HomeMy WebLinkAbout10. 22.164APRIL 26, 2022 22-164 RESOLUTION
(CARRIED___7-0_____LOST________LAID OVER________WITHDRAWN________)
PURPOSE: AMEND 2022 CAPITAL IMPROVEMENT PLAN AND APPROVE
PURCHASE FOR ACQUISITION IN 2024 FROM FIRE
APPARATUS & EQUIPMENT INC. OF A FIRE AERIAL
APPARATUS FOR FIRE DEPARTMENT ($1,455,000.00)
INITIATED BY: PURCHASING DIVISION
WHEREAS, the Fire Department is in need of replacing one of its fire aerial
apparatus that has reached the end of its service life; and
WHEREAS, by Resolution 19-99 adopted on February 26, 2019 the Council waived
the ordinance requirements to allow the Fire Chief and Fire Department personnel to
review, test and recommend the purchase of equipment best meeting the operational and
safety needs of the Department and the Department has determined that in order to
ensure operational and maintenance compatibility and standards it is beneficial to
standardize upon apparatus from Pierce Manufacturing as best suited to the operational
and safety needs as well as budgetary requirements for the Fire Department.
WHEREAS, the Common Council has adopted the 2022 Capital Improvement Plan
and Budget, which is on file in the Office of the City Clerk and available for public
inspection; and
WHEREAS, it is necessary to amend the 2022 Capital Improvement Plan Budget
to:
move the purchase of the aerial fire apparatus from 2024 CIP Budget to 2022
CIP Budget;
to amend the 2022 budget to allow for a purchase order to be issued for the
purpose of ordering an aerial fire apparatus in the amount of one million
four hundred fifty-five thousand and no/100 dollars ($1,455,000.00) for
delivery in 2024 and decrease the projected 2024 budget by one million four
hundred fifty-five thousand and no/100 dollars ($1,455,000.00); and
APRIL 26, 2022 22-164 RESOLUTION
CONT’D
financing for the purchase of the aerial fire apparatus will be obtained from
the issuance of 2024 General Obligation debt proceeds;
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of
Oshkosh that the 2022 Capital Improvements Program is hereby amended as follows:
move the purchase of the aerial fire apparatus from 2024 CIP Budget to 2022
CIP Budget;
to amend the 2022 budget to allow for a purchase order to be issued for the
purpose of ordering an aerial fire apparatus in the amount of one million
four hundred fifty-five thousand and no/100 dollars ($1,455,000.00) for
delivery in 2024 and decrease the projected 2024 budget by one million four
hundred fifty-five thousand and no/100 dollars ($1,455,000.00); and
financing for the purchase of the aerial fire apparatus will be obtained from
the issuance of 2024 General Obligation debt proceeds;
BE IT FURTHER RESOLVED that the proper City officials are hereby authorized
and directed to waive bids and to purchase a fire aerial apparatus from:
FIRE APPARATUS & EQUIPMENT, INC.
5793 Grande market Drive, Suite C
Appleton, WI 54913
Total: $1,455,000.00
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. 323-0230-7210-66001 Equipment Fund – Fire Apparatus – Engines,
Pumpers, Aerials
City Hall, 215 Church Avenue P.O. Box 1130 Oshkosh, WI 54903-1130 http://www.ci.oshkosh.wi.us
TO: Honorable Mayor and Members of the Common Council
FROM: Jon G. Urben, General Services Manager
DATE: April 19, 2022
RE: Amend 2022 Capital Improvement Plan and Approve Purchase for Acquisition in
2024 from Fire Apparatus & Equipment Inc. of a Fire Aerial Apparatus for Fire
Department ($1,455,000.00)
BACKGROUND
The Oshkosh Fire Department has two aerial apparatus within their fleet. The standard
recommended maximum time for these units to be in front-line service is 15 years. In 2019 the
Common Council waived the bid requirements for the purchase of two fire engines and
allowed the Fire Department personnel to review, test and recommend the purchase of
equipment best meeting the operational and safety needs of the Department. At that time Fire
Department staff established a committee to develop specifications for replacement fire
engines. After developing criteria and reviewing several different fire engines, the committee
determined that a Pierce Manufacturing Inc. engine with a Velocity Chassis and the Pierce
Ultimate Configuration (PUC) would best meet the needs of these units. By utilizing Pierce
apparatus for all front-line service needs this standardization has proved critical for safe and
efficient operation under emergency situations as well as efficiency in the maintenance of the
units. As a result of this review and these standardization recommendations, in 2019 the
Common Council approved the purchase of the Pierce engines and apparatus to replace two of
the five fire engines.
As you may recall, this past year Fire Department staff identified the need to replace their 1998
Quint fire apparatus in the 2024 CIP with $1,280,000 assigned for this replacement. The 1998
Quint fire apparatus has experienced several major maintenance issues in the past year that has
taken it out of service for days at a time. Fire Department staff recommend continuing with the
Pierce apparatus as a replacement for this unit.
ANALYSIS
The current Pierce apparatus have proven to be very reliable and any service or warranty issues
are dealt with promptly and efficiently at Fire Apparatus and Equipment Inc. – Pierce’s
exclusive franchise dealer in Appleton, WI. It is once again the consensus of the committee and
Fire Chief Mike Stanley that the Pierce apparatus noted above be recommended for the 1998
unit replacement. Additionally, to meet the Fire Department’s goal to continue to ensure
operational and maintenance compatibility and standards for their fire apparatus fleet moving
forward, Purchasing concludes another Pierce apparatus purchase would qualify as a
standardization/sole source exception to our purchasing ordinance. Order discussions with
Pierce confirmed that the delivery time from the order being placed is currently twenty-two
months or longer. Thus to receive a fire apparatus in 2024 an order would need to be placed
early in 2022. Additionally, all orders after May 1, 2022 will be subject to a 7% rate increase of
approximately $101,850.00.
FISCAL IMPACT
The 2024 CIP has a placeholder of $1,280,000 for the replacement of the 1998 unit. To avoid an
estimated 7% cost increase for any orders placed after May 1, 2022 and to address the longer
manufacturing lead time so the apparatus is completed by 2024, staff is recommending that the
2022 Capital Improvement Plan be amended to move this project from 2024 to 2022 and decrease
the projected 2024 CIP budget by $1,455,000.00. The financing for the project also needs to be
adjusted from “To Be Determined” to the issuance of “Debt”. Financing for this unit will be
obtained from the issuance of 2024 General Obligation debt proceeds. Payment is not due until
delivery of the fire engine, which will not occur until 2024. Funding for this purchase would be
charged to 2022 CIP A/N#: 3230230 7210 66001 (Equipment Fund- Fire Apparatus- Engines,
Pumpers, Aerials). Once approved, Purchasing will issue a purchase order for this new unit.
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 amend the 2022
Capital Improvement Plan and approve this purchase from Fire Apparatus & Equipment, Inc.,
5793 Grande Market Drive, Suite C, Appleton, WI 54913, in the amount of $1,455,000.00.
Respectfully Submitted, Approved:
Jon G. Urben, General Services Manager Mark A. Rohloff, City Manager