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The Mayor and City Council shall discuss and possibly take action on a request by the Purchasing Manager to approve expenditures exceeding $25,000 for Fiscal Year 2014 pursuant to the City Purchasing Code, Article IV, Section 3-213(e) "Cumulative Annual Purchases in Excess of $25,000" with West Coast Equipment, Inc.; Earnhardt Ford-Mazda; Freightliner, Sterling, Western Star of AZ; CDW-G; WIST Supply & Equipment Co., Inc.; AutoSonics Auto Body & Collision, American Soccer Co. Inc. and Horizon Distributors, Inc. Discussion and Action.
AGENDA ITEM DESCRIPTION
Per the City Purchasing Code contained in Chapter 03, Article IV, Section 3-213(e) Cumulative Annual Purchases in Excess of $25,000 of the Maricopa City Code, expenditures that exceed $25,000 need to be approved by City Council prior to execution of purchase orders. Since it is nearly impossible to predict the precise time certain operational expenditures will meet or exceed the $25,000 threshold and to keep operations running smoothly, the staff requests approval of these expenditures in excess of $25,000 or previously approved limits, but not to exceed the listed dollar amount without further Council approval.
WEST COAST EQUIPMENT, INC. is the firm used by the City's Public Works Department for the service and repairs to the street sweeping equipment and the purchase of replacement brooms. Currently FY2014 encumbrances and expenditures are at $23,620.64. Based on the request from the Public Works Department, it is anticipated that we will exceed the $25,000 prior to the end of the fiscal year. Therefore, staff is requesting to exceed the $25,000 expenditure limit but not to exceed $50,000 with West Coast Equipment, Inc.
EARNHARDT FORD-MAZDA is the auto repair firm that is utilized by the Fleet Department and the Fire Department to repair and service the City owned Ford vehicles. Currently FY2014 encumbrance and expenditures are at $23,418.42. Based on requests from the Fleet Department and the Fire Department it is anticipated that on-going service and repairs will exceed the $25,000 limit prior to the end of the fiscal year. Therefore, staff is requesting to exceed the $25,000 expenditure limit but not to exceed $50,000 with Earnhardt Ford-Mazda.
FREIGHTLINER, STERLING, WESTERN STAR OF AZ is the firm used by the Maricopa Fire Department for the service and repair of the fire trucks and by the City's Public Works Department for service and repair of their heavy duty equipment. On July 1, 2013, Council approved exceeding the $25,000 expenditure limit but not to exceed $33,866.24 without further Council approval. Currently FY2014 encumbrances and expenditures are at $$32,490.55. Based on requests from the Fire Department and the Public Works Department, it is anticipated that the City will exceed the $33,866.24 limit prior to the end of the fiscal year. Therefore, staff is requesting to exceed the $33,866.24 expenditure limit but not to exceed $50,000 with Freightliner, Sterling, and Western Star of AZ.
CDW-G, is a technology firm utilized by the City's Information Technology Department and various other City departments for technology and communication equipment. CDW-G is part of multiple cooperative contracts that the City utilizes for the best value and best pricing for equipment. On July 1, 2013 the City Council approved exceeding the $25,000 limit but not to exceed $127,352.16 without further Council approval. With the completion of the City Hall and Copper Sky facilities, the expenditures have been higher than anticipated. Currently FY2014 encumbrances and expenditures are at $95,295.55. Based on anticipated technology upgrades and communications purchases, it is believed that we will exceed the $127,352.16 limit prior to the end of the fiscal year. Therefore, staff is requesting to exceed the $127,352.16 limit but not to exceed $180,000 with CDW-G.
WIST SUPPLY AND EQUIPMENT CO., INC. is on a cooperative contract through the City of Mesa that the City utilizes for office supplies and equipment. On July 1, 2013 the City Council approved exceeding the $25,000 limit but not to exceed $43,413.98 without further Council approval. With the completion of the City Hall and Copper Sky facilities, the expenditures have been higher than anticipated. Currently FY2014 encumbrances and expenditures are at $40,185.35. Based on anticipated additional office supplies and equipment requirements, it is believed that the $43,413.98 limit will be exceeded prior to the end of the fiscal year. Therefore, staff is requesting to exceed the $43,413.98 limit but not to exceed $60,000 with WIST Supply and Equipment Co., Inc.
AUTO SONICS, AUTO BODY AND COLLISION is utilized by the City's Fleet Department for repairs and service for all City fleet vehicles. Currently FY2014 encumbrances and expenditures are at $22,952.63. With multiple vehicles beyond their warranty periods, it is anticipated that we will incur higher than normal repairs and service costs. Therefore, staff is requesting to exceed the $25,000 limit but not to exceed $40,000 with Auto Sonics, Auto Body and Collision.
AMERICAN SOCCER CO., INC. is the source of the soccer league uniforms and equipment for the Community Services Department. With the enhancement of soccer opportunities at Copper Sky, the purchase of uniforms, goals, balls, nets, bags, etc. has almost doubled. Currently F2014 encumbrances and expenditures are at $23,193.96. With the soccer season just ramping up, it is anticipated that additional equipment and uniforms will be needed prior to the end of the fiscal year. Therefore, staff is requesting to exceed the $25,000 limit but not to exceed $50,000 with American Soccer Co., Inc.
HORIZON DISTRIBUTORS, INC. is a firm that the Parks Maintenance Team utilizes for various repairs, service, and supplies for the irrigation systems and lawn care equipment at Pacana Park and Copper Sky Park. With the opening of Copper Sky the requirements have grown in order to maintain the expected quality level of lawn care. Currently the F2014 encumbrances and expenditures are at $21,307.96. With spring here and sports leagues starting to use Copper Sky, it is expected that there will be higher repairs and maintenances requirements. Therefore, staff is requesting to exceed the $25,000 limit but not to exceed the $50,000 with Horizon Distributors, Inc.
In order to facilitate timely purchasing of goods and services that are repetitive needs of various City departments, this request is to approve the continuing use of the identified firms. All purchases are reviewed to ensure maximum practicable competition and to ensure the prices are current.
No expenditure exceeding $25,000 or exceeding the budgetary amounts, as previously approved by Council, shall be transacted without prior Council review and approval.
This item is presented by Brian A. Ritschel, Finance Director.
STAFF RECOMMENDATION
Staff recommends the Mayor and City Council approve the request by the Purchasing Manager to approve expenditures exceeding $25,000 for Fiscal Year 2014 pursuant to the City Purchasing Code, Article IV, Section 3-213(e) "Cumulative Annual Purchases in Excess of $25,000" with West Coast Equipment, Inc.; Earnhardt Ford-Mazda; Freightliner, Sterling, Western Star of AZ; CDW-G; WIST Supply & Equipment Co., Inc.; AutoSonics Auto Body & Collision.