Agenda Item Wording:
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Award a Contract for Maintenance, Repair, Testing, & Inspection of City-owned Fueling Facilities- Authorize the City Manager to award an annual contract to Precision Environmental Services for maintenance, repair, testing and inspection of City-owned fueling facilities. The Contract shall not exceed $50,000.00 annually and is renewable each year for a potential total of five (5) years.
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Prepared by:
Danny Galindo, Public Works Manager, danny.galindo@visalia.city, 713-4186
Nick Bartsch, Public Works Director, nick.bartsch@visalia.city,713-4052
Department Recommendation: Staff recommends that the City Council authorize the City Manager to award an annual contract to Precision Environmental Services in an amount not to exceed $50,000 annually, totaling $250,000 over the life of the contract, with an option to renew annually for up to (4) additional one-year terms.
Summary:
RFB 23-24-48 for maintenance, repair, testing and inspection of fueling equipment was advertised in the newspaper on June 6, 2025, posted on Bidnet, and notifications were sent to all local vendors who provide these services.
In response to the RFB, the City's Purchasing division received (3) bids and are summarized below:
The contract covers all City-owned fueling facilities, and consists of two components:
• Fixed Services: These are recurring scheduled services performed annually at each fueling station. They include secondary containment testing, annual monitoring certification testing, annual vapor recovery testing (including pre-test and testing with San Joaquin Valley APCD inspectors), V/L testing, and monthly designated operator inspections. The fixed services portion of the bid, which is approximately $9,000, covers these mandated inspections and certifications.
• Hourly Rates for Unscheduled Repairs and Maintenance: In addition to fixed services, the contract includes hourly labor rates for any necessary unscheduled repairs or maintenance that may arise during the year. This allows for any issues to be dealt with promptly at any City fueling station, ensuring continuous compliance and operational readiness.
While the fixed services fee is around $9,000, the contract’s annual amount is not to exceed $50,000 based on historical spending trends. Annual costs have varied between approximately $35,000 and $67,000 in recent fiscal years, reflecting variable repair needs beyond the fixed testing and inspections.
This bid structure explains the difference in pricing among vendors, as each proposes unique combinations of fixed fees and hourly rates. Precision Environmental Services was evaluated as the most responsible and responsive bidder, providing the best value across both fixed services and hourly repair costs.
Background Discussion:
The Fleet Division has developed an annual contract for the maintenance, repair, testing, and inspection of fueling equipment for eight fueling stations, which will be managed through the Fleet Maintenance Division.
Maintaining the City’s fueling infrastructure in proper working conditions is essential not only for operational efficiency but also for remaining in compliance with local, state, and federal environmental regulations. Regular testing, inspections, and prompt repairs help ensure compliance with standards set by agencies such as the California State Water Resources Control Board, the San Joaquin Valley Air Pollution Control District (SJVAPCD), and other regulatory bodies.
Failure to comply with mandated testing and certification requirements-such as vapor recovery testing, secondary containment verification, and monitoring system certifications can result in regulatory violations, fines, or operational shutdowns. This contract ensures the City meets all required inspection schedules and documentation standards, helping to mitigate risks and avoid costly penalties.
The current solicitation (RFB No. 23-24-48) continues this essential service. Bids were received and evaluated, with Precision Environmental Services providing the most responsible and responsive proposal.
Fiscal Impact: Funding for maintenance, repair, testing & inspection of City-owned fueling facilities is budgeted annually in Fleet Operations (5012) to cover these costs.
Historical spending of these services:
Fiscal Year 2022-23: $67,282.15
Fiscal Year 2023-24: $40,881.40
Fiscal Year 2024-25: $35,492.54
Based on prior spending and projected needs, the total cost is not expected to exceed $50,000 annually. Fiscal Year 2022-23 expenses of $67,000 were higher due to a one-time repair cost of approximately $20,000.
Prior Council Action: On February 4, 2019 council approved awarding a 5-year contract for these services to Precision Environmental Services.
Other: N/A
Alternatives: None recommended
Recommended Motion (and Alternative Motions if expected):
recommendation
I move to authorize the City Manager to award an annual contract to Precision Environmental Services for maintenance, repair, testing and inspection of City-owned fueling facilities in an amount not to exceed $50,000 annually, totaling $250,000 over the life of the contract, with an option to renew annually for up to (4) additional one-year terms.
Environmental Assessment Status: N/A
CEQA Review: N/A
Deadline for Action: 8/18/2025
Attachments:
Precision Environmental Services Bid
Bid Comparison
RFB NO. 23-24-28
Contract
Levine Act