For Immediate Release
Cooperative purchasing gives Springfield, Nixa and Republic leverage for purchase of new fire engines
The City of Springfield, City of Republic, and the Nixa Fire Protection District recently purchased seven fire engines saving the residents of each jurisdiction because they came together to create one large order rather than three smaller purchases. This resulted in greater competition as well as standardization of equipment between the departments. Each fire department saved approximately $30,000 per engine.
To commemorate this milestone, the seven engines will be on display Friday at 8:30 a.m. in the parking lot of Grizzly Industrial Inc.'s warehouse, which is located on the south side of Battlefield Road, just west of Kansas Expressway.
"A little over a year ago, we were all at an event together. Through conversations, we realized we were all in the market for new apparatus," says Springfield Fire Department Assistant Chief David Pennington. "Collectively, we knew would have much more leverage than any one of us would have had individually."
The Springfield Fire Department pitched the idea to the City of Springfield's Purchasing department, who handled the cooperative request for proposal (RFP), which leveraged the municipalities' purchasing power. It took around four months to write the specs and about a year to build the engines, which cost more than $2.5 million in total. Springfield purchased four new engines while Republic purchased two and Nixa purchased one.
The funding source for Springfield's four new fire engines was the City's Level Property Tax revenues. These limited funds are used to fund municipal facilities and equipment, including public safety capital such as fire stations, fire engines, fire trucks, and police cars.
The purchase was considered a one-time allocation of these funds, because the City has no identified life-cycle funding source for fire apparatus.
"I knew how much we had in our budget, and before we decided on the cooperative purchase, I was a little concerned about whether we would be able to replace all four engines," Pennington says. "However, we had 17 vendors show up to the pre-bid meeting, which put pressure on the vendors to give their very best pricing if they wanted a shot at getting the business. On their own, the Republic Fire Department estimated that they would only had funds to purchase one engine, but with the volume-driven cost reduction, they were able to get two," Pennington added.
Springfield took delivery of the first of its engines in late February. Nixa took delivery of its new engine in late March, and Republic took delivery of its two engines last month.
For more information, contact: Springfield Fire Department Assistant Chief David Pennington, (417) 864-1530 or email@example.com