Title
Contract Supplement No. 2: Cummins Original Equipment Manufacturer (OEM) Parts and Repair Services [Published for 10-day Review on 07/31/2025]
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FileID
File ID: 2025-01412
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Location
Location: Citywide
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Recommendation
Recommendation: Pass a Motion authorizing the Interim City Manager or designee to execute Supplement No. 2 to Contract 2023-1219 with Dobbs Heavy Duty Holdings LLC, dba Dobbs Truck Group, Inc. for Cummins Original Equipment Manufacturer (OEM) Heavy Duty Truck Parts and Repair Services in an amount not to exceed $300,000 for a revised total contract not-to-exceed amount of $1,050,000.
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Contact
Contact: Stacey Chatman, Program Specialist, (916) 808-6711, schatman@cityofsacramento.org; Alison Kerstetter, Fleet Manager, (916) 808-1163, akerstetter@cityofsacramento.org; Department of Public Works
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Presenter
Presenter: None
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Attachments
Attachments:
1-Description/Analysis
2-Contract Supplement No. 2
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Description/Analysis
IssueDetail
Issue Detail: The Department of Public Works, Fleet Management Division, relies on a steady supply of Cummins parts and repair services to maintain the City’s fleet. Cummins engines are widely used in heavy-duty vehicles, including dump trucks, fire engines, and refuse trucks making these services essential to daily operations.
To secure a vendor, the City issued an invitation for bids (IFB) on June 5, 2023, with a closing date of June 23, 2023. Four bids were received; however, all were deemed non-responsive for failing to meet the Local Business Enterprise (LBE) participation requirements. Rather than reissue the IFB with an LBE waiver, the City Council passed Motion No. 2023-0253 on September 12, 2023, suspending competitive bidding and awarding a contract to Dobbs Truck Group, Inc. the lowest bidder for Cummins Original Equipment Manufacturer (OEM) parts and heavy-duty truck repair services.
Recently, there has been a noticeable increase in the need for Cummins Engine repairs due to unintended part failures and other non-warrantied issues. While this part of a broader industry
trend, and not specific to the City’s fleet, it has resulted in higher than anticipated repair costs. As a result, an increase in the total contract amount is now necessary to ensure continued service availability.
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PolicyConsiderations
Policy Considerations: The recommendations in the report are in accordance with City Code Section 4.04.020 and Council Rules of Procedure, Chapter 7, Section E.2.d., which mandate that unless waived by two-thirds vote of the City Council, all labor agreements, and all agreements greater than $1,000,000 shall be made available to the public at least ten (10) days prior to the City Council action. This item was published for 10-day review on July 31, 2025, in compliance with City Code.
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EconomicImpacts
Economic Impacts: None
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EnvironmentalConsiderations
Environmental Considerations:
California Environmental Quality Act (CEQA): No environmental review is necessary because the recommendations in this report involves the purchase of parts and services and are not considered to be a project in accordance with Section 15378(b)(2) of the California Environmental Quality Act guidelines.
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Sustainability
Sustainability: Not applicable.
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Commission/Committee Action
Commission/Committee Action: None.
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RationaleforRecommendation
Rationale for Recommendation: On September 12, 2023, the City entered into a contract with Dobbs Heavy Duty Holdings LLC, dba Dobbs Truck Group, Inc. for Cummins Original Equipment Manufacturer (OEM) heavy duty truck parts and repair services.
The anticipated not-to-exceed amount on the contract is nearing exhaustion due to increased need for parts and services within recent months. There has been a noticeable increase in the need for Cummins Engine repairs due to catastrophic failures and other non-warrantied issues which have increased spending. Staff recommends increasing the current contract by $300,000 to a new not to exceed amount of $1,050,000.
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FinancialConsiderations
Financial Considerations: Sufficient funding exists in the Department of Public Works fiscal year 2025/26 operating budget (Fleet Fund, Fund 6501) for Cummins Original Equipment Manufacturer (OEM) parts and repair services through June 30, 2026. Purchase of services made after June 30, 2026, are subject to funding availability in the adopted budget of the applicable fiscal year.
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LocalBusinessEnterprise
Local Business Enterprise (LBE): Dobbs Heavy Duty Holdings LLC, dba Dobbs Truck Group, Inc. is not an LBE.
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