HomeMy WebLinkAboutRES2026-068 Mercury AssociatesSponsored by: Sorensen
CITY OF SEWARD, ALASKA
RESOLUTION 2026-068
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA,
AUTHORIZING THE CITY MANAGER TO ACCEPT A PROPOSAL FROM MERCURY
ASSOCIATES FOR A COMPREHENSIVE FLEET ASSESSMENT IN THE AMOUNT OF
$44,140 AND APPROPRIATING FUNDS
WHEREAS, the City of Seward operates a motor pool to support municipal operations and the
delivery of public services across City departments; and
WHEREAS, the City's motor pool is accounted for as an internal service fund that is allocated for
the replacement of City heavy equipment and vehicles; and
WHEREAS, the City's fleet represents a significant operational and financial resource that
requires appropriate planning, management, cost allocation, maintenance coordination, and long-
term replacement strategies; and
WHEREAS, the City desires to obtain professional advisory services to review and evaluate the
City's motor pool structure, fleet assets, utilization, maintenance history, fuel consumption,
replacement criteria, lifecycle planning, and best practices; and
WHEREAS, Mercury Associates, Inc. has experience providing fleet management, motor pool,
and public -sector advisory services; and
WHEREAS, the proposed services also include development of a baseline fleet renewal plan
identifying all assets in the fleet and their projected replacement dates and costs over a designated
planning period.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
SEWARD, ALASKA:
Section 1. The City Council hereby authorizes the City Manager to approve the proposal from
Mercury Associates, Inc. for advisory services related to the City's Motor Pool Fund, fleet
operations, and fleet replacement planning.
Section 2. Funding in the amount of $ 44,140 is hereby appropriated in the General Fund
Unassigned 01000-0000-3400 to the 01000-1140-7009 Contracted Services.
Section 3. This resolution shall take effect immediately upon adoption.
CITY OF SEWARD, ALASKA
RESOLUTION 2026-068
Page 2of2
APPROVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA THIS 27t''
DAY OF JULY 2026.
g1 f1.^c1
Sue McClure, Mayor
AYES: Barnwell, Calhoon, Osenga, Draper, Warner, McClure
NOES: None
ABSENT: Crites
ABSTAIN: None
ATTEST:
/z/
Kris Peck
City Clerk
City Council Agenda Statement
Meeting Date: July 27, 2026
To: City Council
From: Kat Sorensen, City Manager, and Sully Jusino, Finance Director
Subject: Resolution 2026-068: Authorizing the City Manager to Accept a Proposal
from Mercury Associates for a Comprehensive Fleet Assessment in the
Amount of $44,140 and Appropriating Funds
Background and justification:
The City of Seward operates the motor pool as an internal service fund. The fund's net position is
unrestricted but allocated for the replacement of City heavy equipment and vehicles. Because this
fund supports departments across the City, it is important that we have a clear understanding of our
fleet assets, replacement needs, and the appropriate allocation of costs.
Mercury Associates, Inc. has submitted a proposal to provide advisory services for the City's motor
pool. Their work will include an asset inventory and utilization analysis, a review of maintenance
and repair history, fuel consumption and efficiency metrics, replacement criteria and lifecycle
evaluation, and a financial analysis comparing the City's practices with industry standards.
A major deliverable will be a baseline fleet replacement plan. This plan will identify all assets in
the fleet, their projected replacement dates, and estimated replacement costs over a designated
planning period. The plan will assume like -for -like replacement and will give the City a baseline
to compare against our current replacement planning process.
Administration recommends moving forward with this proposal because it will provide additional
analysis and outside expertise to support budgeting, cost allocation, and long-term fleet planning.
This work will build on the City's existing motor pool practices and help ensure future replacement
decisions are data -driven, transparent, and aligned with the needs of City departments and the
services they provide.
Fiscal Impact:
Funding Source:
X
X
Fiscal Impact •
Yes — Amount: $44,140 Budgeted:
No
X
Yes
No
N/A
General Fund: 01000-1140-7009 Contracted Services
Enterprise Fund:
Grant:
Other:
City Council Agenda Statement
Finance Director Signature: S rssli
Comprehensive and Strategic Plan Consistency Information
This legislation is consistent with (citation listed):
Comprehensive Plan:
Strategic Plan:
Other:
X
Yes
Attorney Signature:
Not applicable Comments:
Administration Recommendation
X
Approve
Other: