Report to Mayor and City Council
Tuesday, May 07, 2019
Consent
SUBJECT:
Title
CONSIDER APPROVING RESOLUTION NO. 19-080, AMENDING THE FISCAL YEAR 2018/19 BUDGET BY APPROPRIATING FUNDS FOR THE PURCHASE AGREEMENT WITH HERC RENTALS, INC. FOR COMMERCIAL VEHICLE AND EQUIPMENT RENTALS (CITY COUNCIL)
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I. SUMMARY
The Public Works Operations Division occasionally supplements its commercial vehicle and equipment needs with temporary rentals due to equipment maintenance, equipment failure, and projects that may require a specific piece of equipment which the City does not own. Herc Rentals, Inc. of Carson is one of the local vendors that provide commercial vehicles and equipment, and staff is requesting Council approval of Resolution No. 19-080 to authorize additional funds for the current purchase agreement with Herc Rentals, Inc. (Exhibit No. 1).
II. RECOMMENDATION
Recommendation
WAIVE further reading and ADOPT Resolution No. 19-080, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARSON, CALIFORNIA, AMENDING THE FISCAL YEAR 2018/19 BUDGET IN THE GENERAL FUND” to authorize a budget transfer of $12,720.00 from Account No. 101-80-840-102-5002 to Account No. 101-80-840-102-7002.
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III. ALTERNATIVES
1. DO NOT APPROVE Resolution No. 19-080
2. TAKE another action the City Council deems appropriate
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IV. BACKGROUND
The Building Maintenance crew is responsible for repairing and maintaining all lighting systems at each of the 19 facilities owned by the City of Carson. The use of an aerial truck is needed to reach most of these lights. As a result of the escalating cost of repairs due to the aging of equipment #626 (1990 GMC Top Kick aerial truck), the Fleet Maintenance staff took removed this truck from service in March 2018. In order to keep the facilities safe, secure and open at night, staff rented an aerial truck with Herc Rentals, Inc.
For FY 2018/19, the City issued a purchase order agreement with Herc Rentals Inc. totaling $22,000.98. With Herc Rentals Inc. being the primary vendor for commercial vehicle and equipment rental services, the equipment was needed more than anticipated and an additional amendment of $12,720.00 is needed to reconcile the remaining invoices through June 30, 2019.
In accordance with the City’s current Purchasing Guidelines and Carson Municipal Code, any expenditures totaling over $25,000 per fiscal year for a single vendor requires City Council approval. Staff is submitting Resolution No. 19-080 for approval to satisfy the outstanding balance with Herc Rentals Inc.
V. FISCAL IMPACT
There is no impact to the general fund. The amount requested for the purchase order amendment is already appropriated and will be transferred from Account No. 101-80-840-102-5002 to Account No. 101-80-840-102-7002.
VI. EXHIBITS
1. Resolution No. 19-080 (pg. 3)
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Prepared by: Brent Severtson, Building Maintenance Supervisor