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HomeMy WebLinkAbout7/28/1999 - STAFF REPORTS (8) Date: July 28, 1999 To: City Council From: Fire Chief AWARD LEASE/PURCHASE OF TWO(2)FIRE ENGINES RECOMMENDATION: It is recommended that the City Council award the lease/purchase of two (2) fire engines from Pierce Fire Apparatus, Pierce Manufacturing Inc., in an amount not to exceed $650,000.00 including sales tax and applicable discounts offered by the manufacturer, participating in a competitively bid contract awarded by the City of Los Angeles, the lease/purchase will be administered through the Master Lease Agreement program via the California Statewide Communities Development Authority, an agency sponsored by the League of California Cities and the California State Association of Counties (CaLease). BACKGROUND: The City Council approved the lease/purchase of two aerial fire trucks on October 21, 1999. The trucks are in the final production phase at Pierce Manufacturing and scheduled to be delivered in early September. One of the new trucks will replace a buck which was removed from service in 1995 (1978 American La France). A 1964 Seagrave fire engine was retired from service in 1997, and a 1972 Crown Telesqrt fire engine (TS444-R) will be retired upon delivery of the second new aerial truck. 1 The need for fire apparatus replacement is not dependent solely on the age of the unit. A unit's routine workload, its physical condition, and the amount of preventative maintenance it has received during its lifetime tend to be better indicators of whether the apparatus is still dependable for first-line duty. First-line service of 10 to 15 years is considered normal for fire engines that are used daily in moderate to heavy response areas. First-line fire engines must respond to many routine auto accident calls, medical aid calls, brush fires, and rubbish fires as well as perform long-duration pumping operations at structure fires. These activities take their toll on the chassis, body, engine, driveline, and pump. Apparatus that continues to operate efficiently but has exceeded its first-line life can be placed in reserve status for an additional number of years. The proposed new fire engines would replace a 1981 Emergency One (E445) and a 1983 Grumman (E443). Recently, the reliability of the fire engines that were acquired between 1989 and 1992 (Beck) has become a concern. Staffing levels have dictated that we operate fire engines on all service calls. Up until the early 1990's the Department was able to respond to some service calls with light-attack units-- reducing some wear on the heavier fire engines. Over the past eight years, the calls for service have increased 18 percent. The Beck fire engines now have between 60,000 and 80,000 miles, and are experiencing metal fatigue on the sub- frame components, body rust, frequent power train repairs, and body damage. The engines are requiring a power plant overhaul before 80,000 miles, due to frequent cold starts, short operating duration, and the high operating RPM demanded of the diesel engines. Diesel engines are most efficient when operated for long periods and optimum RPM. Fire department operations demand the high power output for response and pump operations. ..SA New fire engines are built-to-order, and it will take between ten and fifteen months for delivery from the date the order is placed with the manufacturer. To illustrate this, City Council approved the lease/purchase of Truck 441 (T441) and Truck 442 (T442) on October 21, 1998, and delivery is anticipated in early September 1999 (10+months). The primary features of the proposed fire engines are: Pierce raise- roof Dash 2000 pumped, 430 HP Detroit series 60 diesel engine, Allison HD4060PR transmission, 1500 GPM single-stage pump, 500 gallon water tank, and a foam system. The City of Los Angeles bid for fire engines has been piggy-backed for the proposed acquisition of the two new fire engines. The contract expires on September 1, 1999. The City of San Bernardino recently acquired eleven new Pierce fire apparatus through the City of Los Angeles contract. San Bernardino will soon be placing an order for additional fire apparatus, and it will further benefit both municipalities if a cooperative contract administration process is pursued between San Bernardino and Palm Springs. Standardization is important for the operation and servicing of the proposed equipment. Pierce Manufacturing Inc. has recently established a western service center for contract maintenance and parts in the City of Ontario. It should also be noted that Pierce owns Oshkosh Trucks, and all of the rescue-firefighting (ARFF) trucks serving the Palm Springs International Airport are Oshkosh brand. The Motor Vehicle Replacement Fund(MVR)has not kept pace with the increasing cost of this specialized equipment. Paying cash for these vehicles would place a substantial burden on the cash reserves of the City's MVR fund. The Master Lease Agreement(CaLease) will be utilized for this transaction (10-year term). The Procurement Manager,pursuant to the requirements of Municipal Code Section 3.12.270.6, finds that the competitive process conducted by the City of Los Angeles Bid #kM2751, for the proposed purchase is adequate to protect the public interest and that the proposed cost of the equipment is likely to be less through the proposed cooperative purchase than could be attained through the City's independent purchase process. A copy of the City of Los Angeles award documents is on file at the City Clerk's office. SUMMARY: To maintain fire/rescue readiness and be prepared for the next ISO (Insurance Service Office) grading in 2002 we must replace two first-line fire engines. We will remove from service two existing fire engines (18 and 20 years old in 2001) upon delivery of the new engines. The Master Lease Agreement (CaLease) will be amended to include the lease/purchase of the proposed new fire engines. The following table summarizes the retention schedule for fire apparatus: PRESENT UNIT ACQUIRED AGE RESERVE RETIRE/AGE REPLACE E445 1981 18 1999 2001/20 2001* E443 1983 16 1999 2001/19 2001* E442 1988 11 2001 2005/16 2005 E444 1989 11 2001 2005116 2005 TS443 1990 9 1999 2008/18 2008 E441 1992 7 2005 2010/18 2010 TS444-R 1972 27 Reserve 1999/27 1999 T441 1999** 0 2011 2017/18 2017 T442 1999** 0 2011 2017/19 2017 Footnote: * Replaced by this proposed action ** Anticipate delivery in early September 0 0 Fire Chief A PROVED DECLINED Procurement Manager r APPROVED: (a; City Manager ATTACHMENT: Minute Order 6W3 �! J MINUTE ORDER NO. APPROVING THE LEASEIPURCHASE OF TWO (2) FIRE ENGINES FROM PIERCE FIRE APPARATUS, PIERCE MANUFACTURING INC., NOT TO EXCEED $650,000.00 INCLUDING SALES TAX AND APPLICABLE DISCOUNTS OFFERED BY THE MANUFACTURER, THROUGH CALEASE. I HEREBY CERTIFY that this Minute Order, approving the lease/purchase of two (2) fire engines from Pierce Fire Apparatus, Pierce Manufacturing Inc., in an amount not to exceed $650,000.00, including sales tax and applicable discounts offered by the manufacturer, through CaLease, was adopted by the City Council of the City of Palm Springs, California in a meeting thereof held on July 28, 1999. PATRICIA A. SANDERS City Clerk