1. 2010 VEHICLE GROWTH – ANNUAL REPORT

AUGMENTATION DES DEMANDES DE VÉHICULES DE 2010

Committee recommendation

That Council receive the 2010 vehicle growth report for information.

Recommandation DU Comité

Que le Conseil prenne connaissance du plan d’augmentation des demandes de véhicules de 2010.

Documentation

1. Deputy City Manager’s report, City Operations dated 8 September 2009 (ACS2009-COS-PWS-0018).

2. Extract of Draft Minutes, 8 September 2009.

Report to/Rapport au :

Planning and Environment Committee

Comité d'urbanisme et d'environnement

and Council / et au Conseil

8 September 2009/ le 8 septembre 2009

Submitted by/Soumis par: Steve Kanellakos, Deputy City Manager/Directeur municipal adjoint,

City Operations/Opérations municipales

Contact Person/Personne ressource : Yvan Lupien, Manager, Fleet Services

Fleet Services/Services du parc automobile

(613) 580-2424 x 22391 , Yvan.Lupien@ottawa.ca

City Wide/à l'échelle de la Ville

Ref N°: ACS2009-COS-PWS-0018

SUBJECT:	2010 vehicle growth – Annual Report

OBJET :	AUGMENTATION DES DEMANDES DE VéHICULES DE 2010

REPORT RECOMMENDATION

That the Planning and Environment Committee recommend Council receive the 2010 vehicle growth report for information.

RECOMMANDATION DU RAPPORT

Que le Comité d'urbanisme et d'environnement recommande au Conseil de prendre connaissance du plan d’augmentation des demandes de véhicules de 2010.

BACKGROUND

In January 2005 Council motion 27/139 directed staff to provide pre-budget reports in advance of the draft budget for the purchase of any new fleet. The pre-budget reports detail the following information: proposed vehicles to be purchased, programming rationale for purchase, expected cost and expected savings through strategic procurement.

The Fleet Services Branch prepares the annual Fleet Growth and Replacement reports on behalf of its clients and based on client-identified requirements. As part of the report preparation process, the respective client groups identify their growth and/or replacement requirements and the Fleet Services Branch prepares minimal vehicle specifications to meet the requirements in the most cost effective way.

There are four distinct Growth Reports that are prepared and presented to one of the following four standing committees: Community and Protective Services, Planning and Environment, Corporate Services and Economic Development and Transportation. Each report contains specific data relative to the respective client groups under each committee. The Fleet Growth Report is then consolidated and presented the Corporate Services and Economic Development Committee for consideration.

This report will provide the Planning and Environment Committee with the 2010 Fleet Growth requirements. Document 1 attached provides details for the Building Code Services Branch, Forestry Services Branch, Drinking Water Operations Branch and Wastewater and Drainage Operations Branch, which report to this committee.

DISCUSSION

The City’s fleet is an integral component in achieving corporate operational objectives and therefore, a significant portion of the City’s annual Capital Budget is expended on the procurement of new fleet. In order to operate a cost and operationally efficient fleet, it is critical that vehicle and equipment build-out and delivery deadlines are met each year.

The process to acquire fire trucks, heavy vehicles and ambulances is between twelve months and two years, while light vehicles can take up to twelve months if the spring manufacturing deadlines are not met. Vehicle manufacturers have a typical last-order or “build-out” date in March of every year. This date is in place to ensure the manufacturer has capacity to manufacture the requested units before re-tooling for the manufacture of subsequent models in the fall. If the March build-out date is missed, the manufacturer no longer accepts orders on the current tendered model and the only option is to re-tender for the fall model.

Past practice has permitted Fleet Services to issue a request for tender or proposal in advance of the approval of the Annual Capital Budget and order the vehicles immediately following budget approval. This practice will be reinstated, which will permit the City to provide for a more timely delivery of vehicles

Fleet 2010 Vehicle Growth Analysis

Fleet 2010 Total Vehicle Growth

The Fleet 2010 vehicle growth requests for all four Committees total $ 5,316,000 in capital costs and $ 1,525,100 in operating costs. The Draft 2010 Operating and Capital Budgets to be tabled for approval with Council will include these expenditure items. The purchase of these vehicles and the associated costs are subject to the approval of Council during the 2010 budget process.

Planning and Environment Committee 2010 Growth

The Planning and Environment Committee –2010 Vehicle Growth Requests Information Report
attached as Document 1 details the 2010 vehicle and equipment requests along with the models and specific unit acquisition justification for the following Branches:

· Building Code Services

· Forestry Services

· Drinking Water Operations

· Wastewater and Drainage Operations

The report details the estimated capital cost and the operational impacts for the requested units. The operating impacts are the associated costs to operate the units including maintenance, fuel and depreciation.

Building Code Services is requesting four (4) new compact cars to meet its 2010 operational requirements. The capital cost of these units is $88,000 with an operating impact of $38,364.

Forestry Services is requesting eight (8) new vehicles to meet its 2010 operational requirements including: one (1) ATV, five (5) ½-ton pick-up trucks with extended cabs, one (1) ½-ton pick up with regular cab and one (1) 1-ton pick up with crew cab. The total capital cost of these units is $245,000 with an operating impact of $93,073.

Drinking Water Operations is requesting seven (7) new vehicles to meet its 2010 operational requirements including: two (2) water tank trailers, two (2) pick-up trucks, two (2) cargo vans and one (1) Hybrid SUV. The capital cost of these units is $240,000 with an operating impact of $72,890.

Wastewater and Drainage Operations is requesting eighteen (18) new vehicles to meet its 2010 operational requirements including: nine (9) pick-up trucks, eight (8) cargo vans and one (1) sprinter van. The capital cost of these units is $685,000 with an operating impact of $231,585.

In total, the Capital costs for 2010 Growth for the Planning and Environment Committee’s consideration is $ 1,258,000 with a total operational impact of $435,912.

Details pertaining to models and specific unit acquisition justification can be found in the attached Planning and Environment Committee- 2010 Vehicle Growth Requests Information Report (Document 1).

CONSULTATION

No public consultation was required.

LEGAL/RISK MANAGEMENT IMPLICATIONS

There are no legal/risk management impediments to implementing the recommendation in this report.

FINANCIAL IMPLICATIONS

The 2010 vehicle growth requests will form part of the Draft 2010 Operating and Capital estimates that will be considered by the respective Committees and Council during the budget process.

SUPPORTING DOCUMENTATION

DOCUMENT 1 - Planning and Environment Committee - 2010 Vehicle Growth Requests