HomeMy WebLinkAboutRESOLUTION re Equipment Rates Department of Public Works
O Consent Agenda
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Jefferson County
Board of Commissioners
Agenda Request
To: Board of Commissioners
Mark McCauley, County Administrator
From: Tracy Coleman, Central Services Director
Agenda Date: April 1, 2024
Subject: Legislative Adoption of 2024 ER&R Equipment Rates (Roads)
Statement of Issue:
Washington Administrative Code (WAC) 136-600 requires that the county's legislative authority
adopt the Equipment Rental and Revolving (ER&R) fund rates for the county road program each
year.
By April 1st of each year, the county engineer must submit the following documents to the
County Road Administrative Board (CRAB):
• Adopted ER&R rates for county roads equipment and vehicles for the current year;
• The resolution of the legislative authority adopting said rates;
• The ER&R fund management policy
These submittals are part of the requirements for the County to maintain its certificate of good
practice which in turn enables the county to receive motor vehicle fuel tax (MVFT) revenue.
MVFT provides approximately$1.5 million to Jefferson County each year for road purposes.
Analysis/Strategic Goals/Pro's & Con's:
Through Resolution 35-01, the Board designated the Central Services Department to be the
administrator of the ER&R fund, including the setting of equipment rates. Pursuant to WAC
136-600-050, equipment rental rates shall be reviewed annually by the county engineer, if the
rates are set by an appointee other than the county engineer, and the county engineer shall
certify to the legislative body that the proposed rates are an appropriate use of county road
funds as required by RCW 36.80.030.
As prescribed by WAC 136-600-050, the rates for the rental of equipment owned by the fund
incorporate (1) estimated service life in years and service life remaining; (2) replacement cost;
(3) salvage value; (4) estimated operating and maintenance costs; (5) direct and indirect cost of
Department of Public Works
O Consent Agenda
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maintaining and operating facilities specific for ER&R equipment; and (6) ER&R program
administration.
Fiscal Impact/Cost Benefit Analysis:
The Road Funds expends $1,461,552 annually on equipment rental rates through ER&R.
Recommendation:
The legislative authority is asked to approve the 2024 equipment and vehicle rental rates for
the county roads program by enacting the attached resolution.
Department Contact: Tracy Coleman, Central Services Director
Reviewed By:
ram• ,- ��/
Mark McCaule CountY Administrator DatI
JEFFERSON COUNTY
STATE OF WASHINGTON
IN THE MATTER OF APPROVING THE }
EQUIPMENT RENTAL AND REVOLVING } RESOLUTION NO.
FUND RENTAL RATES }
FOR THE 2024 CALENDAR YEAR }
WHEREAS, pursuant to the Section 36.33A.040 of the Revised Code of Washington(RCW),
every county shall establish, by resolution, an "equipment rental and revolving fund", hereinafter
referred to as "the ER&R Fund", in the county treasury to be used as a revolving fund for the purchase,
maintenance, and repair of county road department equipment; for the purchase of equipment,
materials, supplies, and services required in the administration and operation of the fund; and for the
purchase or manufacture of materials and supplies needed by the county road department; and
WHEREAS, Jefferson County has established an ER&R fund by Resolution 88-77; and
WHEREAS, pursuant to RCW 36.33A.040, rates for the rental of equipment owned by the
fund shall be set to cover all costs of maintenance and repair, material and supplies consumed in
operating and maintaining the equipment, and the future replacement thereof; and
WHEREAS, pursuant to RCW 36.33.040A, rates shall be determined by the county engineer or
other appointee of the county legislative body and shall be subject to annual review by the legislative
body; and
WHEREAS, the Board of County Commissioners by Resolution 35-01 designated the
"Supervisor of Central Services"to be the administrator of the ER&R fund which includes the
responsibility for setting equipment rental rates; and
WHEREAS, Chapter 136-600 WAC, Equipment Rental and Revolving(ER&R)Fund, was
established to clarify duties, responsibilities, submittal requirements related to the administration of an
equipment rental and revolving fund; and
WHEREAS, the Fleet Services Division of the Department of Central Services manages the
Equipment Rental and Revolving Fund in accordance with RCW 36.33A as a revolving internal-
service fund for road-maintenance vehicles, equipment and supplies as well as the vehicles and
equipment of other County departments that participate in the ER&R Fund; and
WHEREAS,the rental rates have been prepared utilizing current information available to the
Fleet Services Division of the Department of Central Services; and
WHEREAS, as prescribed by WAC 136-600-050, the rates for the rental of equipment owned
by the fund incorporate(1) estimated service life in years and service life remaining; (2)replacement
cost; (3) salvage value; (4)estimated operating and maintenance costs; (5) direct and indirect cost of
maintaining and operating facilities specific for ER&R equipment;and(6)ER&R program
administration; and
WHEREAS, pursuant to WAC 136-600-050, rental rates of equipment shall be reviewed
annually by the county engineer, if the rates are set by an appointee other than the county engineer, and
the county engineer shall certify to the legislative body that the proposed rates are an appropriate use
of county road funds as required by RCW 36.80.030; and
WHEREAS, pursuant to WAC 136-600-050, rental rates shall be reviewed and adopted
annually by the county's legislative authority; and
WHEREAS, pursuant to Title 136 of the Washington Administrative Code(WAC),the
Washington State County Road Administration Board(CRAB)requires that all counties make certain
reports each year to ensure they are in compliance with the Standards of Good Practice; and
WHEREAS, WAC 136-600-070 requires the County Engineer to submit to CRAB by April
1st of each year: (1)the adopted county road rental rates effective January 1st of that year; (2)the
resolution of the legislative authority adopting said rates; (3)the ER&R management policy;
NOW, THEREFORE,BE IT RESOLVED the Jefferson County Board of Commissioners
hereby adopts the Equipment Rental and Revolving Fund rental rates for the 2024 calendar year
(January 1,2024, through December 31, 2024), which is attached hereto and incorporated herein by
reference, effective January 1, 2024; and
BE IT FURTHER RESOLVED that the Fleet Services Division of the Department of Central
Services abides by the internally-adopted"Equipment Rental & Revolving(ER&R)Fund Management
Policy"also attached hereto.
APPROVED this day of , 2024.
JEFFERSON COUNTY
BOARD OF COMMISSIONERS
SEAL:
Kate Dean, Member
Heidi Eisenhour, Member
ATTEST:
Greg Brotherton, Member
Carolyn Gallaway, CMC Digitally signed by Monte Reinders
DN:C=US,
Clerk of the Board } E=meeinders@co.jefferson.wa.us,
M O n le Re I n U e rS O=Jefferson County Public Works,
CN=Monte Reinders
Date:2024.03.26 14:35:20-07'00'
Monte Reinders, P.E., Public Works Director/County Engineer
Fleet Rental Summary Rates)
Assets owned by the ER&R fund and rented to selected department(s)monthly
Dept/Division Unit# Year Make Model Category Rate Rate Period Status Parking Location
180000010-County Roads 000047 1980 Miller 650S Equip-PW-CurbMachine 145 Month Active Hadlock Shop
000092 1953 Beall Tank Trailer-Semi-Tank 100 Month Active Hadlock Shop
000211 1987 International 1954 C8-StraightTruck-Tanker 200 Month Active Hoh Shop(Water truck)
000367 B/M 830 Trailer-Flatbed-<6000GVW 46 Month Active Hoh Shop
•
000482 1991 Frink 3910 Equip-Attach-Snow-Plow-10' 240 Month Active Hadlock Shop
000483 1991 Frink 3910 Equip-Attach-Snow-Plow-10' 240 Month Active Quilcene Shop
000484 1991 Frink 3910 Equip-Attach-Snow-Plow-10' 240 Month Active Hadlock Shop(Spare)
000485 1991 Frink 3911 Equip-Attach-Snow-Plow-11' 240 Month Active Hadlock Shop
000504 1992 Swenson SA Equip-Attach-Snow-SpreaderTailgate 0 Active Quilcene Shop(Spare)
000513 1993 Frink 3911 Equip-Attach-Snow-Plow-11' 240 Month Active Hadlock Shop
000521 1993 Walton AR1010 Trailer-Flatbed->10,001GVW 100 Month Active Hadlock Shop
000525 Motorola Radios Equip-Stationary-Other 1075 Month Active Hadlock Shop
000547 1994 Stow Cutter 1 Equip-PW-Pavement-PavementSaw 25 Month Active Hadlock Shop
000591 1995 Swenson EV100-15-54 Equip-Attach-Snow-Spreaderinsert 200 Month Active 2nd life Hadlock Shop
000603 1996 Tenco TC132TE Equip-Attach-Snow-Plow-11' 240 Month Active Quilcene Shop
000606 1996 Swenson EV100 Equip-Attach-Snow-Spreaderinsert 1500 Month Active Hadlock Shop
000623 1997 Onan 40DGBC Equip-Stationary-Generator-<100kW 360 Month Active Hadlock Shop
000644 1999 Frink 3911 Equip-Attach-Snow-Plow-11' 315 Month Active Hadlock Shop
000663 2000 Northend 2-axle Trailer-Dump->10,001GVW 150 Month Active Hoh Shop
000664 2000 Northend 2-axle Trailer-Dump->10,001GVW 150 Month Active Hadlock Shop
000667 2000 Layton PT505 Trailer-Flatbed-<6000GVW 150 Month Active Hadlock Shop
000668 2000 Patch King PK3OH Equip-Attach-Other 200 Month Active Hadlock Shop
000671 2000 Swenson SA Equip-Attach-Snow-SpreaderTailgate 0 Month Active Quilcene Shop(Spare)
000715 2004 Trail King TK11OHDG Trailer-Semi-Flatbed 275 Month Active 2nd life Hadlock Shop
000722 2004 Frink 3910 Equip-Attach-Snow-Plow-10' 200 Month Active Hadlock Shop
000732 2004 Toyota 7FGU30 Equip-MaterialHndl-Forklift 250 Month Active Hadlock Shop
000773 2007 Olympic 20TDT-2 Trailer-Tiltbed->10,001GVW 372 Month Active Hadlock Shop
000783 1999 PB 220-PT Equip-VehMtd-TarPot 70 Month Active Hadlock Shop
000825 2013 Monroe MV-120-78- Equip-Attach-Snow-Spreaderinsert 208 Month Active Hadlock Shop
000861 2014 Liftmoore L-8 Equip-VehMtd-Utility-Other 0 Active Hadlock Shop
Jefferson County Fleet Services-3/26/2024 11:36:48 AM
180000010-County Roads 000875 2015 Flink 10PA38CT Equip-Attach-Snow-Plow-10' 425 Month Active Hadlock Shop
• 000876 2015 Flink HG085184540004 Equip-Attach-Snow-Spreaderinsert 381 Month Active Hadlock Shop
000878 2015 Flink 11PA48CT Equip-Attach-Snow-Plow-11' 402 Month Active Hadlock Shop
000879 2015 Flink HG145782540002 Equip-Attach-Snow-Spreaderinsert 505 Month Active Hadlock Shop
000881 2015 Olympic 30TDT-3SC Trailer-Tiltbed->10,001GVW 426 Month Active Hadlock Shop
000889 2015 Eagle EFB712TA2 Trailer-Flatbed-6001-10,000GVW 159 Month Active Hadlock Shop
000898 2015 Ace Roto-Mold VT10500-2800 Equip-Stationary-Other 171 Month Active Hadlock Shop
000899 2015 Olympic 30TDT-3SC Trailer-Tiltbed->10,001GVW 514 Month Active Quilcene Shop
000904 2014 Caterpillar A26B Equip-Attach-Construction-Auger 51 Month Active Hadlock Shop
000910 2016 Ford F150 C1-Pickup-HalfTon-4WD 875 Month Active Castle Hill(0000)
000913 2017 Ford Explorer Interc C1-SUV-Compact-Pursuit4WD 855 Month Active Hadlock Shop(0067)
000927 2018 Ford F250 C1-Pickup-3/4Ton-4WD 1177 Month Active Take-home vehicle(Bill Robinson)
• 000932 2017 Shark HP8353007A Equip-Stationary-PressureWasher 70 Month Active Hadlock Shop
•
000937 2017 Coneqtec AP450-HDE 18" Equip-Attach-Construction-Other 267 Month Active Hadlock Shop
•
000939 2017 Steel inc.Express Snow Pu Equip-Attach-Construction-Paver 226.Month Active Hadlock Shop
000942 2018 Buffalo Mega BT Equip-TrailerMtd-Blower 230 Month Active Hadlock Shop
000953 2018 Flink Spreader HG14578 Equip-Attach-Snow-Spreaderinsert 310 Month Active Hadlock Shop
000953 2018 Flink Spreader HG14578 Equip-Attach-Snow-Spreaderinsert 310 Month Active Hadlock Shop
000954 2018 Flink Spreader HG14578 Equip-Attach-Snow-Spreaderinsert 310 Month Active Hadlock Shop
000960 2020 Olympic 30TDT-3 Trailer-Tiltbed->10,001GVW 550 Month Active Hoh Shop
000963 2018 Flink H6085184540007 Equip-Attach-Snow-Spreaderinsert 278 Month Active Hadlock Shop
000963 2018 Flink H6085184540007 Equip-Attach-Snow-Spreaderinsert 278 Month Active Hadlock Shop
•
000964 2019 FORD F250 C3-Pickup-3/4Ton-4WD 1123 Month Active Take-home vehicle(RYAN LAMMAERS)
'; 000969 2019 MB-Co TKH-TR Equip-Attach-Construction-Other 363 Month Active Hoh Shop
000971 2019 FLINK 201 Equip-Attach-Snow-Plow-11' 419 Month Active Hadlock Shop
000972 2019 Auto Flagger AF-54 Equip-TrailerMtd-Safety-Auto Flagge 278 Month Active Hadlock Shop(Flaggers)
000973 2019 Auto Flagger AF-54 Equip-TrailerMtd-Safety-Auto Flagge 375 Month Active Hadlock Shop(Flaggers)
000981 2020 Monroe 15' Equip-Attach-Snow-Spreaderinsert 675 Month Active Hadlock Shop
000985 2020 Autoflagger AF-54 Equip-TrailerMtd-Safety-Auto Flagge 375 Month Active Hoh Shop(Flaggers)
000986 2020 Autoflagger AF-54 Equip-TrailerMtd-Safety-Auto Flagge 375 Month Active Hoh Shop(Flaggers)
000987 2020 Autoflagger AF-54 Equip-TrailerMtd-Safety-Auto Flagge 298 Month Active Hadlock Shop(Flaggers)
000988 2020 Autoflagger AF-54 Equip-TrailerMtd-Safety-Auto Flagge 375 Month Active Hadlock Shop(Flaggers)
000989 2020 Kohler 10RESV Equip-Stationary-Generator-<10okW 90 Month Active Quilcene Shop
000990 2020 Caterpillar HMF210 Equip-Attach-Grounds-BrushCutter 485 Month Active Hadlock Shop
Jefferson County Fleet Services-3/26/2024 11:36:48 AM
...180000010-County Roads 001004 2022 Monroe MCV-180-84-56-W Equip-Attach-Snow-Spreaderinsert 465 Month Active Hadlock Shop
001008 2021 Olympic OM14-2E Trailer-Tiltbed->10,001GVW 200 Month Active Hadlock Shop
001013 2022 Olympic 33TDT-3AFW Trailer-Tiltbed->10,001GVW 750 Month Active Hadlock Shop
001014 2022 Olympic 20TDT-2 Trailer-Tiltbed->10,001GVW 600 Month Active Hadlock Shop(ROADS)
001018 2023 Monroe 15' Equip-Attach-Snow-Spreaderinsert 550 Month Active Hadlock Shop
001020 2022 Mi-T-M WTR-10-0M10 Equip-Stationary-Other 300 Month Active Hadlock Shop
001024 2022 MB HLP/HTP Equip-Attach-Grounds-Sweeper 770 Month Active Hadlock Shop
001033 2023 Bomag BT65 Equip-Other-PortableTool-Powered 90 Month Active Hadlock Shop
''. 001034 2023 Bomag BVP/18/45 Equip-Other-PortableTool-Powered 60 Month Active Hadlock Shop
001039 2023 GENERAC'S GUARDIAN 26KW Equip-Stationary-Generator-<100kW 0 Active Hoh Shop
001048 2024 FORD F350 C2-Pickup-OneTon-4WD 0 Active Take-home vehicle(LAMMERS)
007801 2011 Ford F450 C3-StraightTruck-FlatBed 700 Month Active Hadlock Shop
Monthly Dept/Division Total: 26017
Monthly Overall Total: 26017
Jefferson County Fleet Services-3/26/2024 11:36:48 AM
Fleet Rental Summary(Hourly and Hybrid Rates)
Assets owned by the ER&R fund and rented to selected department(s)hourly or with an hourly job rate
Dept/Division Unit 8 Year Make Model Category Rate Rate Period Hourly lob Rate Status Parking Location
180000010-County Roads 000400 1989 Caterpillar D4C Equip-Tracked-Dozer 800 Month 150 Active Hadlock Shop
000549 1994 Hamm GRW5 Equip-PW-Roller-Rubber 1000 Month 70 Active Hadlock Shop
000551 1994 Hamm GRW5 Equip-PW-Roller-Rubber 1000 Month 70 Active Hadlock Shop
000610 1996 International F2674 C8-StraightTruck-Tanker 2150 Month 32 Active Hadlock Shop
000619 1997 Case 621B Equip-Wheeled-Artic'dLoader-2-4yd 1650 Month 250 Active Hoh Shop
000652 2000 International 4900 C8-StraightTruck-PW-AsphaltDstbtr 1100 Month 55 Active Hadlock Shop
000669 2000 Layton F525 Equip-PW-Paver-Wheeled 1500 Month 10 Active Hadlock Shop
000670 2000 Case 621C Equip-Wheeled-Artic'dLoader-2-4yd 800 Month 250 Active Hadlock Shop
000672 2000 Aquatech SJ600P Equip-TrailerMtd-Sewer-letRodders 575 Month 25 Active Hadlock Shop
000673 2001 International 2674 C8-StraightTruck-DumpBed-2-axle 2495 Month 10 Active Hadlock Shop
000682 2001 Ingersoll-Rand DD24 Equip-PW-Roller-Steel 800 Month 32 Active Hadlock Shop
000717 2004 International 7600 C8-StraightTruck-PW-AsphaltDstbtr 1675 Month 50 Active Hadlock Shop
000748 2005 Ingersoll-Rand SD77DX Equip-PW-Roller-Steel 270 Month 5 Active 2nd life Hoh Shop
000795 2009 Lee boy 3000 Equip-MaterialHndl-Materialloader 1271 Month 100 Active Hadlock Shop
000812 2011 Brush Bandit 250XP Equip-Grounds-WoodChipper 1150 Month 20 Active Hoh Shop
000814 2011 Elgin Cross-wind J C7-StraightTruck-PW-SweeperAir 3722 Month 75 Active Hadlock Shop
000827 2012 Rosco Challenger 6 Equip-PW-Sweeper-Riding 1650 Month 105 Active Hadlock Shop
000829 2013 Ford F250 C1-Pickup-3/4Ton-2WD 885 Month 7 Active Hadlock Shop(Flagger)
000830 2013 Ford F250 C1-Pickup-3/4Ton-2WD 885 Month 7 Active Hoh Shop(Flagger)
000867 2015 New Holland T4.85 Equip-Grounds-UtltyTractor-70- 800 Month 44 Active Hadlock Shop
000868 2015 US Mower HS6OFSM Equip-Attach-Grounds- 350 Month 30 Active Hadlock Shop
000869 2015 Caterpillar 140M3 Equip-Wheeled-Grader 2700 Month 41 Active Hoh Shop
000874 2015 Freightliner 108SD C8-StraightTruck-DumpBed-l-axle 1985 Month 38.5 Active Quilcene Shop
000877 2015 Freightliner 114SD C8-StraightTruck-DumpBed-2-axle 3000 Month 44.5 Active Hoh Shop
000882 2015 Caterpillar 430F2 Equip-Wheeled-BackhoeLoader- 2000 Month 49 Active Hadlock Shop
000891 2014 Caterpillar 938K Equip-Wheeled-Artic'dLoader-2-4yd 1200 Month 95.Active Quilcene Shop
000892 2015 New Holland T6.155 Equip-Grounds-UtltyTractor->100hp 1990 Month 26 Active Quilcene Shop
000893 2015 US Mower 135MM23-GG Equip-Attach-Grounds-BrushCutter 250 Month 2,5 Active Quilcene Shop
Jefferson County Fleet Services-3/26/2024 11:36:48 AM
180000010-County Roads 000900 2016 Morbark M15RX Equip-Grounds-WoodChipper 800 Month 20 Active Hadlock Shop
000901 2015 New Holland T4.85 Equip-Grounds-UtltyTractor-70- 1200 Month 26 Active Quilcene Shop
000902 2015 US Mower HS-60FSM Equip-Attach-Grounds- 725 Month 10 Active Quilcene Shop
•
000906 2012 Rosco SweepPro Equip-PW-Sweeper-Riding 950 Month 25 Active Hoh Shop
000908 2017 Ford F250 Cl-Pickup-3/4Ton-4WD 1000 Month 9.35 Active Quilcene Shop(Flaggers)
000909 2017 Ford F250 Cl-Pickup-3/4Ton-4WD 1435 Month 9.35 Active Hadlock Shop(Flaggers)
• 000917 2017 Ford F450 CS-StraightTruck-FlatBed 1140.68 Month 12.7 Active Hadlock Shop(Dennis Marquez)
000917 2017 Ford F450 C5-StraightTruck-FlatBed 1140.68 Month 12.7 Active Hadlock Shop(Dennis Marquez)
000918 2017 Caterpillar CS44B Equip-PW-Roller-Steel 1100 Month 94 Active Hadlock Shop
000919 2017 Freightliner M2-106 CS-StraightTruck-Utility-InsAerial 2870 Month 74 Active Hadlock Shop
000920 2017 Ford F250 C1-Pickup-3/4Ton-4WD 850 Month 6.38 Active Hadlock Shop(0000)
000921 2017 Ford F250 C1-Pickup-3/4Ton-4WD 850 Month 6.38 Active H ad lock Shop(Flaggers)
000925 2017 New Holland 74.90 Equip-Grounds-UtltyTractor-70- 1504 Month 25 Active Hadlock Shop
000926 2017 US Mower HS-60FSM-XH04VB Equip-Attach-Grounds-MowerDeck 970 Month 21 Active Hadlock Shop
000933 2010 Volvo ET-16 C8-SemiTruck-Conventional 1178 Month 50 Active Hadlock Shop '
•
000934 2017 Leeboy CSV816 Equip-PW-ChipSpreader 2493 Month 300 Active Had lock Shop
000944 2017 Freightliner 1145D C8-Straight7ruck-Dump8ed-2-axle 2000 Month 24 Active Quilcene Shop
000948 2018 Ford F550 CS-StraightTruck-FlatBed 1350 Month 17 Active Hoh Shop
000949 2018 Ford F550 CS-StraightTruck-FlatBed 1300 Month 17 Active Hadlock Shop
000952 2017 Freightliner 114SD C8-StraightTruck-DumpBed-2-axle 2400 Month 34 Active Hoh Shop
000955 2018 Freightliner 114SD C8-StraightTruck-DumpBed-2-axle 2400 Month 34 Active Hadlock Shop
000961 2018 Freightliner 108S0 C8-StraightTruck-DumpBed-l-axle 2150 Month 38.5 Active Quilcene Shop
000962 2018 Freightliner 108SD C8-StraightTruck-DumpBed-l-axle 2150 Month 38.5 Active Hadlock Shop
•
000965 2019 FORD F650 C5-StraightTruck-FlatBed 2050 Month 23 Active Hadlock Shop(Tree crew)
000966 2019 CASE CX145D Equip-Tracked-Excavator 2050 Month 34.5 Active Hadlock Shop
000980 2020 International HXS20 C8-StraightTruck-DumpBed-2-axle 2500 Month 34 Active Hadlock Shop
000983 2020 Case CX80C Equip-Tracked-Excavator 1800 Month 20 Active Hadlock Shop
000984 2020 John Deere 325G Track Equip-Tracked-SkidSteerLoader 900 Month 7.5 Active Hadlock Shop
000995 2021 Ver-Mac PCMS548 Equip-TrailerMtd-Safety-Message 0 Month 5 Active Hadlock Shop(ROADS)
000996 2021 Ver-Mac PCMS548 Equip-TrailerMtd-Safety-Message 0 Month 5 Active Had lock Shop(ROADS)
000997 2021 Ver-Mac PCMS548 Equip-TrailerMtd-Safety-Message 0 Month 5 Active Hadlock Shop(ROADS)
000998 2021 Ver-Mac PCMS548 Equip TrailerMtd-Safety-Message 0 Month 5 Active Hadlock Shop(ROADS)
000999 2022 Ford F450 CS-StraightTruck-FlatBed 1600 Month 10 Active Hadlock Shop
001005 2023 International HX520 C8-StraightTruck-Dump8ed-2-axle 2600 Month 45 Active Hadlock Shop
Jefferson County Fleet Services-3/26/2024 11:36:48 AM
180000010-County Roads 001006 2022 John Deere 672G Equip-Wheeled-Grader 2300 Month 43 Active Hadlock Shop
001007 2021 Case CX80 Equip-Tracked-Excavator 1800 Month 25 Active Hadlock Shop
001010 2021 US Mower EXSOHDR Equip-Attach-Grounds-BrushCutter 575 Month 5 Active Hadlock Shop
•
001012 2022 US Mower EX50HDR Equip-Attach-Grounds-BrushCutter 575 Month 5 Active Hadlock Shop
001015 2022 Case SC-60 Equip-Attach-Construction-Tamper 105 Month 5 Active Hadlock Shop(ROADS)
001016 2022 Case SC-80 Equip-Attach-Construction-Tamper 115 Month 5 Active Hadlock Shop(0966)
001017 2024 International HX520 SFA 6X4 C8-StraightTruck-DumpBed-2-axle 2700 Month 45 Active Hadlock Shop
007785 2008 John Deere 4101 Equip-Wheeled-BackhoeLoader- 500 Month 2.5 Active 2nd life Quilcene Shop
Monthly Dept/Division Total: 95779.36
Monthly Overall Total: 95779.36
Jefferson County Fleet Services-3/26/2024 11:36:48 AM
JEFFERSON COUNTY DEPARTMENT OF CENTRAL SERVICES POLICY
TITLE: ER&R FUND MANAGEMENT POLICY
EFFECTIVE DATE: August 1,2014
ORIGINAL POLICY
Section 1, Purpose
1.1 To provide funds for timely and efficient replacement of materials,vehicles, and equipment;
and systems and equipment used for maintaining vehicles and rental equipment
1.2 To formalize a policy consistent with applicable statutes on the level and components of
Unrestricted Net Current Assets and to outline the formula to be used in determining rental
rates to assure compliance with the desired level of Unrestricted Net Current Assets.
1.3 To maintain customer-department rental-rate stability.
1.4 This policy shall be signed and approved by the Central Services Director and may be
updated at any time as authorized by the Central Services Director.
Section 2, References
2.1 Revised Code of Washington,Chapter 36.33A, "Equipment Rental and Revolving Fund"
2.2 Revised Code of Washington,Chapter 43.09 Section 210, Local Government Accounting
2.3 Budgeting Accounting Reporting System (BARS) Manual,Office of State Auditor,Volume 1,
Part 3,Chapter 7
2.4 Miller Comprehensive Governmental GAAP Guide,current edition.
2.5 Equipment Rental & Revolving Fund Guidance, Washington State Auditor's Office
2.6 GASB Codification of Governmental Accounting and Financial Reporting Standards. Section
1300.104.
Section 3, Definition of Terms:
3.1 "Fleet", "Fleet Services" or"Fleet Services Division" is the Fleet Services Division of the
Central Services Department, sometimes known as"ER&R" due to its management of the
Equipment Rental and Revolving Fund.
3.2 "ER&R Fund" or the"Fund" is the revolving fund managed by the Fleet Services Division in
accordance with RCW 36.33A to provide for the operation, maintenance and replacement of
certain fleet equipment.
3.3 "Unrestricted Net Current Assets" means the difference between the total current assets
and total current liabilities of the fund. It represents the balance of all financial resources
available for current appropriation and expenditure after all revenues and expenditures
have been accounted for at the end of a given period. Unrestricted Net Current Assets shall
contain three components:
3.3.a "AssetsInventories"Earmarked for Parts, Supplies and/or Materials means the
amount set aside and available for the replacement of parts,supplies and/or
materials in the Supplies Inventory asset account.
3.3.b "Assets Earmarked for Equipment Replacement" means the amount set aside and
available for planned capital improvements and replacements of existing systems
and equipment used in maintaining vehicles and equipment,such as automotive
test equipment,shop hoists, car wash facility,steam cleaner facility,etc.
3.3.c "Assets Earmarked for Capital Replacement and Improvement" means the amount
set aside and available for the replacement of vehicles and equipment.
3.4 "Rental Rate" means the amount charged to the using agency for the use of Equipment
Rental and Revolving Fund vehicles or equipment.The rentals may be charged to user
agencies on an hourly,daily or monthly basis consistent with RCW 36.33A. Rental Rates
include, but are not limited to,charges for maintenance and operating costs, overhead
costs, equipment replacement, non-operating revenues, and other adjustments.
3.5 "Maintenance and Operating Costs" means the costs of keeping the vehicle or equipment in
operation. It includes, but is not limited to,the costs of fuel,oil,tires and tubes, batteries,
and all other parts and labor expended in order to maintain and operate the fleet.
3.6 "Overhead Costs" means the costs expended for providing general management,
administrative activities, insurance, rent, utilities, support services in managing the fleet and
County-wide central service charges.
3.7 "Replacement Factor" means the amount charged in order to accumulate the anticipated
cost of replacing vehicles and equipment at the end of their economic life.
3.8 "Sale Proceeds" means the proceeds from the sale of surplus vehicles and equipment.
3.9 "Other Adjustments" are amounts added to or credited to the rental rate to cover
deficiencies or surpluses in the prior year's operations.
Section 4, Operation of the ER&R Fund
4.1 The ER&R Fund is a revolving fund. Moneys paid to the fund each year in the form of rent,
replacement factor,sale proceeds and other adjustments total a small percentage of the
cost of replacing all assets owned by the fund;these moneys are then used each year, in
sum,to provide for the replacement of the percentage of the assets owned by the fund for
which replacement in that year is necessary.
4.2 Each asset owned by the fund either must have itself been funded in full by its customer
department or must be a Fund-provided replacement for an earlier asset that was funded in
full by its customer department.The rent and other moneys paid to the fund by the
customer department following the provision of that asset are for the operation,
maintenance, repair and replacement of the asset (strictly excluding repayment of any first
costs of procuring the asset).
4.3 Sufficient ER&R Fund balance must be maintained to provide for emergency and other
contingency situations and to provide stability and fluidity of asset replacement throughout
each year.The Fund balance will vary within each year as assets are replaced, put into
service and removed from service.The Fund balance will vary from year to year as assets of
greater than average capital cost are replaced or retained.
4.4 Assets comprising approximately 10.5%of the Fund's Equipment Replacement value should
be replaced annually,on average,given the asset inventory and lifecycle schedules in place
at the time of the adoption of this policy.The amount expended in any given year will
depend heavily on whether assets of greater than average capital cost are scheduled for
replacement that year.
4.5 Rental rates shall cover all costs of maintenance and repair, material and supplies consumed
in operating and maintaining equipment,administrative and central services overhead and
future replacement.
4.6 The rental rate for each asset shall be charged beginning on the date the asset is issued to
the customer department and accepted by that department as properly configured for its
use and ending on the date the asset is surrendered to ER&R for disposal.
4.7 Hourly labor rates and mark-up rates on the supply of supplies, parts,fluids,fuel and any
other service or material furnished by the ER&R Fund shall cover all costs associated with
the provision of those services or materials. However,to provide budget stability for
customer departments, labor and mark-up rates may lag actual costs by the time sufficient
to analyze a fiscal year's operations and to prepare rates for approval by customer
departments prior to their formation of their next budget. Further, rates may be adjusted so
as to include temporary or one-time costs or profits over the course of more than one fiscal
year so as to lessen variation in rental rates from year to year.
Section 5, Unrestricted Net Current Assets
5.1 Unrestricted Net Current Assets must be no less than 25%of the lifetime accumulated
depreciation for all assets currently owned by the fund,as determined by the Working
Capital Reserve Recommendation for Each County Fund as adopted by the Board of County
Commissioners(County Resolution 65-13 or subsequent resolutions as replace it).
5.2 Unrestricted Net Current Assets and the lifetime accumulated depreciation for all assets
currently owned by the fund will be measured on the last day of each year for purposes of
determining compliance with Subsection 1 of this Section.
5.3 Fund assets are stored and invested under the control of the Jefferson County Treasurer.
Section 6, Agreements with Customer Departments
6.1 The manager of the Fleet Services Division shall annually propose to each customer
department head an agreement for services for the coming year.The agreement shall be
signed by both parties following negotiation and agreement as necessary.
6.2 Each agreement will detail the following:
6.2.a Fleet inventory assigned to the customer department;
6.2.b Rental rate or reimbursement terms for each assigned asset;
6.2.c Services to be provided by Fleet Services for each assigned asset;
6.2.d Costs and mark-up rates for anything provided by Fleet Services beyond the terms
of the agreement or provided in the case of any asset for which it is agreed the
customer will pay costs only;
6.2.e The assigned assets to be replaced during the year and the revised rental rate of
each replacement asset; and
6.2.f A summary of this policy as it applies to the relationship between Fleet Services and
the customer department.
6.3 The agreements will be reviewed and revised as needed during the year by mutual
agreement of both parties.
Section 7, Equipment Purchase
7.1 Fleet Services will purchase replacement and additional fleet assets after consultation with
each respective customer department.
7.2 Asset purchases will prioritize, roughly in order of important,the following considerations:
7.2.a Safety of operation in intended application;
7.2.b Suitability for intended application;
7.2.c Anticipated efficiency in intended application
7.2.d Projected rental cost based on all known factors;
7.2.e Ability to reduce petroleum usage;and
7.2.f Availability of existing contract usable for purchase.
7.3 Replacement units will be purchased according to schedules determined by Fleet Services
with the concurrence of each respective customer department;the impact to the customer
department's operating budget must be considered,and the manager of Fleet Services shall
estimate during each budgeting process the estimated changes to rental rates for each
customer department during the next budget year as a result of planned asset replacements
in accordance with Subsection 6.2.e.
7.4 Any asset that would be an addition to the fleet rather than a replacement of an existing
unit to be removed from service must be funded in accordance with Subsection 4.2 or 4.3.
Any department requesting such an addition must have sufficient approved capital and
ongoing funding to finance the initial and ongoing costs of the additional asset.
Section 8, Rental Plan Options
8.1 Costs only: No regular rental will be billed. Maintenance, repair and/or fuel costs must billed
at mark-up rates as established and revised. Unit replacement at end of life is not provided.
Resale proceeds are returned to owning department.The availability of this type of rental
plan is limited to those units owned by customer departments and not by the ER&R fund.
8.2 Full rental: Periodic rental rate will be billed to cover depreciation, replacement factor,
maintenance, repair and fuel costs. Rental rate must be adjusted annually to keep pace with
changes in replacement cost or lifecycle and to reflect actual operational costs. Costs of
major accidents may be paid separately by the customer department or may be included in
the revised rental rates.
8.3 Hybrid rental plans: Unique and legacy rental arrangements may be mutually agreed upon
by Fleet Services and the customer department.
Section 9, Determination of Rental Rates
9.1 The following costs shall be included in the rental rate,where applicable to the chosen
rental plan option (see Section 8):
9.1.a Operating and maintenance costs shall be determined by using the most recent cost
information available for the preceding twelve months plus a factor using
comparable data, if available,for any anticipated increase in costs due to increasing
asset age. For vehicles or equipment with no cost history,the manager of Fleet
Services shall develop an estimate using whatever indices or comparable data are
available.
9.1.b Fuel costs shall be determined by using the most recent usage information available
for the preceding twelve months and multiplying it by anticipated per-gallon costs
for the coming year(available from U.S. DOE EIA or commercial sources). For
vehicles or equipment with no usage history,the manager of Fleet Services shall
develop an estimate using comparable data or the usage history of the asset
replaced by the one in question.
9.1.c Initial periodic replacement charges for vehicles and equipment shall be computed
by dividing asset purchase cost by the projected number of periods in the life of the
asset.Asset replacement cost shall be updated to current actual cost annually,and
periodic replacement charges adjusted accordingly. For all future purchases, asset
purchase cost shall include all costs of obtaining the asset and configuring it for
service as required by the customer department, including customization and
upfitting.
9.2 The following costs shall be excluded from the rental rate, not charged to the ER&R fund nor
paid by Fleet Services, and instead shall be paid directly or charged to the respective
customer department:
9.2.a Traffic and parking fines;
9.2.b Parking fees;
9.2.c Tolls and ferry fees;
9.2.d Collision insurance;
9.2.e Replacement and repair costs due to major damage; and
9.2.f Costs due to loss,fraud,waste, misuse or abuse on the part of any customer
department's employee where such cost results from failure on the part of the
customer department to monitor and control its employee's usage of fleet assets or
supplies or where the loss of any key, access card or PIN used to perpetrate the loss
or fraud is not immediately reported to Fleet Services.
9.3 The residual or resale value of any asset shall be included in the rental rate as a deduction.
This value shall be estimated initially and revised at the time of the equipment's disposal or
removal from the fleet inventory and may also be revised periodically if conditions warrant.
The initial estimate may be any reasonable figure,typically 10%of the original purchase
cost.
9.4 The replacement factor shall be added to the rental rate.This factor should, in general,
account for inflation of approximately 2%,compounded annually, on the initial purchase
cost of the asset.The replacement factor may also be revised periodically if conditions
warrant,such as when the customer department chooses a different type of replacement or
in the case of very long lifecycles where such a blanket estimate is inadequate.
9.5 The manager of the Fleet Services Division shall periodically estimate end-of-life profit or
loss for each asset and propose adjustments to rental rates as necessary to ensure the ER&R
Fund is neither accumulating excess rental revenue nor suffering a shortfall for any asset.
9.6 Rental rates established pursuant to this policy shall be subject to annual review by the
County Commission;this typically occurs through the County's normal annual budgeting
process.
Section 10, Options for Normal Termination of Rental
10.1 Unit no longer needed and no replacement needed:The unit to be retired will be disposed
of. Assuming depreciation and replacement costs were paid during the rental of the unit,
rental income in excess of operational costs shall be returned to the original customer
department.Asset files will be marked with a clear indication that the unit was not replaced
and that the funds allocated for replacement had been returned to the customer
department.
10.2 Replacement of like kind needed: Replacement unit will be procured; retired unit will be
disposed of. Settlement of the assets accounts will occur between Fleet Services and the
customer department. Both asset files will be marked with a clear indication that the unit
was replaced by the replacement unit, including both asset numbers.
10.3 Replacement of non-like kind needed: Fleet Services will prepare an estimation of the
Replacement unit will be procured; retired unit will be disposed of.Settlement of the assets'
accounts will occur between Fleet Services and the customer department.
Section 11, Options for Early Termination of Rental
11.1 Unit no longer needed or its operation no longer funded and no replacement needed:
Another customer department may assume the rental and use of the unit,or the unit may
be sold at surplus auction.Settlement of the assets accounts will occur between Fleet
Services and the customer department.
11.2 Unit damaged beyond repair and no replacement needed:Same as Subsection 1 of this
Section.
11.3 Unit damaged beyond repair and replacement needed: Customer department may pay
separately the sudden depreciation and additional replacement factor necessary to replace
the vehicle. Instead, customer may choose to continue after the replacement of the vehicle
paying the depreciation and replacement factor left deficient at the time of the vehicle's
damage. In no case shall outstanding depreciation and replacement costs be added to the
rental rate of the replacement or any other vehicle; however,the option of the customer
department continuing to pay the capital costs of a vehicle that is no longer in operation has
much the same budgetary impact.
Section 12, Equipment Disposal
12.1 Public surplus auction:Sale proceeds used in place of projected residual value to determine
lifecycle costs and profit/loss of the replaced vehicle.
12.1.a In no case will any surplus asset be sold to the manager of Fleet Services,to any
county employee responsible for administering the sale of the asset, nor to any
immediate family member thereof.
12.1.b No surplus asset will be sold to any employee of Fleet Services,to any county
employee who was a regularly assigned driver or operator of the asset,to any
county employee who was the manager or supervisor responsible for the use of the
asset, nor to any immediate family member of any of the above,except if the
following conditions are met:
(i) a full and accurate accounting of all maintenance, repair, upgrades and all other
actions taken within the twenty-four months preceding the County's offering of
the asset for sale must be clearly detailed in writing and available for inspection
by any interested buyer at all times the asset is otherwise available for
inspection; and
(ii) the sale of the asset must be clearly advertised in the same manner as other
assets of its type during any given offering for sale.
12.2 Second use:Sale to customer department(first right of refusal)or to another customer
department. Settlement of lifecycle costs with original customer department will use
published index based on condition or actual sale prices from similar units to determine
residual value. Rental to new customer department will consist either of a one-time
payment of that residual value or a short-term rental contract based on that residual value if
part of a rotating cycle of second-life vehicle rentals.Transfer to any subsequent
department will follow the same procedure. Provided this procedure has been followed and
the preceding department(s)compensated for the residual value of the unit at the time of
transfer,the sale proceeds after the final assignment of the unit will be designated to the
final department assigned the unit for purposes of asset account settlement.
Section 13, Settling Asset Accounts
13.1 The amount of rental income allocated to an asset shall be settled or balanced to ensure the
ER&R Fund neither gains nor loses funding through its providing and managing the asset in
accordance with RCW 43.09.210,which requires, in part,that"...All service rendered by...
one department...to another,shall be paid for at its true and full value by the department
... receiving the same, and no department...shall benefit in any financial manner whatever
by an appropriation or fund made for the support of another...."
13.2 The manager of the Fleet Services Division and the customer department head may find that
the adjustment of rental rates has been neglected in the case of one or more assets
assigned to that department, causing those assets to accumulate considerable life-to-date
or projected end-of-life loss or gain. If this loss or gain is greater than what can be negated
reasonably and quickly through the adjustment of rental rates, one or more of the following
actions should be taken:
13.2.a In the case of life-to-date or projected end-of-life loss by the ER&R Fund for any one
asset,the customer department may provide a one-time transfer of funds to
balance the account,with or without an accompanying increase in rental rate;
13.2.b In the case of life-to-date or projected end-of-life gain by the ER&R Fund for any one
asset,the ER&R Fund may provide a one-time transfer of funds to the customer
department to return the excess,with or without an accompanying decrease in
rental rate; or
13.2.c In the case of life-to-date or projected end-of-life gains and losses by the ER&R Fund
for a group of assets in any one customer department where the sum gain or loss is
relatively minimal,the assets showing gains may be debited and the assets showing
losses credited in equal amounts so that each asset's account is balanced.
13.3 This settling shall occur at the end of each asset's life following disposal and may also occur
periodically if conditions warrant.
13.4 In the case of accident or other unusually expensive damage causing a one-time loss for any
one asset,the customer department may provide a one-time transfer of funds to balance
the account. (See Subsection 7.3 and Subsection 9.3 for additional detail.)
13.5 At the time an asset is retired, removed from service and disposed of,the manager of Fleet
Services shall prepare a report of the asset's fund credits and debits and shall furnish the
report to the customer department head.The asset's account shall be settled as close to
$0.00 as reasonably possible(without needlessly costly accounting exercises) using one of
the methods described in Subsections 2.a through 2.c of this Section.
13.6 At the time an asset is sold or otherwise transferred to another customer department,the
manager of Fleet Services shall prepare a report of the asset's fund credits and debits and
shall furnish the report to the customer department head.The asset's account shall be
settled as close to$0.00 as reasonably possible(without needlessly costly accounting
exercises) using one of the methods described in Subsections 2.a through 2.c of this Section.
Section 14, Fleet Services Operations and Billing
14.1 All time for which Fleet Services Staff are compensated, all parts issued and all fuel and fluid
dispensed will be billed to the appropriate accounting codes,whether to individual fleet
assets,to departmental asset accounts or to indirect codes internal to Fleet Services funds.
Rates will reflect the following additional costs:
14.1.a Labor rates billed will be at a rate that includes all benefits, indirect time,facility
costs, mechanical shop and service costs, administrative and support services and
other overhead costs attributable in general to the services provided by Fleet
Services;
14.1.b Parts mark-up rates will be calculated to include all costs incumbent in ordering,
stocking and dispensing stocked and special-order parts;and
14.1.c Fuel mark-up rates will be calculated to include all costs of operation of the fuel
sites.
14.2 Fleet Services shall evaluate general work categories and individual instances of repair work
and will either perform the tasks in house or outsource them,whichever is, in the judgment
of Fleet Services, most economical,efficient and effective.
14.3 Fleet Services will strive to consolidate orders of vehicles, equipment,fuels,fluids, parts and
services,and to limit diversity within the fleet to the minimum necessary to support
customer operations, preserve competition and maintaining a diverse,competitive and
flexible supplier base. Fleet Services'goal in this area shall be to enhance consistency within
the fleet.
14.4 While complying with all applicable purchasing laws, Fleet Services will use the most
economical and competitive methods of procuring vehicles,equipment,fuels,fluids, parts
and services.Such methods may include use of Washington State Department of Enterprise
Services contracts,cooperative procurement with other county or municipal entities and the
standard procurement processes of Jefferson County.
14.5 Fleet Services will maintain and operate a data system designed for and capable of tracking,
monitoring and reporting comprehensive information on the costs and usage of all fleet
assets. Fleet Services will make such information and analysis as is requested available to its
customer departments upon request.
REVIEWED BY:
Fleet Services Division Manager
APPROVED BY: �_� /l� s -
Central Services Director Date