Title
Vactor Truck Emergency Rental Approval Expenditure Authority in the Amount of $119,000.00 for Maintaining the Wastewater Collection System
Recommended Action
I move that the Board of Public Utilities approve an increase of $69,000.00 in the Wastewater System budget authority for a total amount of $119,000.00 for extension of the agreement (time and amount) for the emergency rental of a Vactor Truck for maintaining the wastewater collection system.
Staff Recommendation
Staff recommends that the Board approve as presented.
Body
The existing Vactor Truck, used mainly for wastewater collection system cleaning (routine and emergency), but also used for assisting with water main breaks and other GWS operations endured serious failure and was sent to the New Mexico authorized shop in Albuquerque for repairs. These repairs were estimated to take multiple months before the equipment could be returned to active duty. The new Vactor Truck, ordered to supplement the existing Vactor Truck, would not be ready for delivery until 2021. In order to maintain functioning of the GWS sewer response crew an emergency rental Vactor Truck agreement was initiated.
The existing Vactor Truck was returned for duty to DPU in November 2020 but since then this Vactor Truck has required two additional separate trips to the shop for repairs and it has been available for duty for only two weeks since November. It remains in the shop as of the date of this meeting and we hope to receive the existing Vactor Truck back for duty, and it actually be able to remain in service, sometime in late January/early February 2021. The latest date for delivery of the new Vactor Truck is now end of February 2021.
Between 7-28-2020 and 12-16-2020 DPU has been invoiced $64,518.62. The approval of this budget authority are for total expenditures for the Vactor Truck rental above the $50,000 limit. The additional $69,000.000, plus the limit amount of $50,000.00 provides for a total budget for this emergency rental of $119,000.000 which would allow for use of the rental Vactor Truck through the end of April 2021. Hopefully, DPU can end the rental period earlier after using either the returned existing Vactor Truck or the new Vactor Truck for a few weeks to ensure one or both function and do not break down.
Alternatives
The alternative to not approving this Purchase Order is to return the rental Vactor Truck immediately and try to maintain our GWS systems without a critical piece of equipment. This might be doable with increased overtime personnel hours and equipment but would be very inefficient. Delaying maintenance of the wastewater collection system is not an option during emergency sewer backup calls and/or major water pipeline breaks needing debris cleanup in order to begin repairs.
Fiscal and Staff Impact
A total unbudgeted maximum expenditure of up to $119,000.00. Currently the budget for WC 2141 WC Main Line Flushing is being utilized for this unplanned expenditure. No adverse staff impact would result from this approval. Staff impact would be adverse with additional overtime if this approval request is denied.
Attachments
none