City Council Meeting - FINAL


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  8.C.       
Meeting Date: 01/17/2023  
Co-Submitter: Emily Markel From: Mark Wilson, Deputy Fire Chief

Information
TITLE:
Consideration and Approval of Contract:  Approve the Cooperative Purchase Contract for a Velocity Aerial Bucket Quint Unit with Hughes Fire Equipment, Inc. in the total amount of $1,960,222.66.
STAFF RECOMMENDED ACTION:
  1. Approve the Cooperative Purchase Contract with Hughes Fire Equipment, Inc. through the Sourcewell Agency Cooperative Contract for a new Velocity Aerial Bucket Quint Unit in the total amount of $1,960,222.66; and
  2. Authorize the City Manager to execute the necessary documents.
Executive Summary:
The purchase of the Velocity Aerial Bucket Quint Unit will be an additional new Quint, giving the Flagstaff Fire Department (FFD) three total Quints with one being placed in a reserve capacity. Having a reserve Quint is very important as there has been an increased development of multi-story buildings in the community. The addition to the Fire fleet assures better coverage for these higher risk needs.

A Velocity Aerial Bucket Quint Unit is different from an Engine because it has the following: 1) water; 2) pump; 3) hose; 4) ground ladders; and 5) an aerial ladder – for higher facility access – usually over 100’.

This Velocity Aerial Bucket Quint Unit was part of the current Development Fees adopted by Council.  This Velocity Aerial Bucket Quint Unit would go into one of the three heaviest call volume districts in the City's central corridor. It will be used in a co-staffed capacity but will be strategically placed in the areas seeing the largest influx of elevated structures in the City for standards of cover needs.
 
Hughes Fire Equipment, Inc., is a fully authorized dealer of Pierce Manufacturing, Inc. products such as the Velocity Aerial Bucket Quint Unit. Pierce Manufacturing, Inc. has cooperative purchase contract #113021-OKC with Sourcewell to purchase their products at a reduced rate and authorizes Hughes Fire Equipment, Inc. to sell those products.

(This Staff Summary has been revised to reflect use of Development Fees.)
Financial Impact:
The purchase of the Velocity Aerial Bucket Quint Unit is part of the City Manager’s proposed budget that was presented to Council at the April Budget Retreat. Development Fees were determined an allowable source to fund the expansion of the Fire Departments Quint fleet due to our growing community.  The amount of the purchase is budgeted in account 003-03-051-0203-2-4101.
 
In addition to the purchase of this equipment, separate contracts will likely be brought forward for the purchase of new equipment at a later date.
 
Hughes Fire Equipment, Inc. may request full or partial payment as part of our commitment to the purchase. If funds are provided in fiscal year 2022-2023, that will be placed in a prepaid expense account and then expensed on delivery of the vehicles through a carry forward process.
Policy Impact:
By purchasing an additional Velocity Aerial Bucket Quint Unit, it improves FFD's ISO (Insurance Services Office rating) and standards of cover needs to support new development. 
Connection to PBB Priorities/Objectives, Carbon Neutrality Plan & Regional Plan:
Priority Based Budget Key Community Priorities and Objectives
Safe & Healthy Community - Provide public safety with the resources, staff and training to respond to community needs. High Performing Governance - Serve the public by providing high quality internal and external service.

Regional Plan
Goal PF.3. Provide high-quality emergency response and public safety services including law enforcement, fire, medical, and ambulance transport service.
Policy PF.3.1. Maintain high-quality effectiveness and efficiency in law enforcement, fire, and emergency services to the extent that is consistent with governmental operations, plans, public policies, population served, and monies available.
Has There Been Previous Council Decision on This:
No.
Options and Alternatives:
  1. Approve the Cooperative Purchase Contract with Hughes Fire Equipment, Inc. for the Velocity Aerial Bucket Quint Unit; or
  2. Reject the Cooperative Purchase Contract and direct Staff to conduct an independent procurement; or
  3. Reject approval of the Cooperative Purchase Contract and continue to utilize older units, which may result in decreased service levels and increased breakdowns.
Background/History:
The City has seen an increase in the number of multi-story buildings in our community.  The increase in these types of structure require the appropriate type of fire apparatus for response.  In addition, expanding the Fire Department fleet to three Quints, assure better coverage in the city when one quint is being put out of service for maintenance.  The City identified the need to expand the number of Quints in the most recent Land Use Assumptions, Infrastructure Improvement Plan and Development Fee Report.   

FFD has chosen to use the Pierce products sold by Hughes Fire Equipment, Inc. as the fire engine manufacturer due to longevity, quality, maintenance, and overall fleet consistency for operational use.

Purchasing staff reviewed the agency contract and amendment to confirm validity of the terms and similar scope. The Cooperative Purchase Contract from Sourcewell conforms with City procurement rules. Purchasing staff worked with Hughes Fire Equipment, Inc. to develop the draft City of Flagstaff Cooperative Purchase Contract attached herein.
Key Considerations:
By purchasing this additional Velocity Aerial Bucket Quint Unit, FFD will increase capacity in our current fleet in order to better meet the national standards for protection of life and property within the ever-growing community. This need includes servicing elevated buildings and increased higher risk developments that can be provided by the Velocity Aerial Bucket Quint Unit.
Expanded Financial Considerations:
The City Budget Team provided direction to FFD staff to seek the addition of one Quint to the Fire Department fleet and the purchase of a new Velocity Aerial Bucket Quint Unit. Funding was set aside from Development Fees in the FY22-23 Budget.

By approving the purchase in January, FFD will be ahead of the anticipated 3-6% increase from Pierce in February of 2023 for this same unit.

Management Services reviewed the Lease-Purchase financing option and determined the use of balance in the Developmen Fee Fund would be adequate and woudl avoid up to $150,000 in financing costs.  
Community Benefits and Considerations:
Purchasing a new Velocity Aerial Bucket Quint Unit allows response efforts to be consistent in meeting the FFD mission and the community expectations for public safety response. This will also reduce the amount of time FFD will have to put crews responding to emergency incidents. As the community moves into higher density and elevated footprints, having multiple operational Quints is critical to support the changing infrastructure demands within the City.
Attachments
Contract 2023-83
Exhibit A
Exhibit B - Agency Contract


    

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