| | | | | | | |  |  | 5919 MAIN STREET . NEW PORT RICHEY, FL 34652 . 727.853.1016 |
| TO: | City of New Port Richey City Council | | FROM: | Robert M Rivera – Public Works Director | | DATE: | 11/7/2023 | | RE: | Request to Purchase Jet/Vacuum Sewer Cleaner – Stormwater Utility |
REQUEST:
Attached for review and consideration by City Council is a Proposal from Jet-Vac Equipment Company, LLC., for the purchase of a 2024 Combination Jet/Vacuum Sewer Cleaner in the amount of $499,824.56 utilizing Truist Equipment Finance to finance the purchase. Jet-Vac Equipment is the vendor/contract holder for the City’s region. The unit pricing is in accordance with the current Sourcewell contract #101221-SCA. Finally, a request to declare the City’s existing stormwater utility Jet-Vac truck #73 as declared surplus property and allow staff to process the vehicle for auction using the services of The Public Group, LLC.
DISCUSSION:
This unit is replacing the City’s 2003 Combination Jet/Vacuum Sewer Cleaner that currently has 84,299 miles registered on the odometer and 17,535 hours of pumping activity or a converted total mileage of 207,745. This equipment is used by the Stormwater Utility to clean inlet control structures, stormwater pipes, and culverts. These maintenance activities enable the stormwater utility to meet the mandates required in the City’s current National Pollutant Discharge Elimination System (NPDES) permit. Prior to the attached proposal, our Fleet Maintenance and Utility staff undertook a review of available combination jet/vacuum sewer cleaner equipment. Subsequent to that review, our staff has concluded that the VAC-CON equipment performed at the highest level and represents the best value for acquisition by the City.
Finally, in order to control operational costs and maintain an economical size of the City's vehicle fleet and equipment inventory, items that are worn out and have served their useful life due to high mileage, high maintenance costs, obsolete parts availability, and other factors determined by the Fleet Maintenance Supervisor, a list is compiled for Council to review and declare items surplus equipment to allow staff to auction off the identified items. As City Council may recall, since 2016 the City's Public Works Department holds a vehicle and equipment auction utilizing The Public Group, LLC. AKA Public Surplus online services. These services were approved by City Council prior to the initial
auction being held. The only expense for the City is the cost to place an ad in a major newspaper notifying the general public of the online auction. Once an item is sold the buyer is required to pay an auction fee of seven percent (7%) of the purchase price. The City collects all of the funds and distributes the seven percent (7%) to Public Surplus as part of the auction agreement. Minimum purchase prices for the vehicles are identified and set by the City's Fleet Maintenance Supervisor using the Kelly Blue Book. The majority of the vehicles sold online have exceeded the minimum set bid making this type of auction more successful than the Tampa Bay Auction the City utilized for over twenty years. Subsequent to staff review, it has been determined The Public Group, LLC. auction terms and conditions have not changed and remain the same as the previous agreement with the City and the existing vac-con number 73 has served its useful life and should be declared surplus equipment by the City Council.
RECOMMENDATION:
The recommended action of Council, is to approve the attached proposal from Jet-Vac Equipment Company, LLC. In the total amount not to exceed of $499,824.56 as well as the attached five (5) year finance agreement from Truist Bank to include five annual payments of $119,336 at 6.21% A.P.R. and to approve the request to declare the vehicle "Surplus Equipment" and authorize staff to process the vehicle for auction using the services of The Public Group, LLC.
BUDGET/FISCAL IMPACT:
The purchasing of the Vac truck is identified and allocated in the stormwater utility’s capital line item 002103.46415 Trucks and Trailers. Funding received from the auction process are identified as revenue dollars for the City. | | | |
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