Title
Heavy Equipment Rental - Cooperative Contract (Ordinance S-46269)
Description
Request to authorize the City Manager, or his designee, to authorize additional payment authority for contracts 148171 with Sunbelt Rentals, Inc. and 148172 with Herc Rentals, Inc., in the amount of $160,000 with a revised aggregate value of $510,000, to continue providing Citywide departments with heavy equipment rentals on an as-needed basis. Further request authorization for the City Controller to disburse all funds related to this item.
Report
Summary
Due to aging equipment that has exceeded life expectancy there has been an increase in the need for specialized equipment rentals to cover gaps while City-owned equipment is being repaired. The heavy equipment rental contracts provide short-term and long-term rental access to a complete line of operated and non-operated heavy equipment, road maintenance equipment, construction equipment and more that are used to support Citywide projects for multiple departments, including Fire, Parks and Recreation, Public Works, and Water Services. The additional pay authority will allow City of Phoenix Departments to continue renting equipment needed to cover gaps during repairs, and to obtain equipment not currently owned by the City, but needed to complete City services.
Procurement Information
In accordance with Administrative Regulation 3.10, a participating agreement is required when the City uses a cooperative agreement from another public agency. The State of Arizona contracts were awarded through a competitive process consistent with the City's procurement processes, as set forth in the Phoenix City Code, chapter 43. Utilization of cooperative agreements allows the City to benefit from national government pricing and volume discounts.
Financial Impact
Upon the approval of the additional expenditures of $160,000 the revised aggregate value will be $510,000 through the term of June 30, 2020. Funds are available in the various department budgets.
Concurrence/Previous Council Action
Use of the State of Arizona contract with Sunbelt Rentals, Inc. and Herc Rentals Inc. was approved by formal Council action on June 27, 2018.
Department
Responsible Department
This item is submitted by City Manager Ed Zuercher and the Finance Department.