8F Consent 2009 1116 - Laserfiche WebLink

Home

CITY OF SAN LEANDRO STAFF REPORT DATE: November 10, 2009 TO: Stephen L. Hollister, City Manager FROM: Perry H. Carter, Interim Finance Director~- APPROVED AND FORWARDED TO CITY COUNCIL/ tephen L. Hollister City Manager SUBJECT: MATTER OF ACQUISITION OF ONE FIRE APPARATUS -PUMPER TRUCK UTILIZING A LEASE PURCHASE AGREEMENT AND ADJUSTING THE 2009-10 GENERAL FUND BUDGET SUMMARY AND RECOMMENDATION Staff recommends City Council approval of resolutions authorizing the City Manager to execute a lease purchase agreement and other documents as necessary to finance the acquisition of one fire apparatus--pumper truck (fire engine) and to adjust the 2009-10 General Fund budget to acquire necessary equipment to outfit the new fire engine. BACKGROUND/DISUCSSION The City of San Leandro currently contracts with the Alameda County Fire Department (Fire Department) for fire services. However, all facilities and equipment, including fire engines, are owned and provided by the City. Currently the City has three active or "front line" fire engines that are candidates for replacement based on mileage and hours of service. Based on these criteria, the Fire Department is recommending replacement of all three engines. The cost of replacing all three engines, including required equipment, however, is significant (in excess of $ I.8 million). The Fire Chief has indicated his understanding of the financial challenges currently facing the City and is recommending that a minimum of one fire engine be purchased in this fiscal year. The 2009-10 General Fund budget contains funding for the lease/purchase of one fire engine. At the time the 2009-10 budget was developed, staff anticipated that at least one fire engine would be purchased and $150,000 was budgeted for an equipment lease/purchase payment. The Fire Department recently completed a competitive bid for multiple fire engines and local agencies can utilize the bid to acquire equipment. The specifications for the equipment were developed by the Alameda County Fire Department and meet all safety and environmental requirements. The fire engine that would be acquired by "piggy backing" on the County bid also meets the City's requirements and is consistent with equipment currently in use. For these reasons staff is recommending that the City acquire one new fire engine utilizing the County' bid. In addition to benefiting from the County's bid process, the City will benefit from additional discounts that are offered for multiple orders.