2003 AGN JUN 03 I08 - Laserfiche WebLink

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City Council Meeting of June 3, 2003 Renewal of Vehicle Maintenance Contract with San Bernardino County Fire Department Page 2 The County is now requiring the automatic annual increase in hourly rate on multi-year contracts to ensure that their costs due to employee contract negotiations are covered. As an example, we have not had an increase in our hourly rate for the last three years, while their employees have received several salary and benefit increases during the same time frame. Section 3.08.060 of the CMC provides that the City Council may, by majority vote, dispense with bidding upon finding that it would be impractical or uneconomical and the public welfare would be promoted by dispensing with the same. Thus, the public welfare is promoted by contracting with another public entity at rates that are $12 per hour lower than competing commercial entities. The new hourly rates continue to compare favorably with the rates charged by commercial facilities that specialize in diesel truck and fire truck repair. Current hourly rates charged by various commercial facilities are shown below: Company Hourly Rate San Bern. County Fire Dept. $60 KME Fire Apparatus (Ontario) $72 American La France (Ontario) $70 Valley Detroit Diesel (Ontario) $90 Associated Power (San Bernardino) $75 FINANCIAL IMPACT: Renewal of the Vehicle Maintenance Contract with San Bernardino County Fire Department will result in a yearly increase of approximately $9,000 based on 900 hours of service; however, this contract continues to be less expensive than other alternatives. ENVIRONMENTAL IMPACT: None. RECOMMENDATION: Staff recommends approval of the contract renewal for vehicle maintenance with the San Bernardino County Fire Department. REVIEW TEAM ONLY City Attorney: �� CIO- . Finance Director: I • lwlwi�(