HomeMy WebLinkAbout11. 19-450 AUGUST 13, 2019 19-450 RESOLUTION
(CARRIED 7-0 LOST LAID OVER WITHDRAWN )
PURPOSE: APPROVE PURCHASE FROM INTERSTATE POWER SYSTEMS
FOR HYBRID SUS BATTERY PACK FOR TRANSIT DEPARTMENT
($59,372.35)
INITIATED BY: PURCHASING DIVISION
WHEREAS, the Transit Department is in need of hybrid bus battery packs for the
hybrid buses; and
WHEREAS, Interstate Power Systems is the only facility in Wisconsin with the
experience and technicians to replace these battery packs.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of
Oshkosh that the proper City officials are hereby authorized and directed pursuant to
Section 12-11 of the Oshkosh Municipal Code to purchase the battery packs with
installation from:
INTERSTATE POWER SYSTEMS
13015 West Custer Avenue
Butler, WI 53007
Total: $59,372.35
BE IT FURTHER RESOLVED that the proper City officials are hereby authorized
and directed to enter into an appropriate agreement for the purpose of same. Money for
this purpose is hereby appropriated from:
Acct. No. 0511-1728-6517-00000 Operations - Supplies/Repair Parts
0511-1728-6418-00000 Repairs to Motor Vehicles
Ci+y11116,
of
Oshkosh
TO: Honorable Mayor and Members of the Common Council
FROM: Jon G.Urben, General Services Manager
DATE: August 6, 2019
RE: Approve Purchase to Interstate Power Systems for Hybrid Bus Battery Pack for Transit
Department($59,372.35)
BACKGROUND
In 2010 the City of Oshkosh purchased four hybrid buses for the Transit Department. With regular
maintenance and upgrades, the service life of a heavy duty transit bus is expected to be approximately
12 years. These hybrid buses utilize a large hybrid battery pack on the roof of the buses. The hybrid
battery pack has a service life of approximately six years and these hybrid buses have already
surpassed this recommended replacement schedule. The battery packs must be replaced to meet the
anticipated 12 year service life of the hybrid buses. The first battery pack was replaced on one of the
four buses in 2018. This purchase would replace the battery pack on another bus, followed by the two
remaining buses having their battery packs replaced in coming years.
ANALYSIS
Purchasing and Transit staff again reviewed the options for replacing the hybrid bus battery pack. The
battery packs are high voltage and require a trained technician to replace and install. City staff cannot
perform this work. Staff consulted with New Flyer, the bus manufacturer and our Transit counterparts
across Wisconsin to find facilities that could perform this work. Our review concluded only Interstate
Power Systems in Butler, WI had the experience and technicians to replace these battery packs.
Interstate performed the 2018 battery pack replacement and staff was very satisfied by their service
using the superior and less costly Vigor battery pack. Staff requested an updated proposal from
Interstate for this 2019 battery pack replacement. The total proposal includes$1,794 for installation and
$57,587.35 for the battery pack. As staff determined Interstate is the only known certified WI installer
for replacing these Vigor battery packs, and because we cannot procure the Vigor batteries from a
different source and have Interstate install them, we concluded again that a formal competitive bidding
process would not apply to this purchase and this qualifies as a sole source exception to our purchase
ordinance.
FISCAL IMPACT
The total fiscal impact cost of replacing this hybrid battery pack is $59,372.35. Funding is available in
the Transit Department's operational budget and would be charged to A/N#: 0511-1728-6517 and 0511-
1728-6418.
City Hall,215 Church Avenue P.O.Box 1130 Oshkosh,WI 54903-1130 http://www.ci.oshkosh.wi.us
RECOMMENDATION
Section 12-11 of the Municipal Code provides that subject to approval of the City Manager, purchases
may be made without following a formal competitive bidding process when the purchase is from only
one source of supply or when standardization or compatibility is the overriding consideration. In
accordance with Section 12-11 of the Municipal Code and with approval by the City Manager,
Purchasing recommends the Common Council approve this purchase from Interstate Power Systems,
13015 West Custer Avenue,Butler,WI,53007, in the amount of$59,372.35.
Respectfully Submitted, Approved:
Opp,
Jon G.Urben, General Services Manager John Fitzpatrick,Assistant City Manager