Agenda

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Item # 8.

Council Meeting

Meeting Date:	10/26/2021
Department:	General Services
Pillars:	Excellence in Asset Management
Milestones:	Effectively utilize and promote the Silver Line development with a first mile/last mile solution

AGENDA CAPTION:

Consider Action on a Resolution Approving the Purchase of (1) 2022 F-350 Crew Cab Truck, (1) 2022 Ford F-350 Crew Cab Dump Body Truck, and (1) 2022 Ford F-250 Crew Cab Service Body Truck from Silsbee Ford Through the Purchasing Cooperative Known as TIPS USA in an Amount Not to Exceed $157,673.50.

BACKGROUND:

An Asset Management System (AMS) is utilized to track the Town's vehicles and analyze their condition. Staff reviews and evaluates the condition of the vehicles on an annual basis to determine which assets warrant replacement. The General Services and Parks vehicles listed below have reached the end of their useful life and are due for replacement.

Purchasing cooperatives solicit competitive bids from many vendors for products and services for their members. Purchasing through a cooperative streamlines the procurement process for public entities resulting in a savings of both administrative time and money. Through the TIPS USA purchasing Cooperative, staff identified Silsbee Ford as being able to provide the replacement trucks needed.

The Capital Equipment Replacement Fund (CERF) was established to accumulate sufficient resources to replace existing capital rolling stock and heavy equipment that has reached the end of its useful life. Capital Equipment Replacement Fund resources are acquired through charges to operating departments. The charges are calculated using a straight-line depreciation-based method on an item's expected life.

The following assets are recommended for replacement based on the AMS and staff condition assessment:

**Capital Equipment Replacement Fund Purchase**
Item	Department	Price	Budgeted Amount
(1) 2022 Ford F-350 Crew Cab Dump Body	Parks	$58,346.25	$58,350.00
(1) 2022 Ford F-250 Crew Cab Service Body	General Services	$59,065.25	$59,500.00
Total		$117,411.50	$117,850.00

The Parks Department added a new Ford F-350 truck for a new Parks crew through the budget process.

**Department Funded**
Item	Department	Price	Budgeted Amount
(1) 2022 Ford F-350 Crew Cab	Parks	$40,262.00	$64,715.00
Total		$40,262.00	$64,715.00

RECOMMENDATION:

Administration recommends approval.

Attachments
Resolution - Silsbee For Vehicle Purchases
Silsbee Ford Pricing Sheet