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HomeMy WebLinkAbout22E - SPEC - NATURAL GAS DUMP TRUCKSREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: NOVEMBER 20, 2018 TITLE: AWARD PURCHASE ORDER TO LOS ANGELES TRUCK CENTERS, LLC, FOR THREE COMPRESSED NATURAL GAS DUMP TRUCKS (SPECIFICATION NO. 18-070) (STRATEGIC PLAN NO. 6,2) ClkY MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ❑ As Recommended ❑ As Amended ❑ Ordinance on 151 Reading ❑ Ordinance on 2"d Reading ❑ Implementing Resolution ❑ Set Public Hearing For CONTINUED TO FILE NUMBER Authorize a one-time purchase and payment of purchase order to Los Angeles Truck Centers, LLC, for the procurement of three compressed natural gas dump trucks in the amount of $664,370, plus a contingency of $10,000, for a total amount not to exceed $674,370, subject to nonsubstantive changes approved by the City Manager and City Attorney. DISCUSSION The Finance and Management Services Agency, Facilities, Fleet Maintenance, and Central Stores Division (FMCS) is responsible for the acquisition, maintenance, repair, and replacement of vehicles, trucks, and maintenance equipment. The Public Works Agency's Water Resources Division is in need of new dump trucks to replace older dump trucks that were purchased in 2001. Due to the extensive use and age of these vehicles, the trucks have been proven to be unreliable and very expensive to repair. The Water and Sewer Enterprises have a total of five large dump trucks which are used by staff to transport dirt and debris generated from ongoing repairs to the water and sewer system. Two of the five dump trucks were replaced in February 2017. Replacement of the remaining three will result in all large dump trucks being updated with newer and more reliable equipment. Additionally, these trucks will now be fueled with compressed natural gas (CNG) which is in alignment with the City's efforts to purchase alternative fuel vehicles to create an environmentally responsible City fleet. The Notice Inviting Bids was advertised on September 11, 2018, on the City's online bid management and publication system. A summary of the bid invitations and bids received is as follows: 22E-1 Award Purchase Order for CNG Dump Trucks November 20, 2018 Page 2 185 Vendors notified 4 Santa Ana vendors were notified 12 Vendors downloaded the bid packet 1 Bid received 0 Bid received from a Santa Ana vendor The bid was opened on October 9, 2018, and evaluated. The bid submitted from Los Angeles Truck Centers, LLC, is responsive to the specifications and meets the City requirements. To allow for unanticipated commodity surcharges due to the volatility of the existing metals market, a $10,000 contingency has been included in the award amount. Outreach Efforts The Purchasing Division advertised the project on the City's online bid management and publication system which directly notified four Santa Ana vendors. None of the Santa Ana vendors submitted bid packets for consideration. 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 The total cost to purchase three CNG dump trucks is $674,370. Funds in the amount of $449,580 are available for expenditure in FY 2018-19 in the Water Systems Maintenance capital account (No. 06017641-66400), and $224,790 is available in the Sanitary Sewer capital account (No. 05617640-66400). APPROVED AS TO FUNDS AND ACCOUNTS: a Fuad S. S veiss, PE,PLS Kathryn Downs, CPA,(py,fobo Executive erector Executive Director Public WoiCs Agency Finance and Management Services Agency 22E-2