HomeMy WebLinkAboutItem 1b: Purchase of Paramedic Rescue Ambulance from Road Rescue Inc. for Fire Departmentt .
DATE: October 5, 2010
TO: Mayor and City Council
FROM: Tony L. Trabbie, Fire Chief'
Tom Tait, Public Works Service Director
By: Rick D. Braun, Battalion Chief 0.
SUBJECT: APPROVE THE PURCHASE OF ONE (1) PARAMEDIC RESCUE
AMBULANCE FROM ROAD RESCUE INC. FOR THE FIRE
DEPARTMENT IN THE AMOUNT OF $197,504.77
Recommended Action: Approve
SUMMARY
At the September 2, 2008 City Council meeting, the City Council approved staff to enter
into a contract with Road Rescue Inc. for the purchase of one (1) 2008 or newer Ford
E450 Super Duty Type III Rescue Ambulance. Included in the contract was the option
of purchasing additional unit(s) within five (5) years at the 2008 purchase price plus any
applicable increase in the Consumer Price Index (CPI). Asset number 80094, a ten -
(10) year -old rescue ambulance with 76,100 miles, surpasses the City's Vehicle
Replacement Criteria schedule and is due for replacement at this time. Therefore, staff
is recommending that the City Council approve the purchase of (1) one 2010 or newer
Ford E450 Super Duty Type III Rescue Ambulance from Road Rescue Inc. in the
amount of $197,504.77. Funds have been budgeted in the City's Fiscal Year 2010 -2011
Equipment Replacement Plan for the purchase of this rescue ambulance.
BACKGROUND
STAFF REPORT
Fire Department
Emergency medical services represent an integral public service delivered by the Fire
Department. The Fire Department's two (2) rescue ambulances, operated by certified
firefighter paramedics on a daily basis, respond to thousands of emergency medical and
rescue incidents per year. During Fiscal Year 2009 -2010, the Fire Department
responded to a total of 4,560 calls for service, of which 3,054 or approximately 67% of
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Mayor and City Council
September 21, 2010
Page 2
all calls were for medical emergencies. In spite of the high costs associated with the
provision of emergency medical services, the City collects a fair amount of revenue from
ambulance billing and the Paramedic Membership Program. During Fiscal Year 2009-
2010, the Fire Department ambulance billing represented $1,113,372.65 of the City's
total Fiscal Year 2009 -2010 revenue. In addition, the Paramedic Membership Program,
which since 1994 has been offered to Arcadia residents as a protection from out -of-
pocket paramedic and ambulance transport expenses within the City of Arcadia,
collected a total revenue of $147,828.60 in membership fees for Fiscal Year 2009 -2010.
DISCUSSION
In 2008, staff solicited competitive bids from eight (8) vendors for the purchase of a new
Rescue Ambulance and as a result received two (2) responses at the bid opening on
July 15, 2008. On September 2, 2008, City Council approved the purchase contract
from Road Rescue Inc., as they were the lowest responsible bidder. As part of that
contract, Road Rescue Inc. offered the same pricing conditions, plus CPI increases, for
a period of five (5) years for any additional ambulance purchases.
Asset number 80094, a ten- (10) year -old rescue ambulance with 76,100 miles,
surpasses the City's Vehicle Replacement Criteria Schedule and is due for replacement
at this time. (According to the City's Vehicle Replacement Program, the next rescue
ambulance replacement will not take place until 2016.) For the pricing of this purchase,
Road Rescue Inc. has waived the CPI increase and honored the 2008 pricing. The
amount of this purchase reflects an increase in sales tax from 8.25% to 9.75% and
equipment modification changes which include slight increases from the chassis vendor
and modifications to the electrical system.
If the City were to competitively bid the rescue unit today, it is estimated that the cost of
the vehicle could be as high as $214,287.77, which is $16,783.00 higher than the price
honored under the five -year contract the City has with Road Rescue Inc.
Therefore, staff is recommending that the City Council approve the purchase of (1) one
2010 or newer Ford E450 Super Duty Type III Rescue Ambulance from Road Rescue
Inc., in the amount of $197,504.77.
FISCAL IMPACT
Sufficient funds have been appropriated in the Fiscal Year 2010 -2011 Equipment
Replacement Fund to cover the cost of this acquisition.
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Mayor and City Council
September 21, 2010
Page 3
RECOMMENDATION
It is recommended that the City Council authorize staff to purchase one (1) 2010
or newer Ford E450 Super Duty Type III Rescue Ambulance from Road Rescue
Inc. in the amount of $197,504.77.
Approved: * P -+ --�
Don Penman, City Manager
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