HomeMy WebLinkAboutOrdinance 4479 ORDINANCE NO. 4479
AN ORDINANCE WAIVING THE REQUIREMENTS OF
FURTHER COMPETITIVE BIDDING TO ALLOW THE CITY
OF FAYETTEVILLE TO ENTER INTO A FIFTEEN (15) YEAR
PURCHASING AGREEMENT WITH EMERGENCY ONE
FIRE APPARATUS, INC. AND LEECO, INC.
WHEREAS, acquisition of fire apparatus from a single-source vendor will result in a
standardized fleet, and;
WHEREAS, this will allow for standardized training for Fire Department personnel,
as well as more efficient and effective equipment maintenance and warranty work, and;
WHEREAS, such standardization will result in both increased operating economies
and a higher level of fire protection for the citizens of Fayetteville, and;
WHEREAS, the City Council finds that such circumstances constitute an exceptional
situation where further competitive bidding is not feasible or practical.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF FAYETTEVILLE, ARKANSAS:
Section 1 . That the City Council of the City of Fayetteville, Arkansas, hereby waives
the requirements of further competitive bidding to allow the City of Fayetteville to enter
into a fifteen (15) year purchasing agreement with Emergency One Fire Apparatus, Inc. and
Leeco, Inc. for the acquisition of fire apparatus.
PASSED and APPROVED this 15th day of April, 2003. /
APPROV
jr
-
'i , '•, DAN COODY, Mayor
IVA
By:
SONDRA SMITH, City Clerk
NAME OF FILE: Ordinance No. 4479
CROSS REFERENCE:
Item # Date Document
1 04/15/03 lord. 4479
2 04/01 /03 Staff Review Form w/attachments:
memo to City Council
Fire Apparatus Purchase Plan
Power Point presentation proposed replacement plan
3 04/17/03 memo to Davis
4 04/19/03 Affidavit of Publication
5 04/19/03 memo to Davis
NOTES:
FAYETTENILLE
THE CITY OF FAYETTEVILLE, ARKANSAS
DEPARTMENTAL CORRESPONDENCE
To: Steve Davis
Finance & Internal Services
From: Clarice Buffalohead-Pearman
City Clerk Division
Date: April 117, 2003
Re: Affidavit of Publication
Attached is a copy of the above affidavit for Ordinance No. 4479 regarding fire equipment The
original will be filed with the original ordinance.
If anything else is needed please let the clerk's office know.
/cbp
attachments
NORTIOVEST ARKANSAS EDITION
AA.awas Demomt 7MOazette
AFFI AVIT OF PUBLICATION
I , , do solemnly swear that I am
Leg I Clerk of the Arkansas Democrat-Gazette newspaper, printed and
published in Lowell , Arkansas, and that from my own personal knowledge
and reference to the files of said publication , the advertisement of:
�_1ZQ/7Cr1 � / was inserted in the regular editions on
0//_ /9- 0i:�
** Publication Charge : $ a 9
Subscribed and swom to before me this
day of Zoos. RECEIVED
APR 21 2003
arr" Os= PAYE;I MVILL.
Notary P c CITY CLERt<'$ OFFIor--
My Commission Expires:
ORDINANCE NO. "79
AN ORDINANCE WAIVING THE REOUIREMENTS OFF MOEP
L COMPETRNE BIDDING . TO ALLOW THE CTrV OF _=invoijafi
�errt-Affidavit. ' FAYETTEVILLE TO ENTER INTOA FlFTEEN (15) VEARPURCHASING AGREEMENT WRH EMERGENCYONE-FIREnt. ' APPARATUS, INC. AND LEEOI INC.nsas WHEREAS. awe of re epvaretus horn a grille-mt.00`vend«wB maid Ina stands dbad fleet, and:
UNTY11 -05.2011WHEREAS, this wte avow for alar daN ied training for Frgas m
Fre oepannia,t peroor., , se wetl ore
OMCIM end effective epulpneni maimenance and warranty work, and;
�I. WHEREAS, Such starderdlZation W re" In both increased operating soonorNes end a fsgher Ie+el of
fire protacacn for the ClUers of FeyettevAlle, and:
WHEREAS, the OaY C=0 bids that WCh Ga+r¢lanGe9 canetitule,en exceptbnel sitmton where
kdher competill" bidding Is not feasble or precacal.
N NOW, THEREFORE, BE R ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYE TEVILLE,
ARKANSAS: -
Season 1. That the atY Cwncl of de CRY of FeyeftWIO. Aflmnsas, hereby Wakes the regd ements of
tWher cornpetNve bidding to afbw Ne Cly of Fayetteville to enter Into a fifteen (15) year purchasing
I agreement with Emergency One Fire Apparatus, Inn. end Leeco. Inc. for the acpWgtbn of be apparatue.
` PASSED and APPROVED this 15th day of April, 2003.
I APPROVED:
By.
r' rAN GOODY, Mayor
ErrEsr.
SOSO
NDR4 SMRH, Cay Clerk
212 NORTH EAST AVENUE P.O. BOX 1607 • FAYETTEVILLE, ARKANSAS 72702 • (501 ) 442-1700
FAYETTEA LLE 0
THE CITY Of FAYETTEVILLE, ARKANSAS
DEPARTMENTAL CORRESPONDENCE
To: Chris Bosch
Fire Operations
From: Clarice Buffalohead-Pearman
City Clerk Division
Date: April 17, 2003
Re: Ord, No. 4479
Attached is an executed copy of the above ordinance approved by the City Council on April 15,
2003, waiving the requirements of competitive bidding and to allow the city to enter into a 15 year
purchasing agreement with Emergency One Fire Apparatus, Inc. and Leeco, Inc.
If anything else is needed please let the clerk's office know.
/cbp
attachments
cc: Nancy Smith, Internal Auditor
• , STAFF REVIEW FORM • G�U
X AGENDA REQUEST
CONTRACT REVIEW y71
GRANT REVIEW ('..�rC���� �►�(., 9"I f-�
For the Fayetteville City Council Meeting of : April 15, 2003
'Y/^ DpV�ira'�us� lnc�
FROM:
Chris Bosch Fire Operations Fire Department
Name Division Department
d2A d n na 0
ACTION REQUIRED : A granting the Fire Department permission to enter into a
fifteen ( 15 ) year purchasing agreement with Emergency One Fire Apparatus and Leeco Fire
Equipment Inc . This agreement will provide the Fire Department with the ability to
maintain and up-to-date apparatus fleet by ensuring a long term working relationship with a
specific apparatus vendor .
COST TO CITY :
Cost of this request Program Category / Project Name
Account Number Funds Used to Date Program / Project Category Name
Project Number Remaining Balance Fund Name
BUDGET REVIEW: _ Budgeted Item Budget Adjustment Attached
Budget Manager Date
CONTR�A,C.T//GGR_ANT/LASEREVIEW: Staff recommends approval of this resolution .
3
Accounting Manager Date Internal Auditor Date
City Atto ney Date Purchasing Manager Date
STAFF RECCbt4E2IDATION :
Cross Reference
Division Head Date
New Item : Yea No
Department Director Date Previous Ord/Res # :
sds y- /
A -2 -03 Orig . Contract Date
Financta Internal Services Dir . Date
_ Orig . Contract Number
Chiefinistrative Officer Datq
Mayor 7 Date
Staff Review Form - Page 2 •
Description Fire Apparatus Purchase Plan Meeting Date April 15 , 2003
Comments : Reference Comments :
Budget Manager
Accounting Manager
City Attorney
Purchasing Manager
ADA Coordinator
Internal Auditor
Grants Coordinator
From the Desk of the Fire Chief Fayetteville Fire Dept
303 W. Center St.
Fayetteville, AR. 73701
(479) 5758365
Memo
TO: Fayetteville City Council
From: Chris Bosch, Fire Chief
CC: Dan Coody, Mayor,
Hugh Earnest, Chief Administrative Officer
Steve Davis, Internal Services Director
Date: March 31 , 2003
Re: Fire Apparatus Long Term Purchase Plan
Attached you will find a report on the Fire Department's proposal for establishing a
15-year purchasing strategy to replace the current fleet of fire apparatus. This
proposal identifies the Fire Department's current situation, the status of the existing
apparatus fleet, the establishment of an ongoing maintenance program and the
benefits of this type of program.
My Staff and I believe this type of purchasing commitment will allow the Fire
Department to improve the quality of service we deliver as identified in the Council's
Guiding Principles 4) Financially Sustainable City Government Providing Top
Quality, Responsive Service and 10) Reputation as a "Safe Community".
Further I believe this program will allow the Fire Department to begin the process of
proactively addressing the short, medium and long-term needs of the agency related
to apparatus and equipment.
I recommend approval of a resolution providing the Fire Department with the
authority to proceed with this purchase plan. If you would like any additional
information regarding this program proposal I will be happy to meet with you at your
convenience.
t
ire Apparatus Purchase Plan
Background
As you know, for several months the Fayetteville Fire Department has been working on
the development of a long-term purchasing strategy for fire apparatus. This program will
allow the Department to work with a single source vendor who will assist with the
design, construction and delivery of replacement and expansion fire units and assist the
Department in providing efficient and effective emergency service delivery.
Insurance Service Office, Public Protection Class
The Insurance Service Office (ISO) performs regular assessments of a municipality's ability to
provide fire protection. During this process ISO looks at three primary factors when
determining the city's Public Protection Classification (PPC). These three criteria include the
municipality's ability to handle incoming emergency calls through its dispatching center, the
community's water delivery system and the community's ability to actively and effectively
deploy emergency fire protection to its citizens. Cities are eligible for an ISO PPC rating in
range between 9, which is the highest rating available and 1 the lowest rating available. These
ratings are then used by insurance companies, as a factor m determining the premium rate for
homeowners insurance within the specific PPC. The application of PPC's varies between
insurance companies; however, this classification serves as a baseline. In essence, the lower
the rating the lower the homeowner's insurance premium.
Under the fire deployment aspect of this assessment process ISO uses four (4) basic sub-
categories for determining the Department's deployment capability. These four criteria are the
placement of existing fire stations and their ability to provide adequate coverage in their
respective service area; the department's minimum staffing levels, which includes the
consistent number of fire fighters assigned to each emergency response unit; the number of
fire apparatus available for emergency response throughout the city at a given time; and the
availability of reserve apparatus in the event a first-line unit is out of service for mechanical
reasons. These four criteria are combined, in conjunction with the two additional primary
criteria to determine the City's overall ISO rating.
Current Situation
Currently the City of Fayetteville's ISO PPC rating is set at Class 4, which is a mid-range
rating for a city the size of Fayetteville. This rating was originally established in 1983 when
the Fire Department aggressively undertook the initiative to improve the rating class. From
1983 through 1999 several discussions have been held regarding strategies which would allow
the organization to improve this rating. During this time flame several attempts were also
made to make this transition; however, due to factors such as the lack of reserve fire apparatus,
minimal staffing levels and the placement of existing fire stations, the Department was
unsuccessfiil in its undertakings.
In 1999 ISO inspectors returned to Fayetteville to conduct an assessment. As a result of this
process the City was able to maintain its Class 4 rating. During this assessment process, ISO
representatives expressed concern over the limited number of reserve fire apparatus and
necessary equipment to effectively meet the requirements of a Class 3 rating. According to
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*Fire Apparatus Purchase Plan
discussions held with ISO representatives the Fayetteville Fire Department had numerous
specialized tools and pieces of equipment; however, the Department lacked a complete
compliment of the basic tools and apparatus required to attain a Class 3 rating. Further ISO
representatives recommended that the Department review, and update, its routine maintenance
program and record keeping procedures for fire apparatus and equipment. At the time of
inspection information on apparatus maintenance and repairs was unavailable. ISO
representatives recommended the Department establish up to date maintenance file for the
existing fleet, in conjunction with a routine preventative maintenance program, which at the
time would have assisted in improving the Departments overall Class rating.
Current Fleet Demographics
The Fayetteville Fire Department's current apparatus fleet has an average age of seven (7)
years. Over the past two years the Department has experienced numerous days in which at
least one apparatus has been out of service for emergency repairs or service. When and
apparatus is out of service for repairs the normal procedure is to place the reserve unit in
service to replace the vehicle being repaired. This practice allows the Department to maintain
a consistent number of apparatus on the street at a given time.
Early in 2002 the Fire Department began assessing its current and future apparatus needs. As a
result of this assessment process representatives from the Department determined that in order
to maintain adequate coverage, keep an up to date fleet in service and utilize our current fiscal
assets effectively we needed to establish an alternative method for developing specifications,
purchasing and maintaining our apparatus fleet. When the process began we realized that our
past practices for purchasing apparatus left us with a fleet which had lost over 75% of its
initial purchase value. Further, we determined that past purchasing practices were vendor
driven rather than need driven, and that, historically, the Department had made it a practice of
accepting whatever product the vendor delivered regardless of the specifications. Often times
this was due to the urgent need at the time of delivery, which was created by the absence of a
regular replacement program.
After identifying these deficiencies Department representative immediately set out to develop
a system that would rectify these situation and prevent them from reoccurring. Over the past
twelve (12) months four (4) committees, consisting of Fire Department employees, have
worked diligently to determine the actual apparatus and equipment needs for the agency.
These groups have committed numerous hours to this process in an effort to develop a
comprehensive set of apparatus specifications and also to lay the ground work for an effective
procurement and replacement strategy.
This purchasing plan identifies the need for regular apparatus replacement on a five to seven
year cycle by utilizing a "Life-Cycle Costing" strategy, which places all apparatus on a
standard seven year depreciation cycle. The plan will also allow the Department to establish
an ongoing replacement program for apparatus which will provide a comprehensive strategy
for maintaining an up-to-date fleet of apparatus over the life of the program.
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*Fire Apparatus Purchase At
I have taken the liberty of listing five reasons why this purchase and replacement strategy is
critical to the Fire Departments overall operations plan.
1 . This purchasing strategy will allow the Fire Department to replace its existing
compliment of fire trucks with a more standardized apparatus fleet. At this time the
Department owns several different brands and types of apparatus, each with a different
pump operating system, braking system and hydraulic system along with different
engines, transmissions and electrical systems. This mixing-and-matching of fire
apparatus creates a vast degree of difficulty for fire fighters because they have to learn
how to operate numerous types of equipment and apparatus operating systems, resulting
in confusion for the Fire Fighter working in an emergency operations environment. By
standardizing the Fire Department's apparatus fleet, fine fighters will only require
training on a single piece of equipment and they will be able to proficiently operate each
apparatus in the Fire Department's fleet.
2. Over the past two years the Fire Department has experienced over four-hundred and five
(405) days in which at least one piece of fire apparatus was out of service for emergency
repairs. Often times, these lost days of service have required the closing of Fire
Companies due to the lack of adequate reserve apparatus available for use while these
units were being repaired. By purchasing a new apparatus fleet the Fire Department,
and the citizens of Fayetteville will be certain that a fire apparatus will be available at all
times to provide emergency response service and that the Department will have enough
reserve units to cover for front line apparatus during routine maintenance and repairs.
3. This type of purchasing strategy will provide for regular and routine preventative
maintenance for each piece of fire apparatus with the guarantee that each apparatus will
be serviced by a manufacturer's mechanic who is certified to work on the specific make
and model of apparatus purchased. Over the years the Department has provided
maintenance on an emergency basis. This service program will also help to ensure the
trade-in value for the Department, at the end of the purchase plan. Currently the Fire
Department's apparatus fleet has an overall value of $480,000 which is approximately
10% of the replacement cost for these pieces of equipment. By properly maintaining the
apparatus fleet the Department will receive an increased return when trading these units
in. This maintenance program, which is a critical part of this purchase plan will also
provide for bumper to bumper coverage by including both parts and labor for everything
from belts, hoses, tires and batteries to light bulbs and windshield wipers as well as any
major apparatus components.
4. This purchase program also includes the cost of annual pump and ladder testing for each
apparatus to ensure that all apparatus meet ISO and NFPA standards. Prior to 2003 the
Fire Department had not been performing these tests due to budgetary constraints, so by
including these requirements in the maintenance program the Fire Department will be
able remain compliant with the testing standards while ensuring fire fighter and citizen
safety. Further, these annual testing procedures are used as evaluation criteria during the
Department's ISO PPC evaluations. When a Department maintains an effective
preventative maintenance program ISO grants some additional credit to the agency.
3
*Fire Apparatus Purchase Plan
Apparatus Bid Specifications
In February 2003 the Fire Department, with assistance from the Purchasing Division, sent out
bid specifications to various vendors in an attempt to collect information on the actual cost and
feasibility of this type of purchasing program. These bids were posted for approximately
twenty-one 21 days. During this process the Fire Department asked each vendor to provide a
pricing strategy for this type of apparatus purchase. As part of this posting the Department
also identified that it intended to commit to a fifteen (15) year purchasing agreement
As a result of this process the Fire Department received only one response to our pricing
request. This response came from Leeco Fire Equipment, Inc. who is the authorized
Emergency One Fire Apparatus dealer for the States of Arkansas and Tennessee.
If you have any questions regarding this program I will be happy to provide additional
information, at your convenience. Keep in mind the pricing included in this packet is only
valid for 30 days so any discussion regarding this process or the Department's findings should
be expedited. Again, my staff and I will be happy to meet with you at your convenience to
further explain this information and to provide any additional detail on the bid specifications
and the benefits of alterative purchasing programs.
City Council Equipment Committee
On Tuesday, March 25, 2003 the Fire Department presented the results of this bidding process
to the City Council Equipment Committee. During this presentation the Fire Department
provided a power point presentation explaining the importance of this program and how it will
benefit the citizens, business owners and visitors of our community. During this presentation
many questions were voiced regarding the feasibility of this program, the deployment of
current resources and the need for expansion of the Department's current service delivery
system.
This program will assist the Fire Department by allowing us to begin the process of rectifying
numerous years of inefficient and ineffective specification development. This program will
also help the Department in the planning process for future needs as well as the most effective
method for deploying resources. Further it will provide the Department with the ability to
establish a long-term relationship with a specific vendor who will be responsible for ensuring
that all warranty work is performed efficiently and effectively.
Recommendation
Given the information listed in the preceding paragraphs Staff recommends that Council
approve a resolution allowing the Fire Department to enter into a 15 year purchasing
agreement with Emergency One Fire Apparatus, through their local vendor Leeco Fire
Equipment, hie.
4