HomeMy WebLinkAboutFIR 03-15 City o0 A Report to
Executive Committee
PI KERING Report Number: FIR 03-15
Date: July 6, 2015
From: John Hagg
Fire Chief
Subject: Supply and Delivery of One 2013 Smeal Heavy Duty Aerial Ladder
- File: A-1440
Recommendation:
1. That Report FIR 03-15 of the Fire Chief regarding the Supply and Delivery of One
2013 Smeal Heavy Duty Aerial Ladder be received;
2. That Council waive Purchasing Policy (PUR 010) Section 6.11;
3. That the proposal submitted by Smeal Fire Apparatus Ltd. for the Supply and Delivery
of One 2013 Smeal Heavy Duty Aerial Ladder in the amount of$1,115,253.50 (HST
included) be accepted;
4. That the total gross project cost of$1,137,854.00 (HST included), including the
proposal amount and other associated costs, and the total net project cost of
$1,024,673.00 (net of HST rebate) be approved;
5. That Council authorize the Division Head, Finance & Treasurer to finance the net
project cost of$1,024,673.00 as follows:
a) the sum of$1,020;000.00 to be financed by the issue of debentures by The
Regional Municipality of Durham over a period not to exceed ten years;
b) the sum of$4,673.00 to be funded from property taxes;
c) that the annual repayment charges in the amount of approximately $122,650.00
be included in the annual Current Budget commencing in 2016 or subsequent
year in which the debentures are issued and continuing thereafter until the
debenture financing is repaid.
6. That the draft by-law attached to this. report be enacted; and
7. Further that the appropriate City of Pickering Officials be authorized to take the
necessary action to give effect hereto.
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Report FIR 03-15 July 6, 2015
Subject: Supply and Delivery of One 2013 Smeal Heavy Duty Aerial Ladder Page 2
Executive Summary: A proposal was presented to the City of Pickering to purchase a
2013 model year"demonstrator" (demo) Smeal 32 metre aerial ladder truck. The proposal
was submitted to the Fire Chief by Smeal Fire Apparatus Co. Smeal Fire Apparatus Co. is
a reputable fire truck builder that the City has dealt with since 2005. The purchase of this
demo vehicle will save the City a significant amount of money, estimated at over
$150,000.00. In addition to this demo being offered at a considerable financial savings to
the City, this aerial ladder fire truck fits Fire Services needs and requirements. This truck
has been fully vetted and inspected by the fire Services truck specification committee and
City Fleet Services staff. An aerial ladder fire truck was approved by Council in the 2015
Capital Budget and will replace Fire Services current 2001 30 metre aerial ladder fire truck.
Financial Implications:
1. Proposal Amount
Proposal Amount $986,950.00
HST (13%) 128,303.50
Total Gross Amount $1,115,253.50_
2 Estimated Project Costing Summary
Proposal Amount $986,950.00
Associated Costs (custom fitting) 20,000.00
Sub Total — Costs $1,006,950.00
HST (13%) 130,904.00
Total Gross Project Costs $1,137,854.00
HST Rebate (11.24%) (113,181.00)
Total Net Project Costs $1,024,673.00
•
3. Source of Funds
Fire Services Capital Budget 5340.1501.6158
Source of Funds Budget Required
Debt-10 Year $1,100,000.00 $1,020,000.00
Property Taxes 4,673.00
Total $1.100,000.00 $1,024.673.00
Net Project Costs (over) under Approved Funds $75,327.00
This truck will also be required to be custom fitted with the necessary rescue tools and fire
hoses in order to ready it for service. As noted above, a portion of the unspent funds will be
required for the purchase of this equipment.
CORP0227-07/01 revised
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Report FIR 03-15 July 6, 2015
Subject: Supply and Delivery of One 2013 Smeal Heavy Duty Aerial Ladder Page 3
Discussion: City of Pickering Fire Services Department currently uses a.fleet of fire
apparatus to perform fire suppression related duties throughout the City. This 2013 model
aerial ladder fire truck will be located at Station 5, headquarters. As approved in the 2015
Capital Budget it will replace our current 2001 model aerial ladder fire truck.
A proposal was received from Smeal Fire Apparatus on June 2, 2015 offering for sale one
demo 2013 32 metre heavy duty aerial ladder truck. This truck has a 2013 chassis but was
built in 2013/2014 and was not on the road until mid year in 2014.
Acceptance of this proposal would require Council approval to waive Section 6.11 of the
Purchasing Policy (PUR010). This section of the Purchasing Policy states the following:
"Pricing for goods or services with an estimated total price over$30,000.00 shall be
obtained by the Manager. The Manager shall decide when a.Request for Proposal, Request
for Quotation or Tender is the most appropriate method to acquire the goods or services
and shall solicit a minimum of three proposals, quotations or tenders if possible. Advertising
is at the discretion of the Manager but an estimated value over $100,000.00 shall be
advertised."
There are several reasons for Council to waive the Policy in this case:
1. A significant saving in terms of money can be attained by approving this purchase.
Based on recent purchases by Canadian municipalities, of similar apparatus, staff
estimate we are saving in the order of$150,000.00.
2. The truck has been thoroughly vetted by the Fire Services Truck Purchasing Committee
(an offshoot of the Joint Health and Safety Committee), City Fleet Services personnel •
and Fire Services Senior Officers. The Fire Services Truck Purchasing Committee is in
agreement that this truck meets our requirements, our specifications and is a high
quality product.
3. Fleet maintenance staff are familiar with this product and we stock parts for repairs.
4. The chassis and most truck parts are manufactured in the United States and therefore,
the price quoted can change due to currency swings between the US and Canadian
dollar. This truck being a demonstration model is very well optioned and meets the
City's needs.
Specifications for this aerial ladder,fire truck meet all current National Fire Protection
Association and Underwriters Laboratories of Canada standards. These are important
standards as they address safety, operational requirements and build standards. From an
environmental standpoint, the engine powering this new aerial ladder fire truck meets the
current Environmental Protection Agency's emissions and fuel efficiency standards. This
will significantly reduce the amount of harmful emissions created by the operation of this
vehicle as well as provide increased fuel economy. This vehicle will also be equipped with
the latest in passenger safety technology including advanced roll over protection, front and
side impact supplemental inflatable restraints and data logging.
CORP0227-07/01 revised
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Report FIR 03-15 July 6, 2015
Subject:. Supply and Delivery of One 2013 Smeal Heavy Duty Aerial Ladder Page 4
It is also important to note that this vehicle was built for Canada, no modifications will be
required to bring it up to Canadian standards. Once delivered this truck will require only
minor installations prior to it being placed into service. Items such as mobile and portable
radios, flashlights, and hearing protection headsets will be installed once the vehicle has
been delivered.
This truck has been used as a show truck.by Smeal Fire Apparatus, it has been featured as
a demo or demonstrator at many trade shows. This truck has never been used by a fire
service or placed into service.
Taking into considerations all the benefits discussed above, the Fire Services Department
recommends the acceptance of the proposal submitted by Smeal Fire Apparatus Co. in the
amount of$1,115,253.50 (HST included), and that the total net project cost of
$1,024,673.00 be approved.
Attachments:
1. Being a by-law to authorize the Supply and Delivery of One 2013 Smeal Heavy Duty
Aerial Ladder project in the City of Pickering and the issuance of debentures in the
amount of $1,020,000.00
Preps ed By: Approved/Endorsed By:
.��
(04
Ja o Yoshida, Jo P Hagg
D ty Fire Chief Fire Chief
Vera A. Felgemacher Stan Karwowski CPA, CMA, MBA
CSCMP, CPPO, CPM, CMM III Division Head, Finance &Treasurer.
Manager, Supply & Services
Caryn Kong, CPA,CGA
Senior Financial Analyst-Capital & Debt
Management
JH:nrm
CORP0227-07/01 revised
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Report FIR 03-15 July 6, 2015
Subject: Supply and Delivery of One 2013 Smeal Heavy Duty Aerial Ladder Page 5
Recommended for the consideration
of Pickerin ity Council
f yr zd 1.
Tony Prevedel, P.Eng.
Chief Administrative Officer
CORP0227-07/01 revised
164
ATTACHMENT# ' TO REPORT Ff K A3--I5-
The Corporation of the City of Pickering
By-law No.
Being a by-law to authorize the Supply and
Delivery of One 2013 Smeal Heavy Duty
Aerial Ladder project in the City of Pickering
and the issuance of debentures in the
amount of$1,020,000.00
Whereas Section 11 of the Municipal Act, 2001, as amended, provides that a lower-tier
municipality may pass by-laws respecting matters within the spheres of jurisdiction
described in that Section; and,
Whereas Subsection 401(1) of the Municipal Act, 2001, as amended, provides that a
municipality may incur a debt for municipal purposes, whether by borrowing money or in
any other way; and,
Whereas Subsection 401(3) of the Municipal Act, 2001, as amended, provides that a
lower-tier municipality in a regional municipality does not have the power to issue
debentures; and,
Whereas The Regional Municipality of Durham has the sole authority to issue
debentures for the purposes of its lower-tier municipalities including The Corporation of
the City of Pickering (the "City"); and,
Whereas the Council of the City of Pickering wishes to proceed with debenture
financing for the Supply and Delivery of One 2013 Smeal Heavy Duty Aerial Ladder
project; and,
Whereas before authorizing the Supply and Delivery of One 2013 Smeal Heavy Duty
Aerial Ladder project, the Council of the City had the Treasurer update the City's Annual
Repayment Limit, the Treasurer calculated the estimated annual amount payable in
respect of such project and determined that such annual amount would not cause the
City to exceed the updated limit and, therefore, Ontario Municipal Board approval was
not required prior to City Council's authorization as per Section 401 of the Municipal Act,
2001, as amended, and the regulations made thereunder;
And whereas after determining that Ontario Municipal Board approval is not required,
the Council of the City approved Report FIR 03-15 on the date hereof for the Supply
and Delivery of One 2013 Smeal Heavy Duty Aerial Ladder project;
•
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By-law No. Page 2
Now therefore the Council of The Corporation of the City of Pickering hereby enacts as
follows:
1. That the City proceed with the project referred to as "Supply and Delivery of One
2013 Smeal Heavy Duty Aerial Ladder";
2. That the estimated costs of the project in the amount of$1,024,673.00 be financed
as follows:
a) that the sum of$1,020,000.00 be financed by the issue of debentures by The
Regional Municipality of Durham over a period not to exceed ten years;
b) that the sum of $4,673.00 be funded from property taxes;
3. That the funds to repay the principal and interest of the debentures be provided for
in the annual Current Budget for the City commencing in 2016 or such subsequent
year in which the debentures are issued and continuing thereafter until the
debenture financing is repaid.
By-law passed this 13th day of July, 2015.
David Ryan, Mayor
•
Debbie Shields, City Clerk
166