Meeting Information
-Convene
-Pledge of Allegiance
CONSENT AGENDA
(1) (a) Consider approval of Commission Orders
REGULAR AGENDA
(2) Consider Proposal for Fairgrounds Rate Increase and approval of Home Rule Resolution Amending Douglas County Fairgrounds Policies (Harold Stewart)
(3) Consider approval of purchase of medic unit (Mark Bradford)
(4) Other Business
(a) Consider approval of Accounts Payable (if necessary)
(b) Appointments
(c) Miscellaneous
(d) Public Comment
(5) Adjourn
Johnson called the meeting to order at 6:35 P.M. on Wednesday, April 5, 2006 with all members present. The Pledge of Allegiance was recited.
CONSENT AGENDA 04-05-06
McElhaney moved approval of the following Consent Agenda:
- Approve Commissioners Order Nos. 06-133 and 06-135. Orders are on file in the office of the County Clerk.
Motion was seconded by Jones and carried.
AMBULANCE & PURCHASING 04-05-06
Mark Bradford, Chief of the Lawrence-Douglas County Fire & Medical Department, appeared before the Board requesting approval to waive the bid requirement of the Purchasing Policy for the purchase of a medic unit. Bradford explained that the purchase of a medic unit was requested in the 2006 FY Budget and one medic unit will be requested in the 2007 FY budget as part of their vehicle replacement plan. He stated that he had been in contact with several vendors all of whom have indicated there will be a significant increase in engines due to new federal emissions standards. This increase affects all engines sold beginning January 1, 2007, which are actually all engines sold beginning with the 2007 model year. The estimates from these manufacturers have indicated a $10,000-$15,000 increase.
The current medic unit vendor, American Response Vehicles, has offered a discount of $3,000 per chassis if ordered now, then a 3% increase ($5,850 per unit) on the modular unit to be purchased the last quarter of 2006 and the first quarter of 2007. The offsetting cost is an increase of $2,850 per vehicle. Bradford stated he did not believe we could go out for bid and receive bids for less money.
Bradford's recommendation was to waive the Purchasing Policy and authorize the purchase of the 2006 and 2007 chassis now at a price of $130,000. He also recommended that in June of 2006, one medic unit be ordered for delivery in the fourth quarter of 2006 and order one medic unit in the fourth quarter for delivery in the second quarter of 2007. He noted that the chassis is being ordered early in order to save on the anticipated increase in engine costs.
Jones noted that the reason we have the Purchasing Policy is to ensure we're getting the best price and we're being fair. He stated he saw nothing compelling to waive the bidding process.
Bradford stated that he understood Jones' point. He noted that the Board approved this same process last year. He also noted that the current vendor has been very good to work with, they have a superior unit, and there are advantages to having the same type of unit such as maintenance, parts, etc. He said he did not believe we would be able to purchase another vehicle for the 3% increase.
Johnson asked whether there was much difference in price when bids were last requested.
Bradford stated that four (4) bids were received and they were very competitive.
McElhaney noted that he also likes to keep vehicles and equipment consistent. It makes it much easier to work on and to obtain parts.
Jones said he was concerned about the appearance of not taking the Purchasing Policy seriously. The Policy should be waived when there is a compelling reason to do so, not when it's convenient.
Johnson stated that the Board could approve the chassis since we know the costs will be going up but if Jones preferred, the Board could delay the purchase of the boxes and go through the bid process.
Jones asked Bradford how often he recommended going out for bid.
Bradford stated that he would like to see multi-year contracts which would give us consistency in products. He said he thought 3-5 year contracts would work well.
Jones then asked whether it was possible to have a multi-year contract on something like this.
Craig Weinaug, County Administrator, said that it is possible. Douglas County has entered into some multi-year contracts that are built in as being options for the Board to either accept or not accept the following year.
Bradford stated he believed that the increase would be more than 3% if bids were solicited.
Johnson said it is clearly better to purchase the two (2) chassis now that will cost approximately $10,000-$15,000 less than they would one year from now.
Jones stated he would support this purchase with the understanding that future purchases will go through the bid process. He also stated he would support a multi-year contract.
Bradford stated he was understanding the Commission is authorizing the purchase of the two (2) chassis -- order the 2006 module at a 3% cost increase, then at the end of 2006, order the 2007 module for delivery in the 2nd quarter of 2007 at a 3% cost increase. He also understood that any future purchases would need to go through the bidding process.
Johnson agreed with Bradford's understanding.
McElhaney then made a motion to waive the bidding requirements of the Purchasing Policy and authorize the purchase of two (2) chassis and two (2) medic units at a total cost of $395,344 ($197,672 per unit) from American Response Vehicles. This cost reflects a discount of $3,000 per chassis, and a 3% increase for the medic units ($5,850 per unit) from our 2004 contract. Motion was seconded by Jones and carried unanimously.
FAIRGROUNDS 04-05-06
Harold Stewart, Douglas County Administrator Intern, presented two options for consideration in response to the Board's request for a phased rate proposal regarding the Douglas County Fairgrounds. Stewart noted that the Commission requested a rate policy that would not cause rates to increase more than double that of the previous year. In order to adjust the weekend rates to meet this criteria staff looked at what is currently the rate for the weekend, doubled it, and converted it to an hourly rate. Stewart presented the following options:
Option 1 This option assumes that usage and operating costs remain the same as the usage of 2004 and the costs of 2005. The rates are phased so that there is no more than a 100% increase from year to year. The first year is adjusted as described above. The second year implements the rates as previously proposed, and the third year adjusts to meet the commission goal of 50% recuperation. The concern with this option is that it d s not account for the increasing costs of operation. In comparing the utility bills of 2006 so far to those of 2005, the County is experiencing a 7.6% increase. This option would not allow an adjustment for this until 2010. Thus, this option in actuality d s not meet the Commission's goal of recuperating 50% of the operating costs, though it d s phase the previously proposed rate increase as directed.
Option 2 This option assumes the same usage of 2004 but also includes a 7% per year increase in operating costs. The first year is identical to that of option 1 to avoid more than a 100% increase. The second year the rates for high demand buildings doubles. The third year the rates are adjusted to meet the 50% goal. The disadvantage of this proposal is that the final rates are more than originally proposed. It d s, however, meet the goal of the Commission of recuperating 50% of the operating costs and d sn't increase more than double from year to year. Finally, it also accounts for the rising costs of operation.
Jones asked what year would the County actually reach the 50% goal.
Stewart said that with Option 1, it would be at least 2010, but possibly as late as 2011. With Option 2, we would be close to it by 2009.
Johnson stated he was inclined to approve Option 2 since it is consistent with the previous discussions. He noted he was a little hesitant to approve it tonight without more public input.
Jones noted that the Commission has been very clear and additional public input was not an issue for him.
McElhaney made a motion to approve Home Rule Resolution No. HR-06-3-2 Amending Douglas County Fairgrounds Policies, as Codified for Article 1 of Chapter VIII of the Code of Douglas County, Kansas, To Amend the Usage Fees Relating to the Douglas County Fairgrounds, adopting Option 2 for the fee rates. Motion was seconded by Jones and carried unanimously.
MISCELLANEOUS 04-05-06
The Board reviewed the County Administrator's Issues and Objectives Report. No action was taken.
APPOINTMENTS 04-05-06
Jones made a motion to reappoint David Johnson to the Douglas County Community Corrections Youth Services Advisory Board for a two (2) year term to expire on April 5, 2008. Motion was seconded by McElhaney and carried unanimously.
ACCOUNTS PAYABLE 04-05-06
Jones moved approval of accounts payable manual checks in the amount $105.00. Motion was seconded by McElhaney and carried unanimously.
McElhaney made a motion to adjourn; Jones seconded and the motion carried unanimously.
_____________________________ _____________________________
Bob Johnson, Chairman Jere McElhaney, Member
ATTEST:
_____________________________ _____________________________
Jamie Shew, County Clerk Charles Jones, Member
Time and Date