To: Members of the Public Works Commission
From: John Arney, CPFP, Fleet Services Manager
Title
Resolution Waiving the Formal Written Bidding Requirement on the Basis of Sole Source and Approving a Purchase Agreement Between the Town of Castle Rock and Transwest Freightliner for Four (4) Class 8 Dump Trucks
Body
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Executive Summary
The Fleet Services Manager is requesting approval of a purchase agreement with Transwest Truck Trailer RV. for the purchase of four (4) class 8 dump trucks. Three of the four trucks will be upfitted with snow removal equipment, and one will be used as a standard dump truck for water repair activities. These new assets will replace existing trucks in the fleet that have reliability concerns and have met the requirements for replacement under the New Vehicle Purchase and Replacement Policy. All four vehicles are replacing trucks that have reached their lowest lifecycle cost. This request is fully funded through contributions to the Vehicle Replacement Fund. We are seeking Council approval to move forward with the purchase order.
History of Past Town Council, Boards & Commissions, or Other Discussions
These vehicles were included within the 2026 budget that was approved by Town Council
Discussion
The Fleet Services Division works with each department to manage vehicle assets at their lowest total lifecycle cost with available resources. Once an asset reaches this point, they are candidates for replacement. A review of the lifecycle cost, age, reliability and usage is conducted, and a recommendation is made to the department. Funding for replacements are made by departments through annual contributions to the Vehicle Replacement Fund for vehicles and equipment in their fleet. Funds are then used to replace vehicles and equipment based on the New Vehicle Purchase and Replacement Policy. The policy provides a standard for identifying and recommending vehicles and equipment for replacement. All four vehicles have met the criteria for replacement.
The four trucks being replaced are units 344,348 and 357 for the Public Works Department, and unit 283 for the Water Department. All four trucks are International 7400’s with the Maxxforce engine and equipped with dump bodies. Three trucks assigned to the Public Works have the primary responsibility of removing snow. The fourth truck is a dump truck assigned to Castle Rock Water and is used for maintenance operations. The Maxxforce engine is in most Town class 8 trucks, including plow trucks and Fire Department vehicles and have reliability concerns. Vehicles with this engine are seeing frequent and costly repairs that are contributing to higher-than-expected cost per mile (CPM). The increased cost for these assets is directly related to the reliability and cost of the engine and other major parts and components. This is lowering our lifecycle expectations and requiring them to be replaced sooner. Repair parts are very expensive and can be difficult to source, resulting in higher downtimes. Delivery times for new trucks can exceed 18 months from the time of ordering and can have an impact on the departments’ levels of service. The Public Works Department has operated without a snowplow for more than 18 months after two engine failures.
The new trucks have significant improvements to the design and reliability of these dump trucks. The chassis has a reliable Cummins I9 engine with an Allision transmission. This combination of power systems makes for a reliable truck that is easier to maintain. The transition to RDS-style truck bodies has also provided significant operational benefits. These bodies integrate both granular salt distribution and liquid Magnesium Chloride application into a single system, allowing operators to apply both materials simultaneously. This combination breaks the bond between snow and ice with the roadway more quickly, while lowering the effective operating temperature of the deicing materials. The result is faster roadway recovery, improved traction, and an increased level of service for the traveling public during winter weather events.
The improved effectiveness of this application method also reduces the number of repeat treatments required to maintain safe roadway conditions. Fewer applications decrease overall material consumption, lowering annual expenditure on deicing products while reducing the amount of chlorides introduced into the Town's stormwater system and local waterways. This approach provides measurable operational efficiencies, reduces long-term operating costs, and supports the Town's commitment to responsible environmental stewardship.
The Water Department dump truck also has improved features that increase their capabilities. This truck has a tandem rear axle and a larger chassis to accommodate a 15-foot dump body. These improvements will allow the department to transport a mini excavator on a trailer and have larger haul capabilities to and from job sites around Douglas County.
Delaying the replacement of assets past their lowest lifecycle costs will shift the financial burdens from capital to operating expenses while allowing the fleet to age and become increasingly unreliable and more expensive to replace in the future. The vehicle replacement contributions are made over the life of the vehicle so that capital funds are available at the optimal time to replace an asset. This program is designed to keep safe and reliable assets on the road and allows the department to maintain their levels of service.
This will be a Sole Source purchase utilizing CDOT cooperative award 371002315 for class 8 trucks through Transwest Truck Trailer Rv. and 371002331 for class 8 trucks bodies and attachments through Auto Truck Group dba Holman. CDOT has competitively bid their contract for new vehicles, which meets the Town’s Purchasing Policy and saves acquisition time. The CDOT awards meet the specifications for these new trucks and offer the best value to the Town. The Legal Department has drafted the purchase agreement for this purchase.
Deliverable Milestones
The anticipated completion date for these vehicles will be December of 2027. Transwest Truck Trailer Rv. will be paid a total of $1,230,416 for four (4) vehicles in accordance with design specifications. Transwest Inc. may be paid in two separate payments after successfully reaching the deliverables listed below.
• First payment, not to exceed $596,703 for four (4) vehicle chassis. All chassis must be received by Transwest Truck Trailer RvInc and delivered to Holman so upfitting may begin. Partial payments may be made for individual chassis.
• Second and final payment, not to exceed $633,713 for a completed truck that includes all bodies and all attachments in accordance with specifications and all terms of the purchase agreement.
Budget Impact
The cost of this purchase is $1,230,416 and will be fully funded by the Vehicle Replacement Fund 221-8100-481.70-40 through contributions made by departments.
Staff Recommendation
Staff recommends that the Public Works Commission recommend Town Council approve the purchase agreement for four (4) Class 8 dump trucks, upfitted with dump bodies and snow removal equipment.
Proposed Motion
“I move that the Public Works Commission recommend that Town Council approve the attached
Resolution as introduced by title.”
Alternative motions:
“I move to recommend that Town Council approve the attached Resolution as introduced by title,
with the following conditions: (list conditions)”
“I move to continue this item to the Public Works Commission meeting on (date) to allow additional
time to (list information needed)”
Attachments
Attachment A: Resolution
Attachment B: Purchase Agreement
Attachment C: Sole Source