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HomeMy WebLinkAboutItem 2f - Purchase order for remount and refurbish of three resuce ambulancesG�IIFOgnt9`y� * a ' —d AuBUSt i, IY03 C ° --jq°n;ty°t ° ee � STAFF REPORT Fire Department DATE: April 7, 2015 TO: Honorable Mayor and City Council FROM: Kurt Norwood, Fire Chief By: Michael Lang, Deputy Fire Chief Maria Lourdes A. Taylor, Senior Management Analyst SUBJECT: PURCHASE ORDER WITH EMERGENCY VEHICLE GROUP, INC. TO REMOUNT AND REFURBISH THREE RESCUE AMBULANCES FOR THE ARCADIA FIRE DEPARTMENT IN AN AMOUNT OF $304,200, AND APPROPRIATE AN ADDITIONAL $35,000 FROM THE EQUIPMENT REPLACEMENT FUND Recommendation: Approve SUMMARY The Fiscal Year 2014 -15 Equipment Acquisition Budget included funding of $276,000 for the purchase of one completely new rescue ambulance to replace a 15 year old ambulance. During the bidding process, City staff and vendors explored the possibility of refurbishing and remounting the existing "box" (the portion of the ambulance where patient care is delivered) onto a new chassis. This was shown to be significantly less expensive but will be equally as reliable as a fully new unit. In fact, all three of the City's rescue ambulances could be refurbished for only slightly more funds than one fully new one. Due to issues being experienced with the fleet, a complete change out is advisable at this time. In light of this, the Fire Department recently solicited bids to remount and refurbish three Road Rescue ambulances and determined that Emergency Vehicle Group, Inc. (EVG) was the lowest responsive and responsible bidder. Therefore, it is recommended that the City Council approve a purchase order with Emergency Vehicle Group, Inc. to purchase engines, vehicle chassis, remount and refurbish three rescue ambulances for the Arcadia Fire Department in an amount of $304,200 for Fiscal Year 2014 -15. It is also recommended that the City Council approve an additional appropriation of $35,000 from the Equipment Replacement Fund for this purchase. Purchase Order to Remount and Refurbish Rescue Ambulances April 7, 2015 Page 2 of 4 BACKGROUND The Arcadia Fire Department (AFD) currently has three paramedic rescue ambulances: two utilized as front line and one as a reserve. As rescue ambulances are utilized at a moment's notice and are centered on the patient's need for prehospital care, in conjunction with a safe working environment for the emergency medical personnel, it is critical that these vehicles are maintained in optimal condition and are reliably engineered. The Fiscal Year 2014 -15 Equipment Acquisition Budget has an approved funding of $276,000 for the purchase of one rescue ambulance to replace the existing 2000 Ford reserve ambulance, which has met the age and /or mileage requirement of the City's Vehicle Replacement Program. However, over the years, the other two front line ambulances that were manufactured by Ford in 2009 and 2010 have been undergoing constant repairs with substantial downtime due to the subpar engines that were included in those model years. Ford has acknowledged this issue and continued to repair the ambulance engines under warranty. The circumstances surrounding these Ford engines has become increasingly problematic because the constant work and maintenance to these engines is resulting in significant out -of- service time for the two front line ambulances. Once it was determined that by internally and externally refurbishing and remounting the existing "box" onto new chassis was a viable option operationally and financially, and that the level of our Emergency Medical Services delivery would not suffer, Fire personnel concluded that we could replace all three (3) ambulances with new engines and chassis. The fact that all three of the City's rescue ambulances boxes could be refurbished and remounted on a new chassis with a new engine for only slightly more funds than one fully new one provides the Fire Department the opportunity to remove two Ford engines that the Fire Department knows, and Ford has acknowledged, to be subpar. This will reduce maintenance efforts and increase readiness while saving substantial funds over time. DISCUSSION To ensure the use of highly reliable and quality rescue ambulances that meet the needs of the AFD, a formal bid solicitation was recently conducted. The bid specifications for remounting the three patient "boxes" consisted of the following key requirements: a new, commercially produced chassis manufactured in accordance with the ambulance design criteria set by federal regulatory agencies; the design of the chassis remount and specified options must allow accessibility for servicing, replacement and adjustment of components and accessories with minimum disturbance to other components and systems; modifications that will enable the ambulance remount to function reliably and efficiently in a strenuous sustained operation; and finally, completion of a successful vehicle inspection trip in adherence to the City's specifications. Purchase Order to Remount and Refurbish Rescue Ambulances April 7, 2015 Page 3 of 4 Remounting of Ambulances Versus Purchasing New Vehicles Without compromising the vehicles' structural integrity and dependability, the City can achieve an overall savings of approximately $523,800 by remounting and refurbishing its existing three rescue ambulances with new, commercially produced chassis, as opposed to purchasing new vehicles. Description Amount Total vehicle replacement cost to purchase three (3) new rescue ambulances @ $276,000 per vehicle* $ 828,000 Total cost to remount and refurbish three (3) rescue ambulances with new Chevy 4500 diesel chassis for FY 2014 -15 $ 304,200 Total Savings (remount versus new purchase) $ 523,800 *Per vehicle cost from the approved FY 2014 -15 Equipment Acquisition Budget for vehicle replacement Funds in the amount of $276,000 are budgeted in FY 2014 -15 Equipment Acquisition Budget for replacing one new ambulance. However, in order to cover the total cost to remount and refurbish the existing three rescue ambulances, while considering unforeseen work or modifications during their build and assembly, an additional $35,000 will be needed for this purchase. Description Amount A. FY 2014 -15 Vehicle Replacement Budget for one (1) new rescue ambulance $ 276,000 B. Remount and Refurbish of three (3) rescue ambulances $ 304,200 Contingency for unforeseen work (2.2% of total purchase cost) $ 6,800 Subtotal (remount and refurbish)) $ 311,000 C. Additional cost needed to remount and refurbish three (3) rescue ambulances including contingency work (difference of A - B) $ (35,000) A Notice Inviting Bids was published in the City's local newspaper and bid packages were sent out to contractors who can perform this type of work. On February 27, 2015, a mandatory pre -bid meeting was attended by the following interested contractors. On March 17, 2015, the City Clerk received the following bid results: BIDDER LOCATION BID AMOUNT Emergency Vehicle Group, Inc. (EVG) Anaheim, CA $ 304,199.72 Leader Emergency Vehicles South El Monte, CA $ 325,989.57 Braun Northwest Chehalis, WA No bid Purchase Order to Remount and Refurbish Rescue Ambulances April 7, 2015 Page 4 of 4 After evaluating all received bids, it was determined that Emergency Vehicles Group, Inc. (EVG) was the lowest responsive and responsible bidder who can best meet the City's needs per the bid specifications. Furthermore, EVG had done business with the Arcadia Fire Department previously and currently provides repair and services to the City's rescue ambulances. With their proven experience and familiarity of the AFD's needs and requirements, Fire personnel had found EVG's work to be satisfactory. FISCAL IMPACT $276,000 has been approved in the Fiscal Year 2014 -15 Equipment Acquisition Budget for the purchase of one new (1) rescue ambulance. Given the considerations above, remounting and refurbishing three (3) rescue ambulances onto new Chevy 4500 diesel chassis will cost $304,200 versus $828,000 for purchasing all three new vehicles. Essentially, over time, the City will save approximately $523,800 with this option. In addition, by changing out the two problematic engines now, the City will avoid additional repair costs and downtime over the next several years. In order to cover the additional $28,200 required in remounting and completely refurbishing all three (3) ambulances, plus the 2.2% contingency cost or $6,800 for this type of work, an additional $35,000 will need to be allocated for this purchase. RECOMMENDATION It is recommended that the City Council approve a purchase order with Emergency Vehicle Group, Inc. to remount and refurbish three rescue ambulances for the Arcadia Fire Department in an amount of $304,200 for Fiscal Year 2014 -15, and approve an additional appropriation of $35,000 from the Equipment Replacement Fund. Approved: Dominic Lazza City Manager