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6.3 Purchase used vehicle for fire departmentCITY OF SALINA REQUEST FOR CITY COMMISSION ACTION DATE TIME 02/01/2016 4:00 P.M. AGENDA SECTION ORIGINATING DEPARTMENT: FISCAL APPROVAL: N0: 6 BY: ITEM FIRE DEPARTMENT FINAL A PROVAL: N0: Page 1 3 BY: Chief Calvin Kelsey BY: 01'r ITEM: Authorize the City Manager to approve the purchase of a used vehicle for the fire department. BACKGROUND: This Commission Action item presents another innovative effort in replacing existing fleet vehicles on a budget and takes maximum advantage of the budget dollars currently in the fire department's 2016 CIP funding. In short, the department is requesting to use $20,789 dollars allocated for the purchase of one late model, low mileage pre -owned vehicle for the department's Emergency Vehicle Technician (EVT). Buying used vehicles is always a concern; however, the fire department has considerable experience with this type of vehicle acquisition. In 2009, as a "Pilot Program" the concept was executed that replaced two (2) older type vans with good condition used ones. The criteria set forth was rather simple; they needed to be late model years, mileage below 60,000 miles and needed to be comparable to what was already in inventory. Things such as make, model, color and options were not restricted; the goal was to acquire the best mini -van at the most the most affordable price. Subsequently the vans purchased were 2006 Ford Freestar models with odometer readings below 60,000 miles. The timing of this purchase could not have been better due to the depressed prices on the used car market. The pre -owned mini vans were purchase for just under $10,000.00 each. Since their purchase the two vans have been very reliable and cost effective and are still in service today. The city employees who use the vehicles have never expressed a complaint. The CIP budgeted amount for 2009 was $23,000.00 to replace one (1) vehicle (the city pool vehicle) and $23,000.00 to replace the other van. By purchasing the two used vans for the price of one new one the net result was a savings of $28,000. The Fire Department has been budgeted $36,000 in 2016 to replace a 2001 Ford Ranger pickup (Unit 414). This vehicle was a used vehicle with over 90,000 miles on it when the fire department took possession in 2007. The unit 414 has served its purpose but with the mileage ever creeping higher and in excess of 150,000 miles it is simply not worth putting budget dollars into. The vehicle is worth less than $1,000 on the open market due to its age and condition. The current Ranger assigned to the EVT is a 2 -wheel drive vehicle. While the day-to-day use of the vehicle doesn't require 4 -wheel drive, it is the Chiefs of Staff expectation that the EVT be able to respond to the department's needs at a moment's notice no matter what the weather or terrain conditions are. The EVT must be able to travel to the scene of any emergency or to any location where his skills are required in his own vehicle. We rarely would have the people, time, or vehicle to use a separate vehicle to go pick up the EVT during emergency events if his vehicle wouldn't make it. During significant events, such as the last two floods and the major ice storm, we used nearly every vehicle available to us to transport displaced victims and our own personnel to and from incidents. The cost difference of a 4 -wheel drive vs. 2 -wheel drive vehicle is at best $1500 more. This cost over the life of the vehicle coupled with the likelihood of needing 4 -wheel drive a few times each year is well worth the added expense. We don't have the option to stay home when the roads are not clear and neither does our EVT. Our EVT has put roughly 65K more miles on it in the last nine years, averaging CITY OF SALINA REQUEST FOR CITY COMMISSION ACTION DATE TIME 02/01/2016 4:00 P.M. AGENDA SECTION ORIGINATING DEPARTMENT: FISCAL APPROVAL: NO: BY; ITEM FIRE DEPARTMENT FINAL APPROVAL: NO: Page 2 BY: Chief Calvin Kelsey BY: about 7200 miles/year. Purchasing a newer truck with much fewer miles to start with should enable the SFD to run it for 15 years or more. A $100/year investment for 4 -wheel drive and added peace of mind when we need it seems like a good return. The 2013 Chevrolet half -ton 4x4 regular long cable pickup has the following pricing on NADA and Kelly Blue Book as equipped as the one submitted for your review: • NADA Fair purchase price: $22,875.00 • Kelly Bluebook Fair purchase price: $23,185.00 During the course of Fire Marshal Williams research, used vehicle inventories: - Long McArthur Ford - Salina - Marshall Motors - Salina - Bennett GMC - Salina - Conklin Cars -All stores - Money Motors - Salina - Midway Motors - All stores - Holm Automotive — Abilene he searched the following local auto dealerships The results found that none of the dealers searched in the surrounding area had a regular cab long bed 4 -wheel drive vehicle from any manufacture within the years (2012 — 2014) with mileage that was below 50,000 miles and had a sale price of under $22,000. Lastly, the proposal requests the City Manager be given the authority to approve the purchase of a used vehicle to replace the 2001 Ford Ranger within the current funding. FISCAL NOTE: $36,000 in funding currently exists in the 2016 CIP budget to replace the EVT's vehicle that could be used for this proposal CONFORMANCE WITH THE STRATEGIC PLAN: GOAL #3: The City will provide the highest quality of services, consistent with governing body direction, available resources and staff commitment to quality. COMMISSION ACTION OR RECOMMENDED ACTION: Options: 1) Authorize the City Manager to approve the purchase of a used vehicle for the fire department in an amount not to exceed $20,789. 2) Deny the request for authorization and provide direction The Fire Administration recommends Option #1