CC_Minutes_2014_0707 - Laserfiche WebLink

Home

Regular City Council Meeting Monday,July 7,2014 Page 17 At the request of Mayor Roe, City Attorney Gaughan opined that this agency fit the definition under State of MN Statutory bid laws as an exemption for coopera- tive purchasing entities versus the low bid process. At the request of Councilmember Willmus, Chief O'Neill reviewed the ad- vantages of a piece of equipment customized for the Department and community versus a piece of equipment that was functional, but not ideal as the most effec- tive and efficient. At the request of Councilmember McGehee, Chief O'Neill advised that, by the time engines are recycled after 10-20 years depending on their mileage and maintenance record, there was not much resale value at all, whether generic or customized. Chief O'Neill noted that the units had a high volume of miles, and typically only resold for approximately $8,000 to $12,000, and usually to rural departments who would absorb maintenance costs, without much further invest- ment available in those circumstances. Chief O'Neill advised that each engine had to go through an annual certification process, and the first five years typically put approximately 100,000 miles on each piece of equipment. Chief O'Neill not- ed that, often the old engines were hard to get rid of, due to that certification pro- cess and their increased maintenance as they aged; and the high mileage and vol- ume of use they'd received before being recycled out. At the request of Councilmember McGehee, Chief O'Neill opined that he was not sure there would be any cost advantage between low bids for a generic piece of equipment or the HGACBuy Program and a customized piece of equipment, since the ultimate goal was to get the best piece of equipment possible for the Roseville Fire Department. Chief O'Neill noted that either process would need to remain at or below the budgeted amount versus asking additional funding from the City Council. Chief O'Neill reiterated that the City was getting a cab and chassis at an agreed-upon price available to any municipality, but was unaware at this time of the cost of customization components. At the request of Councilmember McGehee, Chief O'Neill reviewed the HGAC- Buy Program process and their determination annually of 4-5 different cabs and chassis available, similar to those offered in a state bid contract used in MN. Councilmember Willmus expressed his interest in taking more time to review this program, and asked if there were any time constraints in deferring action until next week's meeting to allow him to perform his own due diligence before mak- ing a decision. Chief O'Neill responded that one week wouldn't make any difference; but ad- vised that if the Department was directed to pursue the lowest bid process, it was a time-consuming process that needed development of a Request for Proposals (RFP) document and extensive specifications.