To: Board of Supervisors
From: Warren Lai, Public Works Director/Chief Engineer
Report Title: Participating Addendum with Volvo Construction Equipment North America, LLC
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Purchasing Agent, or designee, to execute, on behalf of the County, a Participating Addendum with Volvo Construction Equipment North America, LLC, in an amount not to exceed $5,000,000, for the purchase of heavy construction equipment with related attachments and technology for use by the Public Works Department, for the period of March 25, 2025 through April 14, 2027, under the terms of the Master Contract awarded by Sourcewell and the State of Minnesota, and distributed through Volvo Construction Equipment North America, LLC., Countywide.
FISCAL IMPACT:
Product and service costs will be paid by Road and Flood Control District funds.
BACKGROUND:
The Public Works Department Purchasing Services Division is requesting approval of a Participating Addendum for the purchase of heavy construction equipment with related attachments and technology offered through Volvo Construction Equipment North America LLC. Products are guaranteed through the master contract awarded by Sourcewell and the State of Minnesota. Approval of the addendum between Contra Costa County and Volvo Construction Equipment North America LLC, allows the County to obtain guaranteed pricing available through the Sourcewell and the State of Minnesota contract. The purchase will support the Public Works Road Maintenance Division with a variety of heavy construction equipment, related attachments and technology required by the Division, providing discounts ranging from 27% to 45% off published list prices. This will allow the Public Works Road Maintenance Division the ability to supplement their heavy equipment fleet for far less than they would without this benefit.
CONSEQUENCE OF NEGATIVE ACTION:
Without approval of this agreement, the County would be paying full price on the heavy construction equipment purchases they make today.