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HomeMy WebLinkAboutA016 - Resolution waiving the City's Purchasing Policy requirement for competitive bidding and awarding a contract to Henderson Products, Inc., of Manchester, IA, for the upfitting of four snowplow trucksITEM #:18 DATE:10-14-25 DEPT:FLEET SUBJECT:UPFITTING OF FOUR SNOWPLOW TRUCKS FOR PUBLIC WORKS STREET DIVISION COUNCIL ACTION FORM BACKGROUND: The Streets Division of the Public Works Department has four tandem-axle and six single-axle snow plow dump trucks, used for street maintenance and snow plowing operations. The four tandem-axle dump trucks are due for replacement, and the trucks have been received. The upfitting will consist of a dump body, wing plow, underbody plow, tailgate-mounted material spreader, pre-wet brine system, hydraulic control system, and a laser wing plow guide. Currently, all snowplow trucks in the fleet have been uplifted by Henderson Products . In discussions with Public Works, it was determined that uniformity in truck configuration, layout, and operations would be beneficial to the City. There are several reasons for having uniformity, including the complexity of the systems in use, drivers rotating between trucks during storms, the maintenance of the trucks, training drivers on operations, automated vehicle location systems for operational tracking, and incorporating the installed Optimus B100 systems into the upfit. The City also found that comparable cities, such as the City of Des Moines and the City of Cedar Rapids, have single-sourced the upfit of their trucks with Henderson Products. Staff researched the possibilities of purchasing single source from Henderson Products. Henderson Products has a cooperative purchasing contract from NPPGov, a service with which the City is a registered user. The City's Purchasing Division has researched the contract and found it to be acceptable. City staff also researched whether Henderson Products had other pricing available with different cooperatives. One alternative was found, but the pricing was higher than with NPPGov. Due to long lead times for receiving the equipment, it is anticipated that this work will not take place before Quarter 1 in 2027. Based on the factors listed above, it has been determined that awarding a contract with Henderson Products based on the NPPGov pricing is in the best interest of the City. While going to bid may result in slightly lower pricing, the cost savings would be offset by having vehicles that are set up differently from others in the City's fleet, reducing operational efficiency. Funding for the purchase in the amount of $770,104 is as follows: Current Escrow Funding: $293,045 Estimated Salvage Value: $102,250 Estimated Escrow Collection before arrival: $351,554 Estimated Department Support (RUT): $ 24,000 TOTAL $770,849 1 Due to the long lead time for the upfitting and unknown salvage value, the actual amount of department support will be finalized in a later budget year. ALTERNATIVES: 1. Waive the Purchasing Policies and Procedures requirement for competitive bids and award a contract to Henderson Products, Inc., of Manchester, IA, for the upfitting of four snowplow trucks in the amount of $770,104. 2. Do not approve the purchase. CITY MANAGER'S RECOMMENDED ACTION: Approving this contract to obtain the upfitting of four snowplow trucks will allow the Streets division to have consistent equipment to deal with snow emergencies in the City and optimize their operations. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1 as described above. 2