Agenda

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Regular Agenda Item 4. I.

Regular BOS Meeting

Meeting Date:	08/17/2020
Submitted For:	Steve Sanders	Submitted By:	Betty Hurst, Contracts Administrator
Department:	Finance
Fiscal Year:	2021	Budgeted?:	Yes
Contract Dates Begin & End:	08-17-20 to 08-16-21	Grant?:	No
Matching Requirement?:	No	Fund?:	Replacement

Information

Request/Subject

Approval to use Sourcewell-Caterpillar-Empire Southwest LLC Contract Agreement (Sourcewell No. 032119-CAT).

Background Information

On August 7, 2018, the Board of Supervisors awarded Cooperative Agreement Sourcewell 032515-CAT for use in purchasing and repairing heavy equipment with related accessories, attachments and supplies in the amount of $400,000. The first amendment was approved by the Board of Supervisors on September 3, 2019 to participate until August 6, 2020, and continue to use the Cooperative Agreement with Caterpillar and Empire Southwest, LLC.

The new contract #032119-CAT with Caterpillar Inc. and Sourcewell was signed on May 10, 2019 by Sourcewell. Contracts going forward with Caterpillar Inc. and their dealers, Empire Machinery and Empire Southwest, will be using contract #032119-CAT until the maturity date of May 13, 2023.

The amount of annual heavy equipment purchase, parts and labor for repair can range from $100,000 to above $400,000 and this agreement could save the County between 3% to 30% in equipment and parts.

Evaluation

Cooperative Agreement Sourcewell Contract No. 032119-CAT will serve to exercise the option to renew the contract through May 13, 2023.

Conclusion

The Sourcewell contract with Caterpillar will simplify and keep a reasonable time frame for obtaining purchase orders for parts and labor with the vendors under this contract. It will enable County departments to save money with discounts when purchasing heavy equipment parts, supplies and equipment.

Recommendation

The Public Works Department Director recommends that the Board of Supervisors approve Cooperative Purchasing Agreement Sourcewell 032119-CAT heavy equipment with related accessories, attachments, and supplies for use of parts, labor and lease-purchase of Caterpillar equipment with Empire Southwest LLC in Mesa, Arizona for a term of 12 months (August 17, 2020 to August 16, 2021) with the option for three one-year contract term renewals. The purchase order procedures and Board approval for large purchases will continue as per the Board Finance policy.

Suggested Motion

Information/Discussion/Action to approve the use of a Sourcewell-Caterpillar-Empire Southwest LLC Contract Agreement (Sourcewell No. 032119-CAT) for the purchase of heavy equipment and related accessories, attachments and supplies in a not to exceed amount of $400,000 for the term beginning August 17, 2020 to August 16, 2021. (Steve Sanders)

Attachments
Contract Agreement
CAT Contract 032119 with attachments