HomeMy WebLinkAbout07. 18-518 OCTOBER 23, 2018 18-518 RESOLUTION
(CARRIED 6-0 LOST LAID OVER WITHDRAWN )
PURPOSE: APPROVE PURCHASE TO INTERSTATE POWER SYSTEMS FOR
HYBRID BUS BATTERY PACK FOR TRANSIT DEPARTMENT
($56,482.00)
INITIATED BY: PURCHASING
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: $56,482.00
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. 0511-1728-6517 Transit Utility- Supplies/Repair Parts
TO: Honorable Mayor and Members of the Common Council
FROM: Jon G. Urben, General Services Manager
DATE: October 11, 2018
RE: Approve Purchase to Interstate Power Systems for Hybrid Bus Battery Pack for Transit
Department ($56,482.00)
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. So as to help ensure these buses can meet their
12 year service life, staff recommends replacing the battery pack on one bus immediately, followed by
the three remaining buses in coming years.
ANALYSIS
Purchasing and Transit staff 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 has performed work on our hybrid buses in the past and staff has been very satisfied by their
service. Interstate provided a quote with two battery pack options. Staff is recommending the Vigor
battery pack as it has performed better, has a superior warranty and is a lesser cost than the other
battery pack option. The total $56,482.00 cost for this purchase includes $815.00 for installation and
$55,667.00 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 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 $56,482.00. Funding is available in
the Transit Department's 2018 operational budget and would be charged to A/N#: 0511-1728-6517.
City Hall, 215 Church Avenue P.O. Box 1 130 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 $56,482.00.
Respectfully Submitted,
Approved:
Jon G. Urben, General Services Manager Mark A. Rohloff, City Manager