Agenda

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C.2

To:	Contra Costa County Fire Protection District Board of Directors
From:	Lewis T. Broschard III, Chief, Contra Costa Fire Protection District
Date:	September 14, 2021

Contra

Costa

County

Subject:

Ambulance Purchase and Associated Lease-Purchase

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 09/14/2021

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

John Gioia, Director
Candace Andersen, Director
Diane Burgis, Director
Karen Mitchoff, Director
Federal D. Glover, Director

Contact:

Assistant Chief Michael Quesada, (925) 941-3300

I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED: September 14, 2021
Monica Nino, County Administrator

BY:	, Deputy

RECOMMENDATION(S):

1. APPROVE and AUTHORIZE the Fire Chief, or his designee, to execute a purchase contract with Halcore Group, Inc. (DBA American Emergency Vehicles) for the manufacture and sale of 20 ambulance vehicles in an amount not to exceed $2,700,000, including indemnity by the Contra Costa County Fire Protection District.


2. APPROVE and AUTHORIZE the Fire Chief, or his designee, to execute the lease schedule to the Master Lease Agreement with PNC Equipment Finance, LLC in an amount not to exceed $2,700,000 including finance charges, with annual payments not to exceed $540,000 for a term from September 14, 2021 to December 31, 2025, for the lease-purchase of the ambulance vehicles.

RECOMMENDATION(S): (CONT'D)

3. APPROVE and AUTHORIZE the Fire Chief, or his designee, to execute an escrow agreement among PNC Equipment Finance, LLC, the Contra Costa County Fire Protection District, and U.S. Bank National Association.

FISCAL IMPACT:

100% CCCFPD EMS Transport Fund: Budgeted in FY 2021/22. Annual payment not to exceed $540,000. The proposed order of 20 ambulances is valued at approximately $2,700,000. The purchase price for the twenty ambulances will be paid by PNC Equipment Finance, LLC under the Master Lease Agreement.

The first payment in this lease schedule will be due in October 2021 and is included in the District's FY 2021/22 budget. The annual payment amount will be approximately $540,000 and the lease schedule term is five years. The total cost of financing will not exceed $105,000. The annual interest rate is 1.86%.

BACKGROUND:

On December 9, 2014, the Board approved and authorized the Fire Chief to enter into a Master Lease Agreement with PNC Equipment Finance, LLC ("PNC"), and on December 23, 2014, the Contra Costa County Fire Protection District ("District") entered into the Master Lease Agreement (the "MLA") with PNC. The MLA was used in 2014, 2015, 2018, 2019, and 2021 to finance the purchase of engines and ladder trucks from Pierce Manufacturing and in 2020 to finance the purchase of ambulances from AEV.

On May 12, 2020, the District's Board of Directors authorized the Fire Chief to execute a contract extension to provide emergency ambulance service and contract amendment/extension with American Medical Response as the subcontractor for the next five years. A component of the amendment is for the District to purchase the rolling stock for the next five-year term. This purchase fulfills this requirement of the amendment. The delivery of 20 ambulances will be staggered over a period of time as they are completed at the factory.

CONSEQUENCE OF NEGATIVE ACTION:

The District will not be able to acquire new ambulances. The District’s contract with the County has requirements for maximum age and mileage. This purchase keeps the District in compliance with those requirements.