R2021-67 Resolution Accepting the State of Illinois Joint Purchasing Contract Holder Bid Price from Coe Equipment Co. for the Purchase of a 2022 Vactor Combination Sewer Jetting and Vacuuming Truck Number 250

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Public Works DATE: 3/11/2021 MEMO: 2021-30 TO: Honorable Mayor Moore Wolfe and City Council Members FROM: Scot Wrighton, City Manager Matt Newell, Public Works Director Deborah M. Perry, Purchasing Supervisor SUBJECT: Resolution Accepting the State of Illinois Joint Purchasing Contract Holder Bid Price from Coe Equipment Co. for the Purchase of a 2022 Vactor Combination Sewer Jetting and Vacuuming Truck Number 250 SUMMARY RECOMMENDATION: Staff recommends awarding the following contracts to Coe Equipment Co.: 1. A contract in the amount of$394,693.38 to Coe Equipment Co. for one (1) 2022 Vactor Combination Sewer Jetting and Vacuuming Maintenance Truck to replace Vehicle#250. 2. Acontract in the State of Illinois Joint Purchasing Agreement amount of$324,193.38 to Coe Equipment Co. for one(1)2022 Vactor Combination Sewer Jetting and Vacuuming Maintenance Truck to replace Vehicle#249. BACKGROUND: The Public Works Department has budgeted the replacement of a sewer jetting and vacuuming truck in this year's budget and one in next year's budget. The expected delivery date for these vehicles is 9 months,putting the City's receiving them and paying for them into the next fiscal year. With this long lead time, staff proposes to order both this year's and next year's trucks now to realize added savings for next year's vehicle and improve our purchasing power by ordering both vehicles together. It is recommended that these vehicles be purchased using the State of Illinois Joint Purchasing Agreement. The State of Illinois has done all the work for the bidding process which saves the City time and money. The vendor cannot sell the City the same unit for less than the State bid price. However,the vendor can offer more for the vehicle to be traded in. By purchasing both units now,we lock in the current State of Illinois bid price for next year's truck and the Vactor Dealer has offered$79,000 for next year's trade in. This is a very generous trade in amount for a vehicle the vendor will not take possession of for 9 months. Vehicle#250 Vactor Combination Sewer Jetting and Vacuuming Truck(FY2021) The Public Works Department,Municipal Services Division has requested one (1)new sewer truck to replace one (1)2004 Vactor Combination Sewer Maintenance Truck due to its age and condition. The City of Decatur has owned Vactor brand sewer cleaning equipment for many years. Vactor equipment is high quality,reliable and we receive good service from them. The replaced sewer truck will be used as a trade in toward the cost of the new sewer truck. The original State bid vehicle price was $403,193.38 and was reduced by$8,500 using the old unit as a trade in. It is not likely the trade in amount could have been increased by selling the unit separately. Vehicle#249 Vactor Combination Sewer Jetting and Vacuuming Truck(FY 2022) The new sewer truck will replace one (1)2013 Vactor Combination Sewer Maintenance Truck that is being replaced due to its age and condition. The replaced sewer truck will be used as a trade in toward the cost of the new sewer truck. The original vehicle price was itAAl 1n'2 'IQ --A ..,.., «,.,1....,.,1 1- Q^ln nnn--4- -1A -4- .. +....,7„ r+- --+1.1-1-4-+.-..A- - ,.,...la 1....,,,1..,,....