CITY COUNCIL MEETING AGENDA PACKET

Page 1 of 3 Item #7 CITY COUNCIL AGENDA REPORT November 18, 2025 Public Works - Operations Division TITLE: AUTHORIZE THE CITY MANAGER TO ENTER INTO A PURCHASE ORDER WITH PETERSON CAT FOR THE PURCHASE OF ONE CATERPILLAR 255 COMPACT TRACK LOADER IN AN AMOUNT NOT TO EXCEED $200,022,INCLUSIVE OF A 15 PERCENT CONTINGENCY SUMMARY The City is responsible for managing and maintaining a fleet of 445 vehicles and equipment that support essential citywide operations. As part of the City’s Asset Management Plan, a data-driven analysis identified two trucks that have exceeded their useful service life, carrying a high-risk rating, and facing escalating maintenance costs and reduced reliability. These units have been prioritized for replacement to ensure operational efficiency, compliance with regulatory requirements, and alignment with the City’s long-term fleet replacement strategy. Staff recommends replacing Unit No. 232, a 1995 Bobcat 853H Front-End Loader currently used by the Streets and Traffic Safety Section. The unit is equipped with a Tier 1 diesel engine, no longer compliant with California Air Resources Board (CARB) regulations. Continued use of this equipment carries the risk of noncompliance penalties, increased emissions, and higher maintenance costs. The proposed replacement—a Caterpillar 255 Compact Track Loader—will be purchased from Peterson CAT through Sourcewell Cooperative Purchasing Contract No. 011723-CAT in an amount not to exceed $200,022, inclusive of a 15 percent contingency. RECOMMENDATION Authorize the City Manager to enter into a purchase order with Peterson CAT for the purchase of one Caterpillar 255 Compact Track Loader in an amount not to exceed $200,022,inclusive of a 15 percent contingency. BACKGROUND The City’s Streets and Traffic Safety Section relies on specialized equipment to perform critical infrastructure maintenance, including street repairs, utility trenching, and debris removal. Unit No. 232, a 1995 Bobcat 853H, has surpassed its intended service life and is currently outfitted with a Tier 1 diesel engine, which is noncompliant under the California Air Resources Board (CARB’s) In-Use Off-Road Diesel-Fueled Fleets Regulation. Thus, the current equipment must be replaced to meet the compliance requirement and to support the City's critical operational needs. The unit has experienced increased mechanical failures, downtime, and escalating maintenance costs. Since 2024, the loader has required over $4,170 in repairs and accumulated over $13,938 in lifetime maintenance expenses. The City, working with Kayuga Solutions, conducted a high-level asset management analysis of the City’s fleet and equipment inventory and developed a 10-year Fleet Repair and Replacement Plan. This plan identifies all Page 67 of 399