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HomeMy WebLinkAbout46-08 RESOLUTIONRESOLUTION NO. 46-08 A RESOLUTION AWARDING BID #07-70 AND APPROVING THE PURCHASE OF ONE (1) AUTOMATIC TOUCHLESS VEHICLE WASH SYSTEM FROM ARK -0 PETROLEUM OF TONTITOWN IN THE AMOUNT OF $188,785.00 FOR USE BY THE FLEET OPERATION DIVISION. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section I. That the City Council of the City of Fayetteville, Arkansas hereby approves the purchase of one (1) automatic touchless vehicle wash system from Ark -0 Petroleum of Tontitown in the amount of $188,785.00 for use by the Fleet Operation Division. .......... ffffff PASSED and APPROVED this 4th day of March, 2008. APPROVED: By: DAN COODY, Mayor ATTEST By:: (-6144 Aft) a a S CD E. SMITH, City Clerk/Treasurer ‘05-. • • • • , 01 0cis, FAYETTEVILLE• E . e.S. 17C.) • • cc SP APA NSSt.a.•*$ e /0./9 fffff „S• 'Ve(iiitie.GTOM Cf -10‘‘‘ fffff David Bragg Submitted By City of Fayetteville Staff Review Form City Council Agenda Items and Contracts, Leases or Agreements —2149/28e8 — City Council Meeting Date Agenda Items Only Fleet Operations Division Action Required: • Operations lark Prfreicatnei g/ -Firth foithi Department A resolution awarding bid #07-70 to Ark -0 Petroleum of Tontitown in the amount of $178,022 plus tax for the, purchase of one automatic touchless vehicle wash system for use at Fleet Operations Division. 188 785 00 Cost of this request 9700.1920.5804.00 9700.1920.5801.00 Account Number 02121.1 06012.1 Project Number Budgeted Item 35,360.00 169,776.00 Category/ Project Budget Funds Used to Date 205,136.00 Remaining Balance Budget Adjustment Attached WashBay & Covered Storage Imprymt Automatic Vehicle Wash Program Category / Project Name Building Costs Fixed Assets Program / Project Category Name Shop Fund Shop Fund Fund Name 6StrilNitrtectvr-D CDC), C4 Mom/ °/lA -Pc...1 a. 4.ttai Finance an nternal Service Director I OeeaS Date (4/AT Date t -'5'-�r M or Date Date Previous Ordinance or Resolution # Original Contract Date: Original Contract Number Received in City Clerk's Office Received in Mayor's Office Comments: • Revised April 16, 2007 nye teyille Interdepartmental Correspondence To: Mayor Dan Coody Via: Gary Dumas, Director Of Operations From: David Bragg, Fleet Operations Superintendent Date: February 13, 2008 Subject: Purchase Of Fleet Vehicle Wash System Background: In June 1998, the City Council approved a contract with Dy -Chem International to provide automatic drive through vehicle wash equipment at no charge and to exclusively provide chemicals and supplies at a cost of $5.00 per gallon. That contract provided automatic renewals through December, 2003. The contract has since been extended each year through December, 2007. Fleet Operations staff began a review of the existing contract and actively researching alternatives in July, 2003. The Dy -Chem system utilizes a two step low PH (acid), high PH (base) chemical process to achieve a chemical "shock" to release dirt and film. This process is common in the vehicle wash industry; however the Dy -Chem low PH product contains a very harsh and dangerous hydrofluoric acid solution that leaves unpainted aluminum bright and shiny, but is unfriendly to painted finishes, glass, and unpainted. galvanized and ferrous metals as well as posing potential health and injury hazards Fleet mechanical staff has complained that the chemical acid damages electrical components since I first arrived in 2003. This product certainly does not comply with the City of Fayetteville Environmental Purchasing Policy. Wash process is dependent on the operator driving through at the proper speed. Proper "dwell" time following each chemical application is essential to the cleaning process. Chemical and water usage are also dependent upon travel speed. Results and supply cost vary substantially from one operator to another. Removal of soot and road film from painted surfaces is mediocre. In mid 2005 we realized that many of our 3-4 year old vehicles had severe paint damage — clear coat was gone. The only plausible explanation was the hydrofluoric acid. Zinc plating on hydraulic lines was also gone and exposed steel lines were rusted — obviously the result of acid. Though DyChem denied ever having a similar paint complaint, we requested a replacement chemical. Two high PH (alkaline) chemicals were supplied which do not clean well at all, but we have not seen paint damage to vehicles purchased since the chemical change. 113 West Mountain Fayetteville, Arkansas 72701 Office phone - 479-575-8330 Fax - 479-575-8257 E-mail - gdumas@eilayetteville.arms Achieving a cleaner fleet without paint damage should increase resale value. A 5% increase would net approximately $100,000 in 8 years. For the past two years, we have continued to spend $5,500 per month for chemical that does not work effectively. Since 1998, the City has paid Dy -Chem $575,854 for hazardous chemical pumped through their "free" equipment. Search for Alternatives: Fleet Operations staffunderstands that our mission includes maintaining a clean and attractive fleet that positively represents the image of our City. No known touchless automatic wash equipment does a perfect job of getting a dirty truck clean. They do get them cleaner and do a good job of maintaining a clean vehicle when used regularly. The Dy -Chem hydrofluoric acid product cleans, but is too dangerous to personnel and harmful to the vehicles. The current chemicals do not clean. Overall operating cost is high. Hand washing is the most effective method of providing the best available wash, however, no cost effective way of providing this service on the time schedule required has been found. A hot high pressure hand wand system is used by operators for occasional heavy cleaning, however labor cost for regular cleaning is not cost effective compared to automated systems. A trial contract with an on site mobile wash contractor during January and February, 2004 did not effectively meet the needs of the vehicle operating divisions. Environmental concerns further dictated elimination of this alternative Tokens are being purchased for Spot -Not commercial drive through touchless facilities for sedans and pickup trucks without overhead racks or equipment. However, there is no available commercial facility that will accommodate larger trucks and equipment. The varied configuration of the City's fleet essentially prevents use of brush type wash equipment. Automatic touchless equipment that moves over a parked vehicle at a programmed rate and capable of accommodating the complete size range of the City fleet appears to be the most viable alternative. An RFP to provide wash equipment, chemicals and services on a pay per wash basis for a 60 month term was opened August 13, 2004. Limited responses were received and those were not cost effective due to the short term and limited number of wash cycles in which contractors had to recover their equipment and installation costs. The better proposal would have provided an improved wash quality and the City would have owned the equipment after 60 months. However, the cost per wash was 12% greater than the Dy - Chem system and was not approved by the Equipment Committee. A cost analysis was performed using an 8 year depreciation schedule for purchased equipment resulting in a per wash cost lower than the cost of using the Dy -Chem system. Funds were budgeted in FY2006 for the wash equipment purchase. Bids were opened in July 2006, however all were rejected for various general contractor discrepancies. 113 West Mountain Fayetteville, Arkansas 72701 Office phone - 479-575-8330 Fax - 479-575-8257 E-mail - gduinas@ei.layeiteville.ar.us Bids were restructured and opened again August 16, 2007. The bid from Ark -0 Petroleum of Tontitown was approved by the Equipment Committee on January 29, 2008. Throughout this process, Fleet Staff (David Bragg, Jesse Beeks, Barbara Olsen) and Solid Waste Staff (Ronnie Caudle) have visited automatic equipment installations at Hot Springs, AR; Ft. Leonard Wood, MO; Chicago, IL; Pittsburg, TX; and Dallas, TX. Equipment from three manufacturers was inspected including two different installations of the Belanger V -Max equipment proposed by Ark -0. Age of inspected equipment was from one to eight years. The equipment proposed to be purchased • has a useful life of at least 8 years (96 months). At 96 months, adequate funds will have been recaptured through depreciation payments to recover the equipment purchase cost; • does not utilize dangerous chemicals; • does utilize substantially less water per wash 153 gallons vs 260 gallons with the Dy -Chem system; • does reduce wastewater utilization to 153 gallons per wash; By owning the equipment, the City of Fayetteville can choose the most effective and environmentally preferable cleaning agents available from any supplier. CONCLUSION: The Belanger proposal is the best alternative considering cost and wash quality that we have found in four years of study and research 113 West Mountain Fayetteville, Arlcansas 72701 Office phone - 479-575-8330 Fax- 479-575-8257 E-mail - gdumas e@eiSayetteville.ar.us EFFECTS OF DY -CHEM CHEMICALS TO FLEET WASH BAY WASH BAY WALL ADJACENT TO HYDROFLUORIC ACID ARCH WALK DOOR IN WASH BAY NEAR DY -CHEM CHEMICAL ARCHES EFFECTS OF HYDROFLUORIC ACID ON STEEL GRATES AND CONCRETE FLEET WASH SYSTEM BID EVALUATION Bid No. 07-70 Base Bid Underbody Spray Rocker Panel 2 Hand Wands Bid Total Deductive Alternate: 45' Length Revised Total Additional installation cost TOTAL Total Units in Service Wash Pressure Life in Months Monthly Depreciation 30' Truck Washes per Month Water Consumption - Gallons Sewer Electric - KwH Water per Month Sewer per Month Electric per Month Monthly Total Water/Sewer/Electric Chemical Gallons per wash Price per gallon Chemical Cost per wash Chemical per month Total Monthly Cost ARK -0 Belanger V -Max $ 179,518.00 $ 2,045.00 $ 2,557.00 $ 10,902.00 $ 195,022.00 $ (17,000.00) $ 178,022.00 $ 9,000.00 $ 187,022.00 Par 2.3 25 96 900 1100 PSI $1,948.15 153 153 1.02 $333.23 $280.91 $54.44 $668.58 $1.79 $1,611.00 $4,227.72 Auto Coin Op Ryco Atlantis $ 165,955.95 $ 10,670.00 $ 3,535.00 $ 13,400.00 $ 193,560.95 $ (3,000.00) $ 190,560.95 $ 9,000.00 $ 199,560.95 20 350 PSI $2,078.76 926 926 3.91 $2,016.83 $1,700.14 $208.67 $3,925.63 0.350 $4.00 $1.40 $1,260.00 REVISED Feb -08 Current DYCHEM No Cost 100 PSI 260 260 Unknown $566.28 $477.36 Unknown $1,043.64 $ 5.00 $5,174.54 $7,264.39 $6,218.18 FLEET OPERATIONS Fayetteville 1525 S. Happy Hollow Road Fayetteville, AR 72701 ARKANSAS (479) 4444495 FAX (479) 444-3426 -11.1.1,1 'NI I I IS Interdepartmental Correspondence TO: MAYOR/CITY COUNCIL THRU: GARY DUMAS, DIRECTOR OF OPERATIONS FROM: DAVID BRAGG, FLEET OPERATIONS SUPERINTENDENT DATE: JANUARY 30, 2008 SUBJECT: PURCHASE OF AUTOMATIC TOUCHLESS VEHICLE WASH RECOMMENDATION: That City Council approve the purchase of one automatic touchless vehicle wash system per bid #07-70. BACKGROUND: Bid #07-70 was opened on October 12, 2007 for one automatic touchless vehicle wash system for the Fleet Operations Division. Four bid responses were received. A detailed tabulation sheet is attached. The lowest bid from Interclean Equipment does not meet specifications. An automatic system which moves around a parked vehicle in a controlled program is specified. Unit bid is a drive through type dependent upon driver controlled speed for wash dwell time. This is the type of equipment currently in use that does not operate satisfactorily. The second lowest bid from Powerain Systems does not meet specifications (Par 2.2) requinng the unit bid to have been in commercial production for a minimum of 5 years and a minimum of 15 units currently in operation. Powerain has produced only one of the units bid and it has been in operation approximately two years. This is not an acceptable track record for equipment of this complexity. The two remaining bids meet specifications. With the deductive altemate for 45' maximum length, the bid from Ark -0 Petroleum for a Belanger V -Max is the lowest bid. There are only two tractor trailer vehicles in the fleet that require additional length, and the 45' unit bid will wash the tractor portion without removing the trailer. Three Fleet Staff members recently visited a City of Dallas Sanitation facility and observed a Belanger V -Max in operation. This unit is approximately two years old and performed well in washing a vanety of vehicles. The wash quality is much better than the drive through unit currently in use. Additionally, the utility operating cost of the Belanger V -Max is one forth the utility cost of the Ryko Atlantis bid by Arkansas Coin Canivash, and two thirds the utility cost of the existing unit. I recommend acceptance of the bid from Ark -0 Petroleum of Tontitown in the amount of $178,022.00 plus tax. Funds are available for this purchase in the Fleet Special Project 06012 — Automatic Vehicle Wash, and Project 02121 — Wash Bay Improvement The purchase of this unit was approved by the Equipment Committee on January 29'h, 2008. • RESOLUTION NO. A RESOLUTION AWARDING BID #07-70 AND APPROVING THE PURCHASE OF ONE (1) AUTOMATIC TOUCHLESS VEHICLE WASH SYSTEM FROM ARK -0 PETROLEUM OF TONTITOWN IN THE AMOUNT OF $188,785.00 FOR USE BY THE FLEET OPERATION DIVISION. ••• BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby approves the purchase of one (1) automatic touchless vehicle wash system from Ark -0 Petroleum of Tontitown in the amount of $188,785.00 for use by the Fleet Operation Division. PASSED and APPROVED this 19th day of February, 2008. APPROVED: ATTEST: By: By: DAN COODY, Mayor SONDRA E. SMITH, City Clerk/Treasurer 1 ARKANSAS FLEET OPERATIONS 1525 S. Happy Hollow Road Fayetteville, AR 72701 Equipment Committee Correspondence t• TO: City of Fayetteville, Equipment Committee Bobby Ferrell, Chairman Adella Gray Kyle Cook Lioneld Jordan FROM: David Bragg, Fleet Operations Supt •DATE: January 22, 2008 SUBJECT: Award of Bid 07-70 Bid #07-70 was opened on October 12, 2007 for one automatic touchless vehicle wash system for the Fleet Operations Division. Four bid responses were received. A detailed tabulation sheet is attached. The lowest bid from Interclean Equipment does not meet specifications. An automatic system which moves around a parked vehicle in a controlled program is specified. Unit bid is a dnve through type dependent upon driver controlled speed for wash dwell time. This is the type of equipment currently in use that does not operate satisfactorily. . he second lowest bid from Powerain Systems does not meet specifications (Par 2.2) requinng the unit bid to have been in commercial production for a minimum of 5 years and a minimum of 15 units currently in operation. Powerain has produced only one of the units bid and it has been in operation approximately two years. This is not an acceptable track record for equipment of this complexity. The two remaining bids meet specifications With the deductive alternate for 45' maximum length, the -bid from Ark -0 Petroleum for a Belanger V -Max is the lowest bid. There are only two tractor trailer vehicles in the fleet that require additional length, and the 45' unit bid will wash the tractor portion without removing the trailer. Three Fleet Staff members recently visited a City of Dallas Sanitation facility and observed a Belanger V -Max in operation. This unit is approximately two years old and performed well in washing a variety of vehicles. The wash quality is much better than the drive through unit currently in use. Additionally, the utility operating cost of the Belanger V -Max is one forth the utility cost of the Ryko Atlantis bid by Arkansas Coin Carwash, and two thirds the utility cost of the existing unit. I recommend acceptance of the bid from Ark -0 Petroleum of Tontitown in the amount of $178,022.00. Funds are available for this purchase in the Fleet Special Project 06012 — Automatic Vehicle Wash, and 02121 —Wash Bay Improvement ;c: Gary Dumas ',Po yr0 3 /rOR iz_13 Se" / /a °I epea3 c Touchless Vehicle V1/4sh System tn. 0 10 co 01 69 CO 10 :fl:0 MI CO CO ma" * < < 2 Automatic Coln Carwash Sys., Inc. o 0 0000 06 0 c) csi ° 0- ID 0 0 (4 oi 2 63 3 InterClean Equipment, Inc. o 0 0 • -0 -0 0 If) 0 4) CD -o ui co 0 0co CO 0 0 0 git C:) 0 0 CI 0 0 0 g •—• CD Z > 4 Powerain Systems, Inc. oto• EL— Finance & Internal Services Director: Budget Manager: IT Manager: Dispatch Manager: Utilities Manager: Special Instructions: Amount of Tax is capped. We.will have to apply for rebate. 0 CO CO -4 0) 01 a co r.) _. as 3 Requester Barbara Olsen 0 a: ....c > a. E." w m .. !Vendor # 7079 City Of Fayetteville (Not a Purchase Order) Shipping/Handling 03og — 0 80 -4 2,14 0 VEHICLE WASH SYSTEM PER BELANGER V -MAX AUTOMATIC_ 0 m co m. -a o: o , " ID c a) D ,-t 0 W EA _ EA PE–A-1 EA EA EA F EA rn 1, T Unit of Issue • $178,022.00 Unit Cost State: Vendor Name: ARK -0 PETROLEUM 0 " b o 0 " b o En 0 b o 01 0 b o $0.00 00.0$ Ili 0 b o bre 0 b o OS 0 b o VI 0 b o $178,022.00 Extended Cost co -4 0 0 :. (0 1‘) 0 th CO 0 .-5 b o Account Numbers Requester's Employee # 1940 Zip Code Fob Point: Ship to code: 050 btotal: Su178,022.00 Tax: 10,762.57 Total: 188,784.57 0 co 0 a N .... IProject/Subproject # I m m 0 5 R a cc en Ifis4nfiS Approval: I Taxable Yes: XX No: -< 0 I Z a I = -o 0 z c 3 g Requisition No. 5 < m n 5. R ft Quotes Attached Yes: No: Expected Delivery Date: -. Z3 c• i ia ci c, co 0 # From: To: Date: Subject: Attachments: Clarice Pearman Bragg, David 3.7.08 12:24 PM Res. 46-08 46-08 Ark -0 Petroleum.pdf CC: Audit David: Attached is a copy of the above resolution passed by City Council. I will forward to Purchasing your requisition. Please let me know if there is anything else need for this item. Have a good weekend. Thanks. Clarice Clarice Buffalohead-Pearman, C.A.M.C., C.M.C. City Clerk/Treasurer Division 113 West Mountain Fayetteville, AR 72701 479 575 8309 cpearman@ci.fayetteville.ar.us 113.7.0EQ, Clarice Pearman -Res. 46-08 Patti From: To: Date: Subject: Attachments: Clarice Pearman Bragg, David 3.7.08 12:24 PM Res. 46-08 46-08 Ark -0 Petroleum.pdf CC: Audit David: Attached is a copy of the above resolution passed by City Council. I will forward to Purchasing your requisition. Please let me know if there is anything else need for this item. Have a good weekend. Thanks. Clarice Clarice Buffalohead-Pearman, C.A.M.C., C.M.C. City Clerk/Treasurer Division 113 West Mountain Fayetteville, AR 72701 479 575 8309 cpearman@ci.fayetteville.ar.us 3.7.08 Clarice Pearman Fwd: Res. 46-08 Page 1 From: To: Date: Subject: Attachments: Clarice Pearman Vice, Peggy 3.7.08 12:26 PM Fwd: Res. 46-08 46-08 Ark -0 Petroleum.pdf Sony. I forgot to cc you Have a good weekend. >» Clarice Pearman 3.708 12624 PM »> David: Attached is a copy of the above resolution passed by City Coundl. I will forward to Purchasing your requisition. Please let me know if there is anything else need for this item. Have a good weekend. Thanks. Clarice Clarice Buffalohead-Pearman, C.A.M.C., C.M.C. City Clerk/Treasurer Division 113 West Mountain Fayetteville, AR 72701 479-575-8309 coearmarecilavetteville.ar.us •