This is a request to the Mayor and City Council to approve the purchase of a solid waste collection vehicle to replace City vehicle #2018, a 2016 Peterbilt, which was rendered a constructive total loss due to an engine fire.

On January 5, 2017 City vehicle #2018 had an engine fire while servicing its route. The engine compartment for these vehicles is located behind and underneath the cab. The fire damaged the engine compartment and quickly spread to the cab. The cause of the fire is still under investigation, and a cause and origin expert has been retained by our insurance carrier. The extensive fire damage to the engine compartment and cab rendered the vehicle a total loss. 

The vehicle is covered by a OneBeacon insurance policy. A claim for recovery has been submitted to OneBeacon. The insurance policy will pay the actual cash value of the vehicle, which will be paid into a separate recovery fund. That insurance claim will be subject to a $5,000 deductible.   

Fleet estimates the vehicle replacement cost at $314,885, plus a radio in the amount of $3,500, for a total replacement cost of $318,385.

A:  Approve the vehicle replacement purchase and a budget amendment in the amount of $318,385.00.

B:  Disapprove the vehicle replacement.

Discussion and possible action to (a) approve the purchase of a replacement solid waste collection vehicle in the amount of $318,385; and (b) approve a budget amendment in the amount of $318,385 from the Risk Management Contingency account to the Risk Insurance/Premiums and Insurance Claims City Property account.

The vehicle is covered by a OneBeacon insurance policy. A claim for recovery has been submitted to OneBeacon. The insurance policy will pay the actual cash value of the vehicle, which will be paid into a separate recovery fund. That insurance claim will be subject to a $5,000 deductible.