R2021-64 Resolution Authorizing Execution of Purchase Order Between City of Decatur And Gillig, LLC,

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OFFICE OF THE CITY MANAGER April 5, 2021 TO: Honorable Mayor Julie Moore Wolfe and City Council Members FROM: Scott Wrighton, City Manager Jon Kindseth, Deputy City Manager John Williams, Mass Transit Administrator Michelle Alexander, Grants and Procurement Manager SUBJECT: Resolution Authorizing Execution of a Purchasing Order between the City of Decatur, Illinois and Gillig, LLC, Authorizing the purchase of two (2) low floor Hybrid Trolleys in the Addendum to the Master Contract (Cooperative Contract#E 194- 75548MA2274 Low Floor Transit Buses,Master Contract")between the Commonwealth of Virginia and Gillig LLC, in an amount not to exceed$785,000 per Trolley. RECOMMENDATION: The attached Participating Addendum allows for the City of Decatur to purchase low-floor heavy-duty Hybrid Trolleys at prices offered under the Master Contract between the Commonwealth of Virginia and Gillig, LLC. This same multistate contract was utilized to purchase the previous 18 buses from Gillig received since 2020. It is recommended that this purchase be authorized. BACKGROUND: The City of Decatur operates trolleys in the downtown area of the City, with the 2 current trolleys being more than 20 years old. One of the trolleys was recently permanently removed from service due to structural integrity concerns. Both trolleys need to be replaced as they are way beyond their useful life. Transit has received CARES Act funding,which is allowing the City the funding to purchase two hybrid buses outfitted as trolleys. These trolleys would replace the two existing ones. Having two reliable trolleys will allow the transit system to run new routes or increase frequency. Additionally, these trolleys will assist when there is need for spacing on transit routes due to COVID protocols. The new trolleys have an expected useful life of approximately 15 years. The new trolleys will not be received until second half of next year, as they take 12-16 months from date of order. In the past few years as the City has been replacing our bus fleet,reduction in emissions has been considered as part of the equation. That said,the City does not have the infrastructure to be able to run a full electric or CNG fleet at this time. However, the 18 new buses recently purchased were biodiesel buses. Biodiesel being a renewable, biodegradable fuel manufactured domestically from vegetable oils and animal fats, is often called"green diesel,"though it is not as environmentally friendly as a hybrid or full electric bus. Utilizing a Biodiesel fleet has reduced some of the greenhouse emission and reduced our carbon footprint in the City of Decatur. The purchase of hybrid buses for the trolleys will allow the City to move closer to the electrification of our fleet. The air quality improvements and rising fuel costs contribute to why a hybrid model makes sense