City Council Agenda
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Memo to: |
Manteca City Council |
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From: |
Carl Brown, Director of Public Works |
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Prepared by: |
Avneet Mahil, Interim Deputy Director Public Works |
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Date: |
October 21, 2024 |
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Subject: |
Approve a budget appropriation of $1,150,000 dollars from Solid Waste Cost Recovery fund to purchase Solid Waste trucks |
Recommendation:
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Adopt a Resolution approving the budget appropriation of $1,150,000 dollars from Solid Waste Cost Recovery fund 670 to purchase two Solid Waste automatic side loader trucks.
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Background:
The Solid Waste fleet consists of sixteen automatic side loaders (ASL). The City of Manteca relies on twelve to thirteen ASL’s daily to manage waste collection for City of Manteca residents. An average of two trucks a day are in the vehicle maintenance shop for service and repairs. City of Manteca is facing significant growth and must update its Solid Waste fleet to keep up with the increasing demands. For every 450 houses, an ASL truck should be purchased, and an operator should be hired. In fiscal year 2023-2024, 588 house permits were issued. January 2024 - July 2024 there have been 286 single-family homes completed. The anticipated new housing units for July 2024 - December 2024 is 500 houses.
In the near future, Solid Waste will be collecting all three commodities (garbage, recycling, and organics) weekly. To ensure delivery of this service, Solid Waste has proposed an amendment to a current “rent-to-own” contract with a rental truck company (Big Truck Rental), pending City Council approval. However, these trucks do not account for the new growth or the aging fleet that has been rebuilt to extend the life of the trucks. The two new ASL trucks will service the previously mentioned new development and assist in collection of all three commodities weekly. The city’s exponential growth in housing requires an immediate increase in the fleet to ensure effective waste collection and management. The current fleet includes aging trucks that have been rebuilt but are reaching the end of their useful lives. New trucks will assist in maintaining service quality. The allocation of funds for these new trucks is crucial for managing the City of Manteca’s growing waste collection needs and maintaining service levels. Given the long lead time for production and delivery for these vehicles, prompt action will be necessary to ensure the Solid Waste Division can efficiently handle future growth and collection demands. Staff anticipates delivery of the ASL trucks to be eighteen to twenty-four months after placing the order.
Total purchase price for the ASL Trucks amount to $1,116,676.20. Staff is requesting an additional allocation of $33,323.80 for safety equipment and additional items that are not standard on a new truck purchase and need to be installed after delivery, and contingency for possible increase of purchase price. The upfit items include, but are not limited to, safety lights, computers systems, routing hardware and software, Zonar (maintenance management system) and other necessary equipment for total upfit. Nine percent (9%) sales tax was added to the purchase price in the event that Measure Q passes on the November 2024 election. As proposed, 100% of this purchase request will be funded from Development Fees and zero dollars will be allocated from the general fund or service rates that existing Solid Waste Customers are paying.
Fiscal Impact:
Staff recommends approving the budget appropriation of Solid Waste Cost Recovery (Fund 670) funds of $1,150,000 dollar amount to Account No.670.00.00.900-7000.06 - Capital Outlay Operations Apparatus- Major (New Development Fees).
There is sufficient fund balance in Fund 670 Solid Waste Cost Recovery to approve this recommendation.
There is no General Fund Impact.
Documents Attached:
Attachment 1 - Resolution
Attachment 2 - Exhibit A Quote