Title
a. Approve Standard Agreement with Granite Rock Company dba FMG to provide on-call rental of fully operated, fueled and maintained asphalt grinding and paver machines at various locations in the County, in a total amount not to exceed $210,000, beginning October 3, 2017 through September 30, 2018; and
b. Authorize the Contracts/Purchasing Officer or Contracts/Purchasing Supervisor to execute the Standard Agreement and future amendments to the Agreement where the amendments do not significantly alter the scope of work or change the approved Agreement amount.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Approve Standard Agreement with Granite Rock Company dba FMG to provide on-call rental of fully operated, fueled and maintained asphalt grinding and paver machines at various locations in the County, in a total amount not to exceed $210,000, beginning October 3, 2017 through September 30, 2018; and
b. Authorize the Contracts/Purchasing Officer or Contracts/Purchasing Supervisor to execute the Standard Agreement and future amendments to the Agreement where the amendments do not significantly alter the scope of work or change the approved Agreement amount.
SUMMARY/DISCUSSION:
The County has 1,100 miles of paved roads of which 99% are in need of some type of pavement rehabilitation. The Resource Management Agency (RMA) needs, but does not own a bare, track-mounted cold planer or a 4’ wide asphalt paver. This very specialized equipment is not economic to own (cost is approximately $500,000 and annual use is of 4-6 weeks); therefore, this as-needed rental Standard Agreement (SA) gives the RMA access to the most efficient equipment available without any capital investment. Granite Rock Company dba FMG’s large inventory of late-model, consistently reliable equipment and skilled operators have provided the RMA with maximum scheduling flexibility and excellent performance. The RMA has identified a continued need for Granite Rock Company dba FMG to provide on-call rental of fully operated, fueled and maintained asphalt grinding and paver machines at various locations in the County. RMA staff began looking at available equipment in June 2017 to determine what options were available. Only Granitite Rock dba FMG was found to have the paving equipment in Northern California. No other company has the correct size or type paver or grinding equipment available for rent the County needs to perform the asphalt grinding. To address the need for this specialized equipment, RMA discussed procurement options with the Office of the County Counsel. It was recommended that a one-year Standard Agreement be executed, coupled with an approved sole source justification, and that a Request for Proposals (RFP) be published to solicit proposals for future years in case another vendor obtains this specialized equipment for rental with skilled operators in the following year.
This SA will allow for on-call pavement machine rental services in a total amount not to exceed $210,000 for a term beginning October 3, 2017 for a period of approximately one (1) year to September 30, 2018. This SA will enable the RMA to continue to repair the rapidly deteriorating County roads in a safe and cost-effective manner.
OTHER AGENCY INVOLVEMENT:
The Office of the County Counsel and the Auditor-Controller’s Office have reviewed and approved the SA as to form and legality, and fiscal provisions, respectively.
FINANCING:
Costs associated with this SA are anticipated to be incurred over the next two (2) fiscal years (FY): 2017-18 and 2018-19. The costs associated with this SA will be funded by the Road Fund (Fund 002, Sub Fund RBMT, Unit 8443, Appropriation Unit RMA 012) of which the FY 2017-18 adopted budget includes $210,000 to support estimated current year costs. Sufficient appropriations are available in the FY 2017-18 budget to fund the SA.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
The proposed SA is consistent with the goal of “…efficient and effective resource management…” by only paying for very expensive specialized equipment with skilled operators when needed and not investing huge sums for the purchase of equipment which would not be utilized cost-effectively. Maintenance work made possible by use of this equipment improves the quality of life of every resident and visitor of Monterey County by providing safer roadways. As part of our Pavement Management Plan, this work enables sustainable physical infrastructure relied upon by every resident and visitor to Monterey County.
__ Economic Development
X Administration
__ Health & Human Services
X Infrastructure
X Public Safety
Prepared by: James H. Essick, Road Maintenance Superintendent, (831) 755-4926
Approved by: Enrique M. Saavedra, P.E., Acting Chief of Roads & Bridges
Approved by: Carl P. Holm, AICP, RMA Director
Attachments:
Attachment A - Standard Agreement with approved Sole Source Justification
(Attachments are on file with the Clerk of the Board)