23-R-137 Kinloch Equipment & Supply -Doggett Freightliner Sewer Vactor TruckRESOLUTION NO. 23-R-137
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING THE CITY MANAGER TO ENTER
INTO A LEASE PROGRAM AGREEMENT WITH KINLOCH
EQUIPMENT & SUPPLY AND EXPENDITURES WITH DOGGETT
FREIGHTLINER OF SOUTH TEXAS FOR REPLACEMENT OF THE
SEWER VACTOR TRUCK AND OTHER MATTERS IN CONNECTION
THEREWITH
WHEREAS, The City of Schertz (the "City") approved the replacement of the sewer
vactor truck in FY 23/24 budget; and
WHEREAS, City Staff has identified the Vactor 2100i combination sewer cleaner as the
preferred replacement model; and
WHEREAS, City Staff has determined that a lease option provides the best value to the
City as it includes provisions for bumper to bumper warranties, free repair and maintenance and
free loaner equipment; and
WHEREAS, City staff hereby recommends that the City Council authorize the lease
program agreement with Kinloch Equipment & Supply (Exhibit A) and expenditures with
Doggett Freightliner of South Texas (Exhibit B) for the replacement of the sewer vactor truck;
and
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS THAT:
Section 1. The City Council hereby authorizes the City Manager to execute a lease
program agreement with Kinloch Equipment & Supply and expenditures with Doggett
Freightliner of South Texas in an amount not -to -exceed $550,000 for the replacement of the
sewer vactor truck.
Section 2. The recitals contained in the preamble hereof are hereby found to be true,
and such recitals are hereby made a part of this Resolution for all purposes and are adopted as a
part of the judgment and findings of the City Council.
Section 3. All resolutions, or parts thereof, which are in conflict or inconsistent with
any provision of this Resolution are hereby repealed to the extent of such conflict, and the
provisions of this Resolution shall be and remain controlling as to the matters resolved herein.
Section 4. This Resolution shall be construed and enforced in accordance with the
laws of the State of Texas and the United States of America.
Section 5. If any provision of this Resolution or the application thereof to any person
or circumstance shall be held to be invalid, the remainder of this Resolution and the application
of such provision to other persons and circumstances shall nevertheless be valid, and the City
Council hereby declares that this Resolution would have been enacted without such invalid
provision.
Section 6. It is officially found, determined, and declared that the meeting at which
this Resolution is adopted was open to the public and public notice of the time, place, and subject
matter of the public business to be considered at such meeting, including this Resolution, was
given, all as required by Chapter 551, Texas Government Code, as amended.
Section 7. This Resolution shall be in force and effect from and after its final
passage, and it is so resolved.
PASSED AND ADOPTED, this �� day o 024.
CITY OF SCHERTZ, T S
ATT S
City Secretary, S ila dmondson
(CITY SEAL)
EXHIBIT A
Mile After Mile Lease Program Agreement
P.U. Box 4919
�. Kinloeh Pasadena, TX 77502
Tel: 713.473.6213 Fax: 7 13.473.7858
Equipment & Supply, Inc. Toll Free: 800231.6929
MILE AFTER MILE -
Turnkey Leasing
Solution
Mile After Mile TM Proposal
For The City of Schertz
iiriRz rz
COMMUNITY. SERVICE. OPPORTUNITY.
Kinloch
Equipment & Supple, Inc.
P.O. Box 4919
Pasadena, TX 77502
Tel:713.473,0213 Fax:713.473.7858
Toll Free: 800.231.6929
As an alternative to the traditional equipment acquisition model, we offer a turnkey "cradle to grave" equipment
acquisition and operation solution that achieves the best of both worlds.....high productivity and low cost of
ownership and operation. We call this program Mile After MileTM.
We are pleased to offer our proposal based on the Vactor 2100i combination sewer cleaner. Vactor is the North
American market leader, enjoying just over 54% market share.
Essentially, this is what this program offers:
• Equipment built to the specifications and requirements as outlined in the accompanying proposal.
• A five (5) year bumper -to -bumper warranty for both the truck chassis and sewer cleaner
• All repairs & maintenance included (except rodder hose)
• Guaranteed minimum 95% equipment availability supported by free of charge loaner equipment in the
event of protracted downtime
This again is designed to offer a low, fixed cost of operation and a correspondingly high level of equipment
availability. This yields a lower cost of ownership per productive hour which I'll explain later in this proposal.
This program is offered as a five (5) year lease with your choice of monthly or annual payments, a balloon
payment at the end of the term with a guaranteed repurchase amount from Kinloch Equipment & Supply
equivalent to the amount of the balloon payment resulting in net zero out of pocket to the City of Schertz.
AQUISTION OPTIONS
Model
Vactor 2100i
Debris Body Capacity
12 Cubic Yards
Water Tank Capacity
1,300 Gallons
Vacuum System
Roots 824 18" Positive Displacement Blower
Boom
RDB 1015 10' Telescopic & 15' Extendable
Capital Cost
$543,203.
Mile After MileTM Program
Five 5 Year Bumper to Bumper WarTanty
Included in Payment
Five 5 Year Repair & Maintenance Agreement
Included in Payment
Free Loaner Equipment
Included in Payment
Pa went Schedule
Five 5 Annual Payments of
$99,792.
OR
Six 60 Monthly Payments of
$8,561.
Purchase Option
Upon the conclusion of the five (5) year lease term, the City of Schertz has first option to purchase this
equipment for $269,952. You are under no obligation to exercise this option and can opt to return the
equipment to Kinloch Equipment & Supply, Inc. with no further financial obligation.
P.O. Box 4919
Kinloeh Pasadena, Tx 77502
Tel: 713.473.6213 Fax: 713.473.7858
Equipment & Supply, Inc. Toll Free: 800.2316929
COST PER PRODUCTIVE HOUR
Assumptions:
• 8 hours in a normal single shift workday.
• 52 weeks in a year equals 2,080 normal work hours.
• —10 days per year (80 hours) of Federal holidays.
• Net 2,000 normal work hours per year
• Minimum of 95% guaranteed equipment availability
Payment Frequency
Cost Per Productive Hour
Annual
$52.52
Monthly
$54.07
Prices quoted herein are in accordance with BuyBoard Contract # 601-19.
This proposal is made as a matter of convenience. Any order desired to be placed in conjunction with this
proposal must be made in favor of Doggett Freightliner of South Texas, LLC as only a franchise motor vehicle
dealer may title, register, and plate new motor vehicles within the State of Texas. Doggett Freightliner of South
Texas, LLC is the exclusive BuyBoard contract holder for the Freightliner 114SD chassis as offered in this
proposal.
Prices quoted herein are firm until 11/30/23.
Sincerely,
Daniel J. Federico
Sales Manager
I � � �� ■ - � 3320 Pasadena Blvd
Pasadena, TX 77503
MrEquipment & Supply, Inc. U: 713-473-6213 Fax: 713-473-7853
Toll Free: 800-231-6929
Mile After MileTM Program Agreement
The intent of this agreement is to describe special terms and conditions for the City of Schertz to own and
operate a Vactor 2100i combination sewer cleaner mounted on an Freightliner M-2 114SD Plus truck
chassis with vendor maintenance. The proposal is written to ensure that equipment operated by you will
provide the lowest total cost during its useful life. The proposal is supplemental to the Vactor 2100i
proposal and accompanying configuration provided. This contractual agreement includes all preventative
maintenance and repairs to both the body and chassis with noted exceptions.
DEFINITIONS:
The term "you" shall mean the City of Schertz.
The term "KESI" shall mean Kinloch Equipment & Supply, Inc., the dealer who represents the
manufacturer of the equipment being proposed.
The term "Fleet Management" shall mean the City of Schertz Fleet Manager or his/her designated
representative, wherein the equipment will be operated and maintained.
The term "KESI Principal" shall mean the principal person or his/her designated representative of KESI,
whom this contract shall apply.
The term "normal workday" shall mean a day which falls on or between Monday and Friday of the
calendar week, 52 weeks a year, excluding the City of Schertz holidays. A list of all the City of Schertz
holidays shall be supplied to KESI from you upon award of this contract.
The term "normal working hours" shall mean the time period of a normal workday when the City of
Schertz's main equipment shop and/or maintenance facility is normally open for operation. You shall
supply KESI with this information upon awarding this contract.
The term "in-service date" shall mean the date the City of Schertz places the unit in operation. The City of
Schertz will notify the KESI Principal of the in-service date.
The term "downtime" shall mean the period of time measured in normal workdays that the unit is unable
or unsafe to perform those operations for which the unit was designed.
The maintenance contract period shall be a five (5) year term.
, I' inloch
Mr, Equipment & Supply, Inc.
3320 Pasadena Blvd
Pasadena, TX 77503
0:713-473-6213 Fax:713-473-7858
'Poll Free: 800-231-6929
2. The training will require a minimum of one (1) day for operating and one (1) day for daily
maintenance.
3. The City of Schertz is responsible for providing fuel, insurance, and operator for the mainline
sewer inspection system. Original equipment items listed in this paragraph to be utilized and will
be supplied at fleet pricing.
4. The City of Schertz is responsible for the daily maintenance of the sewer cleaner in accordance
with instructions from KESI and/or the manufacturer.
5. KESI is responsible for the cost of parts and labor of the following:
a) All preventative maintenance requirements for the chassis and body with the exception of daily
maintenance.
b) Vactor sewer cleaner components with the exception of jet rodder hose which is the City's
responsibility.
c) All repairs to chassis and related components. Operator damage is not included.
d) Repair of damage caused by the City of Schertz personnel is not covered by this agreement and
must be repaired to the manufacturer's original specifications within a reasonable time frame
upon notification of damage.
6. KESI shall be fully responsible for transporting to and from your facility, at no cost to you for
any repairs or maintenance required, if said repairs or maintenance cannot be completed at the
City of Schertz's site.
7. This proposal is based on total aggregate usage over a five (5) year term of not more than 10,000
engine hours. If 10,000 engine hours are reached prior to the five (5) year anniversary of the in-
service date, the City of Schertz has the exclusive option to either:
• Pay an hourly charge of $90 per hour for each hour in excess of 10,000 hours until the end of the
five (5) year agreement to allow for the continuation of the terms and conditions set forth in this
agreement.
OR
• Allow this agreement to lapse and immediately absolve both the City of Schertz and KESI of any
further obligations as set forth in this agreement.
8. KESI shall guarantee that the equipment purchased under this contract will be available for operation
at least 95% of normal workdays. KESI shall guarantee that the equipment purchased under this
. inloch.
IN"- Equipment & Supply, Inc.
3320 Pasadena Blvd
Pasadena, TX 77503
0:713-473-6213 FaX:713-473-7858
Toll Free: 800-231-6929
contract will not be out of service for more than five (5) consecutive normal workdays, nor more than
five (5) normal workdays, in any 100 consecutive, normal workday period.
9. Equipment availability shall apply to equipment put out of service for any reason other than i.e.,
operator damage, theft, vandalism, accident, Acts of God, or incidents out of control of KESI which
render the unit unable or unsafe to perform those operations for which the unit is designed. The City
of Schertz supervising personnel, after inspection will determine in conjunction with a KESI
Principal, if the unit was inoperable or unsafe and the cause of the downtime. Equipment availability
shall not apply to equipment during routine maintenance.
10. The unit will be considered out of service starting the first normal workday, following KESI
notification by the City of Schertz's that the unit is inoperable or unsafe and requires repair.
Therefore, the downtime clock will start at the beginning of the first normal workday, following such
notification. The City of Schertz Fleet Manager will notify the KESI Principal during normal working
hours of a unit that is out of service and requires repair. The unit will be considered in service
(operational) starting the first normal workday following the completion of the repair and/or return of
the repaired unit. Therefore, the downtime clock will stop at the beginning of the first normal day
following the repair completion or return of the repaired unit.
11. Equipment availability or in-service percentage (uptime) will be computed by the City of Schertz at
the end of each 100 consecutive, normal workday period, beginning from the in-service date, using
downtime increments of normal workdays. The City of Schertz will use the following formula to
compute equipment availability at the end of each 100 consecutive, normal workday period:
Equipment Availability = [{ 100 Days - Downtime)/100 Days] x 100%
NOTE: The term "Days" refers to normal workdays. The term "Downtime" refers to the total
downtime accumulated during the 100 consecutive, normal workday period.
12. KESI will credit the City of Schertz a daily amount of $125.00 for each normal workday required to
provide 95% availability in the event a functionally equivalent replacement unit is not available.
13. KESI will provide a relief unit should repair downtime be more than five (5) consecutive normal
workdays. All costs associated with securing and delivering the relief unit shall be at KESI's expense,
with no cost to the City of Schertz. The relief unit must be functionally equivalent to its replacement.
14. This guarantee shall be in effect for a period of five (5) years. Time will be measured in calendar
years from the in-service date and engine hours will be recorded on the electric, solid state hour meter
provided with the unit.
17V
Kinloch
3320 Pasadena Blvd
Pasadena, TX 77503
Equipment & Supply, Inc. O: 713-473-6213 Fax: 713-473-7858
Toll Free: 800-231-6929
The City of Schertz Kinloch Equipment & Supply, Inc.
Name: Name: Todd B. Kinloch
Title: Title: President
Date:
Date:
Signature: Signature:
EXHIBIT B
Truck Expenditures
rnE�ru�x
DOGGETT FREIGHTLINER OF SOUTH TEXAS LLC - AUSTIN
1701 Smith Rd.
Austin, Texas 78721
Bus:512-389-0000
Fax:512-389-2663
►VE S
INVOICE / BUYER'S ORDER
BUYER'S '�A::_
CITY OF SCHERTZ
TELEPHONE
ADDRESS •.I-"
1400 SCHERTZ PARKWAY SCHERTZ
STATE
TX
ZIP CODE
78154
YEAR
2025
I MAKE
FREIGHTLINER
MODE BODY
114SD PLUS
I
TBD
L3CEN
A DOCUMENTARY FEE IS NOT AN OFFICIAL
FEE. A DOCUMENTARY FEE IS NOT
REQUIRED BY LAW, BUT MAY CHARGED
TO BUYER FOR HANDLING DOCUMENTS
RELATING TO THE SALE. A DOCUMENTARY
FEE MAY NOT EXCEED A REASONABLE
AMOUNT AGREED TO BY THE PARTIES.
THIS NOTICE IS REQUIRED BY LAW.
MILEAGE:
BUY BOARD CONTRACT #601-19
CHASSIS SELLING PRICE
$136,358.00
VACTOR 2100i
$406,445.00
UN PAGO DOCUMENTAL NO ES UN CARGO
OFFICIAL. LA LEYNO EXIGUE SE IMPONGA
UN CARGO DOCUMENTAL. PERO ESTE
PODRIA COBRARSE A LOS COMPRADORES
POR EL MANEJO DE LA DOCUMENTACION
EN RELACION CON LE VENTA. UN CARGO
DOCMENTAL NO PUEDI EXCEDER UNA
CANIDAD PAZONABLE ACORDADA POR
LAS PARTIES. ESTA NOTIFICACION SE
EXIGUE POR LA LEY.
BUY BOARD FEE
$400.00
QUOTE # CPQ # 2023-69914
QUOTE EXPIRES
Disclaimer of Warranties
The above decribed vehicle sold by Freightliner of Ausitn is sold
as is, without either express or implied warranties of any kind
by Freightliner of Austin, including warranties of merchantability
or fitness, and Buyer will bear the entire expense of repairing or
correcting any defects that presently exist or that may occur in
the vehicle, unless a writte warranty by, or service contract with
Freightliner of Austin covering the describe vehicle is delivered to
Buyer in conjunction with or within 90 days following the time of
sale,but such vehicle or any of its component parts may be subject
to warranty by the manufacuter thereof.
MILEAGE:
YEAR
MAKE MODEUBODY
VIN
MILEAGE:
TRADE-IN
YEAR
MAKE MODEUBODY IVIN
TIC
$543,203.00
PAYOFF TO:
($.00
ADDRESS:
TRADING DIFFERENCE
$543,203.00
TELEPHONE: FAX:
SALES TAX
$0.00
GOOD UNTIL:
DEALER'S INVENTORY TAX
$0.00
QUOTED BY:
LICENSE FEEI
$0.00
SHOW LIEN TO:
Body Type:
DOCUMENTARY FEE
$0.00
ADDRESS:
License Wt.:
FEDERAL EXCISE TAXI
$0.00
State Insp.:
TO'
DATED: LIEN AMOUNT $
License:
PAYOFF ON TRADE
$0.00
DRAFT FOR $
Title: t
EXT. WARRANTY
. 0
DRAFT THRU:
Transfer:
L LESS DEPOSIT
0.00
ADDRESS:
I
Total Balance Due
e Dealers Inventory I ax charge Is intended to reimburse the dealer for ad valorem axes on I
county tax assessor -collector. is not a tax imposed on a consumer by the government, and is not
s mo or ve Ice Inventory. I Me charge, which Is paid
required to be charged by the dealer to the consumer.
by the Dealer to the
The Information you see on the window form for this vehicle Is part of this contract. Inlormatlon on the window form overrides any contrary provisions on the contract of sale.
La informacion que aparece en la ventanilla de este vehiculo forma parte de este contralto. La informacion contenida en el formulario de la ventanilla anula cualquier prevision que establezca to
contratio y quy aparezca en el contrato de venta. If a credit purchase, this is an offer to purchase only. Buyer offers to purchase vehicle on credit terms described herein and no contractual
relationship is created. This order does not constitute an agreement for the extension of credit. Manufacturer/Distributor reserves the right to change the price of new vehicles to Seller without notice.
In the event that the price to Seller of the new vehicle ordered hereunder is changed prior to delivery to Buyer, Buyer agrees and accepts that the cash delivered price will be changed accordingly.
If the Buyer's used vehicle trade-in is not delivered to the Seller until delivery of the new vehicle, the trade-in will be reappraised at that time and Buyer agrees that such reappraised value shall
determine the allowance, if any, made for the trade-in. Buyer agrees to deliver the original bill of sale and the title to an trade-in along with the delivery of the trade-in and further agrees to execute
and all documents necessary or required to transfer legal title and ownership to Seller or its assigns. Buyer warrants the trade-in to be his property and free and clear of all liens and encumbrances
except as otherwise noted herein. Buyer further warrants that the trade-in has not been declared rebuilt salvage, reconditioned, nonrrpairable, or flood damaged and that the emission systems have
not been tampered with and are in the condition as originally manufactured, except for ordinary wear, unless so disclosed. Seller makes no representations, concerning fuel economy of the sale unit
and any information posted on the sale unit or contained in literature relating to the same reflect the results of tests performed, required or prescribed by government agency, upon which Seller has
relied.lt is expressly agreed to and understood by Buyer and Seller that is the event of a noncredit transaction, Seller retains a security interest in the purchased vehicle until such time as Buyer has
paid the Seller for the vehicle. Buyer agrees to all the above listed charges.
BUYER'S SIGNATURE: SELLER'S SIGNATURE: DATE