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HomeMy WebLinkAbout22A - SPEC - TIRES REQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: CLERK OF COUNCIL USE ONLY: JUNE 17, 2013 TITLE: APPROVED ? As Recommended CONTRACT RENEWAL WITH ? As Amended PARKHOUSE TIRE, INC. El Ordinance on Reading El Ordinance on 2 Id Reading FOR VEHICLE TIRES ? Implementing Resolution (SPEC. NO. 11-00) ? Set Public Hearing For CONTINUED TO FILE NUMBER CITY MANAGER RECOMMENDED ACTION Renew the contract with Parkhouse Tire, Inc. for vehicle tires for a one-year period in an amount not to exceed $120,000. DISCUSSION The Facilities, Fleet Management and Central Stores Division of the Finance and Management Services Agency is responsible for the maintenance and repair of City vehicles. Worn tires must be replaced regularly to ensure safety and efficiency. The various City vehicles utilize a large variety of tires selected to best suit each vehicle demands and meet the manufactures' recommended brand and size. The contract provides tires for all vehicles within the fleet for maximum safety and fuel efficiency. On June 6, 2011, the City Council awarded a contract to Parkhouse Tire, Inc., a Santa Ana vendor, for a one period, with provisions for two one-year renewals. The vendor has performed satisfactorily during the past contract period. However, the tire market has been significantly impacted by the worldwide shortage of raw rubber material and escalating costs for steel and petroleum based products, resulting in a five to twenty-five percent increase in costs for the range of tires the City requires. The City holds the option to select different brands of tires per vehicle to minimize climbing costs. Staff recommends the second renewal of the contract. FISCAL IMPACT Funds are available in the Finance and Management Service Equipment Maintenance/Garage Operation account (no. 07510100-62322) and charged back to the various operating departments through monthly vehicle rental charges. APPROVED AS TO FUNDS AND ACCOUNTS A S~amz J:~, rL 'k ) Liz I Francisco Gutierrez Executive Director Finance and Management Services Agency 22A-1 i 22A-2