Title
Contract Recommendation for Warranty Repairs (Ordinance S-44575)
Description
Request to authorize the City Manager, or his designee, to enter into a contract with Arizona Refuse Sales to provide non-warranty item repair work on Scorpion model refuse trucks when non-warranty worn parts are discovered during warranty repairs. The estimated annual expenditure for this contract is $100,000, with a total aggregate amount not to exceed $500,000 over the life of the contract. Further request authorization for the City Controller to disburse all funds related to this item.
Report
Summary
The Public Works Department requests approval to use Arizona Refuse Sales, the local Scorpion refuse truck dealer, to provide repairs on non-warranty repair items discovered during warranty claim work. Arizona Refuse Sales is the authorized dealer and service provider of the CNG tank system that is used on automatic side loading refuse trucks. This contract will allow expedited service repairs of the CNG tank system to ensure Scorpion trucks are returned to Original Equipment Manufacturer (OEM) specifications in a timely manner with minimal downtime.
Procurement Information
In accordance with Administrative Regulation 3.10 normal competition was waived via a Determination Memo citing the need for expedited service of Scorpion refuse trucks when non-warranty repair work is discovered during normal warranty repairs.
Contract Term
This contract will begin on or about June 1, 2018, for an initial one year period, with four options in increments of up to one year, for an aggregate contract term of five years.
Financial Impact
The estimated annual expenditure for this contract is $100,000, with a total aggregate amount not to exceed $500,000 over the life of the contract. Funds are available in the Public Works Department's budget.
Location
Locations that could request on-site repairs are as follows:
Glenrosa Service Center: 4021 W. Glenrosa Ave., District 5
Salt River Service Center: 3045 S. 22nd Ave., District 7
Union Hills Service Center: 138 E. Union Hills Drive, District 2
Okemah Service Center: 3828 E. Anne St., District 8
Department
Responsible Department
This item is submitted by Deputy City Manager Karen Peters and the Public Works Department.