COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Department of Public Works

DATE:

April 25, 2007

BOARD MEETING DATE:

May 15, 2007

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

TO:

Honorable Board of Supervisors

FROM:

James C. Porter, Director of Public Works

SUBJECT:

Acquisition of Construction Equipment

Recommendation

Adopt a resolution:

A.

Waiving the competitive procurement process, and

B.

Authorizing the Purchasing Agent to enter into a Purchase Order for up to $1,619,995 with Peterson Tractor Company Governmental Sales, for the purchase of construction equipment, and

C.

Authorizing the Director of Public Works or his designee to sign the grant agreement with the California Air Resources Board to receive up to One Million Two Hundred Thousand Dollars in grant funding, and

D.

Authorizing the allocation of up to $419,995 from the Road Fund as matching funds for the grant.

Vision Alignment

Commitment: Preserve and provide people access for our natural environment.

Goal 14: Important natural resources are preserved and enhanced through environmental stewardship.

The authorization requested in this report is to replace construction equipment and off-road construction vehicles with new items that will produce significantly less Nitrous Oxide (NOx) and Carbon Dioxide (CO₂) emissions. One of the Key Department Initiatives for Public Works that is included in the 2006-07 and 2007-08 Outcomes Based Management plan is to “Reduce the County’s Impact on Climate Change by Reducing CO₂ Emissions.”

Background

The Vehicle & Equipment Section of the Public Works Department maintains the equipment used by County staff for the on-going repair and maintenance of
316 miles of County owned roads.

The California Air Resources Board has allowed governmental entities to apply for matching funds to replace older, polluting heavy equipment with new environmentally friendly equipment. Public Works has submitted a proposal requesting One Million Two Hundred Thousand Dollars to acquire the following pieces of equipment that would replace the older counterparts:

Ø

Three Caterpillar 930G Tool Carrier Wheel Loaders

Ø

One Caterpillar D6KXL Dozer

Ø

One Caterpillar 953D Track Loader

Ø

One Caterpillar 140M Motor Grader

Ø

One Caterpillar PS360C Rubber Tired Chip Seal Roller

Discussion

One of the goals of the Public Works Department is to seek funding opportunities to replace older vehicles and equipment with comparable items that are more environmentally friendly, particularly in terms of the use of fossil fuels and reducing greenhouse gas emissions. One of the primary funding sources for these acquisitions has been the California Air Resources Board. Recently they have provided an opportunity for local governmental agencies to request funding to replace construction equipment and off-road vehicles.

The Vehicles & Equipment Section of Public Works identified seven pieces of equipment that met the California Air Resources Board’s criteria for this funding. The equipment must be purchased and received by the end of Fiscal Year 2007-08 (June 30, 2008), in order to qualify for the funds. The equipment is custom made and is expected to take about one year from the date of the order to delivery. Therefore in order to meet the California Air Resources Board’s timeframe, it will be necessary to place the order as soon as confirmation is received from the Board that the One Million Two Hundred Thousand Dollars has been awarded to San Mateo County. It is expected that the award will be made in May 2007. As a condition of the grant, the equipment being replaced will be permanently scrapped.

Peterson Tractor Company Governmental Sales is recommended to be the vendor because it offers government pricing and has been approved by the California Air Resources Board for the acquisition of this equipment. In order to qualify for the grant funding, the applicant can only use vendors that have been pre-approved by the Board and only equipment that has been certified as meeting emission standards can be purchased.

The Resolution has been approved as to form by County Counsel.

Fiscal Impact

Grant funding has been requested from the California Air Resources Board in the amount of One Million Two Hundred Thousand Dollars. Matching funds up to a maximum of $419,995 has been included in the Department recommended Road Fund budget for Fiscal Year 2007-08. There will be no impact on the County’s General Fund.