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HomeMy WebLinkAbout5P 2019 Fleet Purchases-Squads Report Phone 952.447.9800 / Fax 952.447.4245 / www.cityofpriorlake.com 4646 Dakota Street SE Prior Lake, MN 55372 CITY COUNCIL AGENDA REPORT MEETING DATE: SEPTEMBER 17, 2018 AGENDA #: 5P PREPARED BY: JASON WEDEL, PUBLIC WORKS DIRECTOR/CITY ENGINEER PRESENTED BY: JASON WEDEL AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION AUTHORIZING THE PRUCHASE OF THREE POLICE INTERCEPTOR UTILITY VEHICLES GOAL AREA AND OBJECTIVE: DISCUSSION: Public Safety 1. Ensure a safe and quality built environment. Introduction The purpose of this agenda item is to seek City Council approval to purchase three police vehicles. History In 1998 the Equipment Replacement Plan was created as a budgeting tool to assist in financial planning for major expenditures and to help moderate the annual fleet replacement budget. The goal is to replace the equipment in a timely and cost-effective manner. Annually the plan is reviewed and updated based on the current condition of the City’s fleet and adopted by the City Council as part of the Capital Improvement Program. The purchases for the coming year are incorporated into the annual budget requests and adopted by Council in December. As per state statute, all purchases over $20,000 are brought back to Council for final purchase authorization. It has been our practice to authorize vehicle purchases early in the new budget year. However, in an effort to get our order in as early as possible and avoid extensive delays we are requesting City Council approval of this order. If the order is not placed by September 21, 2018 the City will not be able to obtain these vehicles in 2019. The impact for the City is twofold: 1. As police vehicles age they become less nimble, dependable and more expensive to retain: 2. W e use the old police vehicles for our seasonal workers instead or renting or providing mileage allowances. If the old vehicles are not available because the new orders are delayed that will put additional burden on both our police department and our public works department. We will take delivery in 2019 and as such they will be considered a 2019 budget expenditure. 2 Current Circumstances For 2019 there are three patrol squads programmed to be replaced that require council approval (>$20,000) Existing: Unit #116, a Ford SUV Unit #316, a Ford SUV Unit #1014, an unmarked Ford sedan Replaced with: Three Ford Interceptor SUVs Since the retirement of the Ford Crown Victoria, the City has been standardizing on the Ford Utility Vehicle for use as patrol squads. This standardization provides for a couple of efficiencies. First, the officers can easily transition from squad to squad where equipment and controls are found in the same place. This is especially important during emergency operations not only with the placement of the controls but the handling of the vehicle itself. Second, the lights and other safety equipment generally have a life span two to three times that of the squad itself. With standardization, the old equipment generally fits the new squad so it allows it to be reused for two to three replacement cycles. Squads can only be purchased through the State of Minnesota Cooperative Purchasing Venture (CPV). Note that the old squads will be retained for the summer months to be used by our 25+ seasonal Public Works staff and then sold at auction in the fall with little to no loss in residual value. Police Vehicle Purchases 2018 Budget Allotment: $ Make, Model Vendor Base Vehicle Appurtenant Equipment Total Equipment Cost 2-2019 Ford Police interceptor Utility (marked) State Bid $27,909 x 2 $5,333 x 2 $66,484 1- 2019 Fold Police Interceptor Utility (unmarked) State Bid $27,909 $5,333 $33,242 Total for 3 vehicles $99,725 Conclusion The Council is being asked to authorize the purchase of the base vehicles and the disposal of the old equipment. ISSUES: The Ford Interceptor Utility Vehicles have a short window at which they are available. The City has been informed that all orders for 2019 need to be submitted by September 21, 2018 to ensure delivery in 2019. Ideally the new squads would be available for use mid to late May so the old squads are available for the summer seasonal employees. FINANCIAL IMPACT: The Council will be approving the 2019 budgets and tax levy later this year. The authorization for purchase of the three squads in this agenda 3 item will obligate the City to the purchase of these vehicles in 2019 and will therefore need to be included in the approved 2019 CIP. The draft 2019 Equipment Replacement Plan (ERP) and Revolving Equipment Fund as presented to the City Council in past work sessions included $99,725 for the replacement of the 3 squads including the lights and safety equipment. The replacement cost for the fleet purchases as proposed are consistent with what was presented to the City Council previously. ALTERNATIVES: 1. Approve a resolution as part of the consent agenda authorizing the purchase of the three proposed vehicles and appurtenant equipment and disposal of the existing equipment as detailed in this report. 2. Remove this item from the consent agenda for additional discussion. RECOMMENDED MOTION: Alternative #1. 4646 Dakota Street SE Prior Lake, MN 55372 RESOLUTION 18-___ A RESOLUTION AUTHORIZING THE PURCHASE OF THREE POLICE INTERCEPTOR UTILITY VEHICLES Motion By: Second By: WHEREAS, Each year the City Council adopts an Equipment Replacement Plan as part of the Capital Improvement Program (CIP); and WHEREAS, The 2019 Equipment Replacement Plan contemplates the replacement of three police squads with three Police Interceptor Utility Vehicles; and WHEREAS, The 2019 Equipment Plan programmed $99,725 for the replacement of these vehicles and appurtenant equipment and; WHEREAS, Quotes were received through the Minnesota Cooperative Purchasing Venture and are incorporated in the agenda report. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. Staff is authorized to dispose of Unit #116, Unit #316 and Unit #1014 3. Staff is authorized to purchase three 2019 Ford Police Interceptors through the State Cooperative Venture for an amount of $99,725 by 9/21/2018. 4. Funds will be drawn from the Revolving Equipment Fund (410-42100.00-55550.00) Passed and adopted by the Prior Lake City Council this 17th day of September 2018 VOTE Briggs McGuire Thompson Braid Burkart Aye ☐ ☐ ☐ ☐ ☐ Nay ☐ ☐ ☐ ☐ ☐ Abstain ☐ ☐ ☐ ☐ ☐ Absent ☐ ☐ ☐ ☐ ☐ ______________________________ Frank Boyles, City Manager