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HomeMy WebLinkAbout22C - AUTHORZE PO FOR COURTESY CHEVY CENTER AND FOLSOM CHEVYREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: FEBRUARY 4, 2020 TITLE: AUTHORIZE PURCHASE ORDERS FOR AN AMOUNT NOT TO EXCEED $195,286 TO COURTESY CHEVROLET CENTER AND FOLSOM CHEVROLET FOR SIX VEHICLES (ENTERPRISE FUNDS) (SPECIFICATION NO. 19-115) {STRATEGIC PLAN NO. 6,21 /s/ Kristine Ridge CITY MANAGER CLERK OF COUNCIL USE ONLY: ❑ As Recommended ❑ As Amended ❑ Ordinance on 1" Reading ❑ Ordinance on 2n° Reading ❑ Implementing Resolution ❑ Set Public Hearing For_ ,K•�►nl►tri�.ic•� FILE NUMBER RECOMMENDED ACTION Authorize a one-time purchase and payment of purchase orders for Chevrolet Vehicles in the amount of $128,426 to Folsom Chevrolet and $66,860 to Courtesy Chevrolet, for a total aggregate amount not to exceed $195,286, subject to non -substantive changes approved by the City Manager and City Attorney. DISCUSSION The Public Works Agency, Fleet Services Division (Fleet Division) is responsible for the acquisition, maintenance, repair, and replacement of vehicles, trucks, and maintenance equipment. The Public Works Agency, Maintenance Services and Water Resources divisions are in need of two Chevy Colorados (work trucks) and four Chevy Traverses (mid -size SUV) to replace five existing, aging fleet vehicles and add one new vehicle. The five vehicles being replaced have exceeded the City's Fleet Services Division's recommended Equipment Lifecycle Guidelines, earning a "terrible" rating, based on industry standards from the Municipal Equipment Maintenance Association, the National Association of Fleet Administrators, and the American Public Works Association. The Maintenance Services Division currently has small passenger vehicles that are not serviceable for daily operations and inspections for the type of field conditions encountered, such as flooded streets during rainstorms, muddy and rugged terrain. Due to their heavy usage and age (2008 models or older), the vehicles are unreliable, constantly breaking down, and require constant repair, while directly affecting quality and expedited service delivery to the community. The four existing vehicles will be replaced with two Chevrolet Traverse vehicles and two Chevrolet Colorado trucks. The existing Water Resources Division employee pool vehicle has exceeded its useful life and is no longer reliable enough to serve its intended purpose. This vehicle will be replaced with a Chevrolet Traverse. An additional Chevrolet Traverse will be added to the fleet to serve as the Mobile Communications Vehicle for Water Resources. This vehicle will house equipment capable 22C-1 Award Purchase Order for Chevrolet Vehicles February 4, 2020 Page 2 of communicating with City staff and the Supervisory Control and Data Acquisition (SCADA) network to manage water distribution functions in emergencies. The Notice Inviting Bids was advertised on October 11, 2019, on the City's online bid management and publication system. A summary of the bid invitation and bids received is as follows: 344 Vendors were notified 6 Santa Ana vendors were notified 11 Vendors downloaded the bid packet 4 Bids received 1 Bid received from a Santa Ana vendor The bids were opened on November 8, 2019, and evaluated (Exhibit 1). The 1 percent Local Vendor Preference was applied to the bid from the Santa Ana vendor. The bids submitted from the recommended vendors are responsive to the specifications and meet the City's requirements. All bidders submitted pricing for a 2020 model year Chevrolet Colorado. However, given an early cutoff ordering date requested by General Motors, the manufacturer of Chevrolet vehicles, those vehicles are no longer available for order. Courtesy Chevrolet provided the lowest bid for the Chevrolet Colorado and has offered the 2021 model year Chevrolet Colorado at the 2020 model year price. Production will begin mid -April. Folsom Chevrolet has provided the lowest bid for the Chevrolet Traverse. STRATEGIC PLAN ALIGNMENT Approval of this item supports the City's efforts to meet Strategic Plan Goal #6 - Community Facilities & Infrastructure, Objective #2 (address deferred maintenance on City buildings and equipment). FISCAL IMPACT Funds are budgeted and available in the following accounts for expenditure in Fiscal Year 2019- 20: Fiscal Accounting Unit- Fund Accounting Unit, Amount Year Account # Description Account Description 2019-20 Public Works — 06817640-66400 Sanitation Environment/Sanitation, $131,073 Feb. -June Machinery & Equipment 2019-20 Water Utility Water 06017640-66400 Water Production & Supply, $64,213 Feb. -June Machinery & Equipment Total $195,286 22Ci-2 Award Purchase Order for Chevrolet Vehicles February 4, 2020 Page 3 Nabil Saba, P.E. Acting Executive Director Public Works Agency Exhibit: 1. Abstract of Bids APPROVED AS TO FUNDS AND ACCOUNTS: Kathryn Downs, CPA Executive Director Finance and Management Services Agency 22C-3 ABSTRACT OF BIDS CHEVROLET VEHICLES (19-115) Courtesy Chevrolet Center San Diego, CA Folsom Chevrolet Folsom, CA Guaranty Chevrolet Motors Inc* Santa Ana, CA Penske Chevrolet of Cerritos Cerritos, CA CHEVROLETTRAVERSE Total Price per vehicle $32,599.88 $32,106.42 $33,604.06 $34,285.27 1% Local Vendor Preference N/A N/A $336.04 N/A Final Bid Amount as Determined by Basis of Award $32,599.88 $32,106.42 $33,268.02 $34,285.27 CHEVROLET COLORADO Total Price per vehicle $33,429.88 $35,572.98 $34,603.86 $34,139.13 1% Local Vendor Preference N/A N/A $346.04 N/A Final Bid Amount as Determined by Basis of Award $33,429.88 $35,572.98 $34,603.86 $34,139.13 *Includes 1% Local Vendor Preference EXHIBIT 1 22C-4