehicle for
replacement have become available to be re- allocated to other Non -Point Source- related
equipment needs.
PAGE 3
OCTOBER 22, 2012
MAYOR AND TOWN COUNCIL
SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE AN AGREEMENT
WITH COAST COUNTIES PETERBUILT FOR THE PURCHASE OF A
CATCH BASIN SEWER CLEANER IN AN AMOUNT NOT TO EXCEED
$319,909
DISCUSSION (cont'dh
As part of the FY 2012/13 Operating Budget, $320,000 is allocated in the Equipment
Replacement Fund for purchase of a catch basin sewer cleaner. From this budget, approximately
$150,000 is from Non -Point Source revenues. Approximately $170,000 is available from
reallocation of vehicle replacement funds from vehicles that are no longer in service.
There is approximately a $2,000,000 fund balance in the Equipment Replacement program
account. The cost of this vehicle is $319,909, and will not jeopardize funds for future vehicle
replacements for the Town's fleet and equipment.
Purchasing Proposal
The new catch basin sewer cleaner vehicle cost is based on a bid proposal from Coast Counties
Peterbuilt, who prepared a bid for the City of San Jose. The City of San Jose bid documents
contain language that allows other municipalities to purchase vehicles using their formal bid
proposal documents. The bid proposal price is valid through November 10, 2012.
Additionally, according to the Town's Purchasing Policy, the Town Manager is authorized to
enter into cooperative purchasing agreements with other governmental entities without separate
competitive bidding by the Town, if a governmental agency has solicited bids and awarded a
contract for services or materials which the Town desires to obtain. The participation in such an
agreement must be in agreement with the bidder who awarded the contract, and the Town
Manager must determine that participation in such a group purchasing agreement is for the
benefit of the Town.
Alternative to Vehicle Replacement
WVSD provides wastewater collection and disposal services for the Town of Los Gatos, as well
as the cities of Campbell, Monte Sereno, portions of Saratoga, and some unincorporated areas
within the County. WVSD's main responsibility is to provide ongoing maintenance of the cities'
sanitary sewer system, including responding to sewer overflows during wet weather conditions
within the hillside zones of the cities of Los Gatos and Saratoga. Given the size of the district's
area of responsibility, the Town may not receive assistance during wet weather conditions due to
the district's limited equipment capacity. If the Town contacts WVSD to provide additional
services, it will be billed hourly or for overtime rates determined by the district.
The purchase of this vehicle will allow staff to respond to storm sewer overflows during
inclement weather conditions, and perform ongoing maintenance functions through -out the year,
independent of WVSD.
PAGE 4
OCTOBER 22, 2012
MAYOR AND TOWN COUNCIL
SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE AN AGREEMENT
WITH COAST COUNTIES PETERBUILT FOR THE PURCHASE OF A
CATCH BASIN SEWER CLEANER IN AN AMOUNT NOT TO EXCEED
$319,909
CONCLUSION:
Staff recommends that the Town Council authorize the Town Manager execute an agreement
with Coast Counties Peterbuilt in the amount not to exceed $319,909.
ENVIRONMENTAL ASSESSMENT:
Purchase of a replacement catch basin sewer vehicle is not defined under CEQA, and no further
action is required.
FISCAL IMPACT:
There are sufficient funds available in the Equipment Replacement Fund to purchase the catch
basin sewer cleaner vehicle as described above.