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HomeMy WebLinkAbout22K - CITY VEHICLES . . '" REQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: JULY 5, 2005 CLERK OF COUNCIL USE ONLY: TITLE: CONTRACT AWARD FOR CITY VEHICLES (SPEC. NO. 05-074) APPROVED i:I As Recommended i:I As Amended i:I Ordinance on 1 st Reading i:I Ordinance on 2nd Reading i:I Implementing Resolution i:I Set Public Hearing For ~~=I)?~, CITY MANAGER CONTINUED TO FILE NUMBER RECOMMENDED ACTION 1. Reject the bids from Bob Stall Chevrolet, Maurice J. Sopp and Son and Wondries Fleet Group as nonresponsive to the specification. 2, Award a contract to Guaranty Chevrolet for the purchase of two vehicles in the amount of $66,432,17; and an additional $10,000 on the annual blanket contract. DISCUSSION The Fleet Maintenance Division's annual Equipment Replacement Program is included in the City's annual budget, and identifies vehicles scheduled for replacement. Funding is monitored through a depreciation schedule established with each department. Due to age and condition, one 1995 Ford Sedan has been approved for replacement. The replacement vehicle will be used by the City Manager for transporting personnel to City project sites. The second vehicle will be equipment with emergency lights and assigned to the Fire Chief. Through July 5, 2005, General Motor Corporation is offering a special vehicle sales program which provides a 23 percent discount off the price list resulting in a savings of over $9,000 per vehicle. As a result of this special vehicle offer, the City has processed a standard formal bid that opened July 1, 2005 for two standard package Chevrolet Tahoes, 22K ., Contract Award for City Vehicles (Spec. No. 05-074) July 5, 2005 Page 2 The notice inviting bids was advertised on June 21-22, 2005, and bids were solicited. A summary of the bid invitations and bids received is as follows: 9 Invitations For Bid mailed 1 Invitation For Bid mailed to a Santa Ana vendor 5 Bids received 1 Bid received from a Santa Ana vendor Bids were received, opened on July 1, 2005 and evaluated (Exhibit 1). The bid from Bob Stall Chevrolet lacked vehicles with side air bags. The bid from Maurice J. Sopp only quoted on one vehicle. The bid from Wondries Fleet Groups offered a 2004 vehicle. All three bids are nonresponsi ve to the specifications. The bid from Guaranty Chevrolet, a Santa Ana vendor, is responsive to the specifications and meets the City's requirements. In addi tion, the City annually establishes blanket order contracts of up to $10,000 with various vendors on a fiscal year basis. The contracts facilitate purchases that are required on a recurring basis and reduce the number of small value orders. However, the purchase of the Chevrolet Tahoe vehicles, when added to the vendor's fiscal purchases, exceeds the $10,000 aggregate total, and requires Council approval. In order for Fleet Maintenance to continue using Guaranty Chevrolet, staff recommends Council approval of a blanket order contract. FISCAL IMPACT Funds are available Machinery & Equipment Fire Chief Machinery & in the Fleet account (account Equipment account Services Equipment Replacement no. 76-145-6641) and Office of (account no. 011-320-6641). -i~\.-~ G...\~'~ Francisco Gutlerrez Executive Director Finance & Management Services Agenc~ PMG/KM/05-074,2:sp 22K , , ABSTRACT OF BIDS CONTRACT AWARD CITY VEHICLES (SPEC, 05-074) Vendor Location Terms Vehicles 2WD Tahoe 4WD Tahoe Sub-total Sales Tax Tire Fee Total 1% S ,A, VENDOR GRAND TOTAL GUARANTY CHEVROLET QUALITY CHEVROLET SANTA ANA ESCONDIDO NET 30 NET 30 $29,421. 73 $31,748,50 $61,170,23 $ 5,244,44 17,50 $66,432,17 $29,346,00 $31,714,00 $61,060,00 $ 4,732,15 17,50 $65,809,65 664,32) $65,767,85 $65,809,65 Vehicle Purchase Blanket Contract CONTRACT TOTAL DELIVERY Vehicle $66,432,17 $10,000,00 $76,432,17 7 Days 2005 Tahoe 7 Days 2005 Tahoe SUMMARY OF BID AWARD: TOTAL AWARD IN THE AMOUNT OF: Guaranty Chevrolet $76,432,17 Bids from Bob Stall Chevrolet, Maurice J. Sapp and Son and Wondries Fleet Group are considered nonresponsive. EXHIBIT 1 o'>ll