AGENDA TITLE:
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Adopt a Resolution Authorizing Interim City Manager to Execute Five-Year Professional Services Agreement with Terex USA, LLC of Watertown, SD for Inspection, Maintenance, Testing, and Repair of Electric Utility Vehicles and Equipment ($150,000) (EU)
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MEETING DATE:
December 17, 2025
PREPARED BY:
Tim Combs, Electric Utility Superintendent
recommendation
RECOMMENDED ACTION:
Adopt a resolution authorizing the Interim City Manager to execute a five-year professional services agreement with Terex USA, LLC of Watertown, SD for inspection, maintenance, testing, and repair of Electric Utility vehicles and equipment in an amount not to exceed $150,000.
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BACKGROUND INFORMATION:
Lodi Electric Utility (LEU) uses a specialized fleet of vehicles and equipment for the purpose of building, constructing, and maintaining Lodi’s electric distribution system. These fleet units include industry customized mechanical and electronic systems that require specialized training to troubleshoot, repair, and maintain. Further, federal and state regulatory mandates require a battery of tests to be completed by certified technicians to ensure worker safety while operating in an energized environment. LEU currently utilizes the services of two vendors, namely Altec and Terex, through separate contracts, to satisfy these requirements.
In addition to the services Terex provides to LEU, the City’s Fleet Services Division relies upon Terex as an authorized vendor for parts, materials, and services outside their expertise or licensing.
The current agreement with Terex is set to expire on December 31, 2025. Therefore, LEU is proposing a new five-year agreement with Terex to ensure the ongoing readiness of LEU’s fleet to respond to routine and emergency work.
In accordance with Lodi Municipal Code, Section 3.20.075 (6), safety and transportation service vendors are specifically exempt from advertising and bidding requirements and such contracts shall be awarded on the basis of professional qualifications and experience, quality of service, past performance, and negotiated prices. LEU maintains continued working relationships with both Terex and Altec, as it relates to the purchase and maintenance of heavy-duty vehicles and equipment that make up LEU’s electric distribution system fleet assets including but not limited to bucket trucks, digger derrick line trucks and a crane.
Multiple contracts are maintained by LEU to ensure scheduling availability of vendors when needed.
STRATEGIC VISION:
5A. Infrastructure: Invest in innovative infrastructure with a high Return of Investment.
FISCAL IMPACT:
Not-to-exceed $150,000 over five years.
FUNDING AVAILABLE:
Account No. 50064100.72450 for Fiscal Year 2025/26. Future year costs will be included as part of the annual budget planning and approval process.