02-03-1998 - Vactor/Jetter Truck Replacement - MP-98512City of West Covina
Memorandum
TO:
FROM:
SUBJECT:
SUMMARY:
ity Manager and
ity Council
ck Glover, City Engineer
is Works Director.
AGENDA
ITEM NO. B-7a
DATE February 3 1998
®PRINTED ON RECYCLED PAPER
R/JETTER TRUCK REPLACEMENT — MP-98512
The Maintenance Department's sewer section is currently using a
sewer cleaning vactor/jetter truck which is in need of replacement
due to age and poor mechanical condition. A replacement was
authorized and funds appropriated as part of 1997-98 Capital
Improvement Program (CIP). The Maintenance Department has
solicited bids from four vactor/jetter dealers with the lowest bid being
$191,026 including tax ($220,944 for lease/purchase over five years)
from Haaker Equipment Company of Pomona, CA.
BACKGROUND
The Maintenance Department's sewer section is currently using a vactor/jetter that
is 17 years.old.'When the City purchased this unit in January 1981, its usable life
cycle was estimated at 12 years.
This equipment) which is mounted on a heavy duty truck chassis, is an essential
component req 1 fired to vacuum and flush out debris in the City's sewers and catch
basins. The wastewater crews clean approximately 1400 storm drains and catch
basins, and 75 miles of sewer lines annually. In addition, this equipment is used to
provide contractual sewer cleaning services for the City of Covina.
In the last two years, this unit has required a higher level of maintenance and
repairs due to its deteriorating condition. These unscheduled repairs are often
costly and could leave the unit unavailable for service during emergencies. The
engine has also become an issue as it is now so worn out that it cannot climb the
many hills in our City with a full load of water on board.
ANALYSIS .
Refurbishing this unit will require overhauling the vacuum pumps, water tanks,
hose reels, and boom mechanism, replacing all hoses, hydraulic lines, valves and
auxiliary engine and mounting the entire unit on a new cab and chassis. The cost
for refurbishing Iis approximately $144,800. In addition, the cost to rent a vactor
unit for four months during refurbishment is approximately $22,000, bringing the
total cost to approximately $166,800.
Because of the high refurbishment costs, staff inspected and tested several new
vactor/jetter trucks. Many new features are now available that -make these units
much more efficient, safer, and economical both to use and maintain. With these
features, the useful life of a new vactor/jetter is estimated to be 20 years.
Staff solicited bids from four vactor/jetter dealers. These bids were opened in the
City Clerk's office on Monday, January 26, 1998 at 10 am and reviewed for errors.
The lowest responsive bid was from Haaker Equipment Company of Pomona,
California, in the amount of $176,467, excluding tax.
The following is�a summary of bids received:
1. Haaker Equipment Company
Pomona, CA 176,467
220,944
2. Ben-Ko-Matic
Portland, OR 191,978
2481096
3. GCS Western Power & Equip.
Hayward, CA 192,625
N/A
4. Balar Equipment
Corp.
Phoenix, AZ 198,275
N/A
FISCAL IMPACT
Funding for the vactor/jetter truck is i
from sewer funds.
By purchasing this unit, the City wouli
City has been offered very favorable (!
payments over five years. Payments u
1997/1998
$ 22,094
1998/1999
44,189
1999/2000
44,189
2000/2001
44,189
2001 /2002
44,189
2002/2003
22,094
TOTAL $220/944
Selecting the lease/purchase method
however, is currently earning in exci
City can borrow money at a lower rz
accept the lease/purchase option.
ALTERNATIVE
Refurbish existing unit which may e
total cost of $166,800 including tax
RECOMMENDATION
It is recommended that the City Coui
vactor/jetter unit with the lease/purcl
Company of Pomona for the total amo
L. Corky KPig
Supt..of Maintenance Operations
202-98
luded in the 1997-98 CIP Project MP-98512
pay $191,026, including tax. However, the
.73%) lease rates, and can extend the
ider the proposed lease will be:
:)sts the City interest at 5.73%. The City,
of 6% on its sewer fund reserve. Since the
than our earnings rate it is preferable to
d its useful life by another ten years for a
rental fees.
it authorize the replacement of the current
se of a new unit from Haaker Equipment
it of $220,944 payable.over five years.
atrick Glo er, City Engineer
Public Works Director