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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />SEPTEMBER 6, 2011 <br />TITLE: <br />CONTRACT AWARD TO SCHWARZE <br />INDUSTRIES, INC. FOR STREET <br />SWEEPER <br />(SPEC. NO. 11-040) <br />CITY MANAGER <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />APPROVED <br />? As Recommended <br />? As Amended <br />? Ordinance on 15' Reading <br />? Ordinance on 2nd Reading <br />? Implementing Resolution <br />? Set Public Hearing For <br />CONTINUED TO <br />FILE NUMBER <br />Award a contract to Schwarze Industries, Inc. for the replacement of one fire damaged CNG street <br />sweeper in the amount not to exceed $307,160, to be reimbursed from insurance proceeds. <br />DISCUSSION <br />On June 19, 2010 an electrical fire engulfed one CNG street sweeper causing damage that resulted <br />in a total loss. Under the City of Santa Ana liability insurance program, the City maintains a <br />replacement valve clause that allows the City to replace equipment due to unforeseen losses. Our <br />insurance carrier, Alliant Insurance Services, Inc., has approved the claim and has authorized <br />payment for one replacement street sweeper. The Finance and Management Services Agency <br />Facilities, Fleet Management Division provides annual maintenance for the City's street sweepers. <br />Currently eleven street sweepers are used to sweep over 400 miles of roadway within the City, <br />73,000 curb miles, consisting of residential, commercial and industrial streets and removes over <br />39,000 cubic yards of gutter litter each year. The current street sweepers range in age from 2003 to <br />2007 and require increased maintenance. The purchase of the replacement sweeper will allow Fleet <br />staff to provide more effective maintenance to the balance of sweepers since the new sweeper will <br />initially require minimal maintenance. To comply with Air Quality Management District standards, the <br />new street sweeper will be a compressed natural gas unit. <br />Santa Ana City Ordinance No. NS-2312 authorizes the City to purchase against contracts from any <br />public agency utilizing a competitive bid process. A contract for street sweepers was awarded as a <br />result of open, competitive bidding and meets the City's requirements and qualifies for a contract to <br />Schwarze Industries, Inc. <br />22C-1