City Council Meeting

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Meeting Date: 04/19/2022  
Contact: Elizabeth Quilici, City Engineer

Motion by Councilmember Dr. Dinah Marks with a second by Councilmember Letitia Hughes to approved as presented, Motion passes 7-0.
Consider authorizing the City Manager to negotiate and execute all necessary purchase contracts and agreements related to the purchase of two new ambulances through HGAC from Lone Star Emergency Group, as identified in the FY 2023 and FY2024 Vehicle Replacement Program
The Vehicle Replacement Program (VRP) is based on a ten-year horizon for the replacement of all vehicles in the City's fleet. During the annual budget process, the VRP is updated to ensure vehicles are replaced when needed. Replacement is usually based on mileage and maintenance history. Typically, when a new vehicle enters the fleet, the old vehicle is removed and sent to auction.
Staff researched contracts and found that the Houston Galveston Area Council (HGAC) contract was the most advantageous to the City of DeSoto; HGAC gives the City access to volume purchasing pricing and discounts. This contract allows cities and counties to buy at discounted pricing because the vendor is able to sell to a larger customer base across the United States.   

Due to the current market and inventory shortage, an ambulance replacement delivery timeline is approximately 15 to 18 months after being ordered. Considering the lead time for both vehicles into year 2024 and the multi-unit discount provided for ordering two vehicles at the same time, staff recommends that the ambulances scheduled for replacement through FY 2024 be ordered now. The vendor, Lone Star Emergency Group, requires a proposed letter of intent to order the two ambulance vehicles.
A financial payment is not due with the proposed letter of intent. Payment will be due prior to or upon delivery of the ambulance vehicles, which is expected to be 15 to18 months from the date the letter of intent is provided. Each ambulance will be $306,517.23 with and total purchase amount of $613,034.46. Funding is provided in the City's Vehicle Replacement Fund.
Staff recommends that the City Council authorize the City Manager to negotiate and execute all necessary purchase contracts and agreements related to the purchase of two new ambulances from Lone Star Emergency Group through HGAC, as identified in the FY 2023 and FY2024 Vehicle Replacement Program.
Lone Star Emergency Group Proposal


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