Title
XT-3 Caterpillar Hose Replacement - Contract Recommendation (Ordinance S-49094)
Description
Request to authorize the City Manager, or his designee, to enter into a contract with Empire Southwest, LLC for hydraulic hose replacement. Further request authorization for the City Controller to disburse all funds related to this item. This item will have an aggregate contract value of $3,900,000.
Report
Summary
The Public Works Department is responsible for maintenance and repair of 249 side loader and rear loader refuse trucks. Approximately 141 of the refuse trucks will be maintained using the XT-3 caterpillar hoses as replacements. Empire Southwest will conduct a full system re-hose for each unit as well as catalog the hose to ensure size, fitting, and routing are manufactured to original equipment manufacturer specifications. The XT-3 hose is an exclusive, Caterpillar-designed polyethylene cover that has successfully passed two million abrasion cycle tests without failure. These hoses are highly resistant to chemicals and weathering and eliminate the need for nylon and plastic, which can significantly reduce material and labor costs over time.
Procurement Information
In accordance with Administrative Regulation 3.10 normal competition was waived in lieu of a determination memo, citing sole source. Empire Southwest is the only local Caterpillar dealer in the state of Arizona, with the XT-3 hose technology being patented by Caterpillar.
Contract Term
This contract will begin on or about Dec. 1, 2022, with an initial one-year contract term, with four option years to be exercised in increments of up to one year, for a total contract term of five years.
Financial Impact
This item will have estimated annual expenditures of $780,000, with a total contract value of $3,900,000.
Funding is available in the Public Works Department's budget.
Department
Responsible Department
This item is submitted by Deputy City Manager Karen Peters and the Public Works Department.