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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />APRIL 5, 2010 <br />TITLE: <br />CONTRACTS RENEWAL FOR OEM <br />VEHICLE PARTS AND REPAIRS <br />(SPEC. NO. 07 -087) <br />V <br />CITY MANAGER <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />APPROVED <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 1 st Reading <br />❑ Ordinance on 2 "d Reading <br />❑ Implementing Resolution <br />❑ Set Public Hearing For_ <br />CONTINUED TO <br />FILE NUMBER <br />Renew the contracts for OEM vehicle parts and repairs for a one -year period in the annual <br />aggregate amount not to exceed $160,000 with the following vendors: <br />McCoy Motor Co. Inc. d /b /a Mills Ford <br />Power Ford Tustin <br />Villa Ford <br />DISCUSSION <br />The Finance and Management Services Agency Fleet Maintenance Division is responsible for <br />the maintenance and repair of over 600 vehicles, including 110 patrol sedans. In some cases, it <br />is necessary to utilize Original Equipment Manufacturer (OEM) parts to stay within warranty. <br />Fleet maintains an inventory of 1300 stock items, some of which are OEM parts; parts not <br />stocked are purchased on an as- needed basis. Fleet maintains contracts with multiple auto parts <br />vendors for non -OEM parts. This contract is for OEM parts and repairs with Ford certified shops, <br />in order to maintain warranty coverage. <br />On November 5, 2007, the City Council awarded contract to five vendors for a one -year period <br />with provisions for two one -year renewals. The vendors have performed satisfactory during the <br />past contract period and have agreed to renew the contracts without an increase in pricing. Staff <br />recommends the final renewal of the contracts. The original award included two local Chevrolet <br />dealers that have closed their offices in the past 12 months. OEM parts for Chevrolet vehicles are <br />processed with existing contracts. <br />22B -1 <br />