Title
[Contract Supplement] Tractors, Mowers, Parts and Services
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FileID
File ID: 2026-01141
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Location
Location: Citywide
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Recommendation
Recommendation: Pass a Motion authorizing the City Manager or designee to execute Contract Supplement No. 1 to Contract No. PRC003870 with Horizon Distributors for the purchase of tractors, mowers, parts and services, increasing the contract by an amount not-to-exceed $375,000 for a revised total not-to-exceed amount of $975,000 and extend the contract through the remaining term, May 14, 2027.
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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. 1
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Description/Analysis
IssueDetail
Issue Detail: The Department of Public Works’ Fleet Management Division is responsible for procuring and supporting fleet assets for all City departments. In prior years Fleet would take contracts to Council as needed for each purchase of a replacement unit or group of units but due to supply chain and pricing in FY26, Fleet changed that strategy to put in place contracts with frequently purchased vendors so that when units are ready to be purchased there is no delay and pricing can hold as quoted. An initial group of contracts was originally approved July 29, 2025, at City Council, Council Motion 2025-0239, and a subsequent contract with Horizon Distributors was approved on November 18, 2025.
The contract with Horizon Distributors was procured through use of the OMNIA Partners cooperative agreement. The OMNIA Parters cooperative agreement has been extended, so Fleet Management has identified the need to extend the performance period and increase the not to exceed amount to accommodate potential purchases identified in FY27 for the contract with Horizon Distributors.
Expanding the contract ensures that Fleet Management can continue leveraging the OMNIA Partners cooperative purchasing agreement, which provides competitive pricing, reduced administrative workload, and consistent access to manufacturer‑authorized parts and equipment. Increasing the not-to-exceed contract amount and extending the contract term will allow the City to maintain service levels, replace aging units, and support equipment reliability across multiple maintenance divisions.
Contract PRC003870 was executed with Horizon on November 18, 2025, for $600,000. This contract amendment is needed to allow for other planned equipment purchases throughout the remaining term of the contract.
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PolicyConsiderations
Policy Considerations: The recommendations in this report are in accordance with City Code Chapter 3.56 which requires City Council approval of actions of $250,000 or more, and Section 3.56.240, which provides for the use of cooperative purchase agreements without competitive bidding.
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EconomicImpacts
Economic Impacts: None.
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EnvironmentalConsiderations
Environmental Considerations:
California Environmental Quality Act: No environmental review is necessary because the recommendations in this report involve the purchase of vehicles 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: The recommended purchases are consistent with the Fleet Sustainability Policy adopted by City Council on December 12, 2017 (Resolution No. 2017-0478).
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Commission/Committee Action
Commission/Committee Action: None.
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RationaleforRecommendation
Rationale for Recommendation: Fleet Management requires additional contract capacity to support ongoing maintenance and replacement needs for tractors, mower, and related equipment used across multiple operating divisions. Current contract funding is insufficient to meet planned service requirements necessary to maintain operational reliability.
Increasing the not-to-exceed amount and extending the contract term will ensure Fleet Management can continue supporting departmental service levels and reducing equipment downtime. Continued use of the OMNIA Partners cooperative purchasing agreement provides consistent pricing, access to manufacturer-authorized parts, and an efficient procurement process.
The contract supplement is necessary to maintain continuity of operations and ensure adequate resources are available to meet equipment needs through the remaining term.
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FinancialConsiderations
Financial Considerations: Sufficient funding is available in the Department of Public Works, Fleet Management Division’s FY 2025/26 Approved Operating Budget (Fleet Fund 6501) to support purchases through June 30, 2026. Any purchases made after that date will be contingent upon funding availability in the applicable fiscal year’s adopted budget.
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LocalBusinessEnterprise
Local Business Enterprise (LBE): Horizon Distributors is an LBE.
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