TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Bernard Molloy, Fire Chief
PREPARED BY: Diana Lozano-Garcia, Management Analyst - Fire
SUBJECT:
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Type 1 Fire Engine Purchase
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RECOMMENDATION
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Adopt Resolution No. 24-4726 entitled: A Resolution of the City Council of the City of Murrieta, Authorizing the Purchase of a Type 1 Engine through a Cooperative Purchasing Program in Accordance with Municipal Code Section 3.08.295 and Establishing an Appropriation in the Fiscal Year of Delivery Using the Measure T Fire Fleet Replacement Reserve to Fund Costs Associated with the Purchase and Upfitting of the Type 1 Engine; and
Authorize the City Manager to approve the South Coast Fire Equipment proposal and zero-dollar purchase order to initiate the Type 1 Engine construction.
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PRIOR ACTION/VOTE
On August 15, 2023, the City Council adopted Resolution No. 23-4699, approving the Fiscal Year 2023/24 Capital Improvement Plan budget and approving the Capital Improvement Plan for Fiscal Years 2023/24 to 2027/28 (Vote: 5-0).
CITY COUNCIL GOAL
Coordinate and deliver responsive, effective community services.
BACKGROUND
Murrieta Fire & Rescue (MFR) is seeking to purchase a Type 1 Engine from South Coast Fire Equipment-Pierce Manufacturing and the upfitting equipment from Johnson Equipment, Motorola Radio Solutions, and LN Curtis. The purchase of the Type 1 Engine is part of MFR’s fleet replacement schedule to replace a 2002 Type 1 Engine that is past its serviceable life span. The new Type 1 Engine is part of the approved Fiscal Year 2023-24 Capital Improvement Project budget and Capital Improvement Plan for Fiscal Years 2023-24 to 2027-28.
MFR can purchase the Type 1 Engine through the NPP.gov government procurement contract with Pierce Manufacturing. NPP.gov is a nationwide government procurement service that allows local governments and special districts access to cooperative, competitive procurement processes. Per Murrieta Municipal Code 3.08.295 Cooperative Purchasing, the City Council has the authority to join other public and quasi-public agencies in cooperative purchasing programs to purchase equipment.
The Type 1 Engine will cost $1,168,684.38, and the upfitting equipment will cost approximately $230,000, totaling $1,400,000. MFR requests to use Measure T Fire Fleet Reserves to pay for the Type 1 Engine costs. The budget will need to be established for the full amount of the Type 1 Engine costs in the fiscal year it is planned for delivery. The Type 1 Engine construction will take approximately 45 to 48 months to build. Prepayment is not required, but a purchase order (PO) is needed to start the construction process with Pierce Manufacturing. MFR can establish a zero-dollar PO, noting the purchase price and construction timeframe, with South Coast Fire Equipment-Pierce Manufacturing until the budget year of the engine completion. The upfitting equipment purchases will be completed once the engine is close to completion.
South Coast Fire Equipment-Pierce Manufacturing will honor the price through March 31, 2024. If MFR does not secure the price prior to the aforementioned date, the price of the Type 1 Engine will increase by 10%. A delay in approving the construction of the Type 1 Engine will not only increase the purchase cost but also postpone construction. MFR is requesting the City Council’s approval now to avoid a hefty price increase, initiate the lengthy Type 1 Engine construction, and appropriate the budget needed to pay for the engine costs once delivered.
FISCAL IMPACT
There is no immediate fiscal impact associated with this action, and no need to establish a budget in the current Fiscal Year 2023/24 since the purchase order will be created with a zero amount. As part of the biennial budget adoption process, $1,400,000 was set aside in the Measure T Fire Fleet Replacement Reserves to pay for the replacement of a Type 1 Engine. This set-aside reserve will fund the construction of the Type 1 Engine by Pierce Manufacturing for $1,168,684.38 and the upfilling costs of approximately $230,000 provided by Johnson Equipment Company, Motorola Solutions, and LN Curtis. The Type 1 Engine budget will be established in the fiscal year it is planned for delivery.
ATTACHMENTS
1. Resolution No. 24-4726
2. South Coast Fire Equipment Proposal for the Pierce Manufacturing Type 1 Engine