Rural Matters Issue 3

Collection Vehicle Purchase Pricing and return on investment are often very high priorities for purchase decision-making. When it comes to solid waste collection vehicles, the adage about using the right tool for the job can make a big difference in the success of a solid waste management program. The considerations discussed above lead to the development of purchasing specifications. Most communities will follow a standard bidding process of developing an invitation to bid and accompanying specifications. Collection vehicle specifications can be written either separately for the chassis and collection body or combined. Based on the community’s prioritized needs, bids may incorporate many design variations into the specifications for a vehicle. Beyond the vehicle specifications, an invitation to bid will need to contain additional sections of information, including these:

Regardless of the funding source, many communities choose to conduct a comprehensive rate study before making a significant expenditure like a new collection vehicle. Solid waste rate studies include an analysis of all revenues and expenses to the solid waste management program. Typically, they allow the community to see the impacts of rate adjustments on the annual budget and, conversely, help communities understand how a large financial purchase may necessitate a rate adjustment. Rate studies are typically provided by consulting engineers or community development organizations, such as the affiliates of RCAP. Managing a New Asset Adding a new asset, such as a solid waste collection vehicle, to your inventory may be less glamorous than selecting and purchasing the vehicle. However, managing and maintaining a new asset over the long term is a critical part of the process. The first order of business for your new asset is acquiring the license, registration, and insurance with external agencies and internally adding your asset to your existing asset inventory. If you do not have an asset inventory, you should create one; the RCAP affiliates or other providers can help with that. Complete inventory updates and tagging before the operators use the vehicle. Inventory best management practices for solid waste collection vehicles may differ slightly from other asset inventories. One collection vehicle unit is composed of multiple components, including the chassis and collection body and often additional accessories, which are individually valued at a rate that merits inventory under many municipal policies. In addition to adding your new vehicle to inventory, thoughtful asset management planning can reduce the costly burden of maintaining and eventually replacing equipment such as collection vehicles, carts, compactors, and transfer vehicles for rural communities. Asset management planning is a process that helps you keep track of the equipment you use at solid waste facilities, such as transfer stations, landfills, recycling centers, and collection programs. Accurate inventories and condition details will help you maintain the operations’ safety, security, and reliability. Keeping an accurate inventory of your solid waste facilities can help you comply with federal and state regulations, create accurate budgets, identify concerns early, and prepare for future needs, whether financial, growth-related, or regulatory. Knowing the strengths and weaknesses of your solid waste assets will help you intercept any sudden or unexpected problems you experience with operations or the quality of service you provide. Understanding every detail of your system enables you to explain its current condition and how it operates and equips you to inform decision- makers, such as elected officials, customers, local health officials, and the media.

• timetables for procurement, such as … - bid announcement date - deadline to submit a bid - bid opening date - date of expected contract award • administrative details, such as …

- identifying the purchasing office - restrictions on communications - clear and concise title for vendors to locate the opportunity - any contractual terms and conditions

Procurement rules vary from state to state, and a community should always reach out to its state procurement office or municipal league for guidance. There may also be additional funder requirements if state or federal grants or loans are used for the purchase. Funding Collection vehicle funding may come from various sources, including city revenues, loans, and local, state, or federal funds. Many rural communities can access application assistance from organizations that provide technical assistance. Exploring these resources may ease the burden of complicated grant and loan application processes. State municipal leagues, local planning and development districts, or specialized community development organizations like the Rural Community Assistance Partnership (RCAP) can provide more information about application assistance. Some communities consider solid waste collection vehicle purchases within their American Rescue Plan Act (ARPA) funding expenditures. ARPA funds were set aside by the American Rescue Plan Act of 2021 and designated for the relief of COVID-19 impacts on public health and economies. ARPA allocated more than $1 trillion of these funds for distribution to local municipal and county governments. Organizations such as the National League of Cities and the National Association of Counties have provided extensive information about ARPA funds and their distribution on their websites.

RCAP.ORG 9

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