Title
Front Loader/Backhoe Tractors - IFB 23-FSD-029 - Contract Recommendation (Ordinance S-49448)
Description
Request to authorize the City Manager, or his designee, to enter into contracts with Sonsray Machinery LLC, and RDO Equipment for the purchase of new front loader/backhoe tractors. Further request to authorize the City Controller to disburse all funds related to this item. The total value of the contracts will not exceed $6,922,820.
Report
Summary
The Public Works Department will purchase new machines for the purpose of replacing older machines over the next five years for various City departments. Front loader/backhoe tractors are utilized for a variety of tasks, including small demolition, light transportation of building materials, excavate holes, landscaping, road maintenance, etc. The contracts will support the replacement of aged equipment for the Street Transportation, Water Services, and Aviation departments.
Procurement Information
An Invitation for Bids (IFB) 23-FSD-029 was conducted in accordance with Administrative Regulation 3.10. The Public Works Department received two bids on Nov. 9, 2022 with both being deemed responsive and responsible to all specifications, terms and conditions, and deemed responsive and responsible to provide the required goods. The offers were deemed fair and reasonable based on the market.
Sonsray Machinery LLC: $133,775
RDO Equipment: $118,067.71
Contract Term
The agreements will begin on or about March 1, 2023 and will each have an initial three-year contract period, with two additional option years to be exercised in increments of up to one year, for a total contract term of five years.
Financial Impact
The contracts will have a $1,384,564 estimated annual expenditure, with a total amount not to exceed $6,922,820 over the life of the contracts. Funds are available in various City departments' budgets.
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Public Works Department.