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HomeMy WebLinkAbout13 PURCH TRUCK FOR FS 10-07-08 AGENDA REPORT MEETING DATE: OCTOBER 7, 2008 TO: WILLIAM A. HUSTON, CITY MANAGER FROM: TIM D. BEREFT, DIRECTOR OF PUBLIC WORKS/CITY ENGINEER SUBJECT: AUTHORIZATION FOR STATE TO PURCHASE ONE GMC TRUCK WITH DUMP BODY FOR FIELD SERVICES DIVISION SUMMARY Approval of Resolution No. 08-66 will authorize the General Services Department of the State of California to purchase one current model year GMC dump truck on behalf of the City of Tustin. RECOMMENDATION It is recommended that the City Council approve Resolution No. 08-66 authorizing the General Services Department of the State of California to purchase one current model year GMC dump truck on behalf of the City of Tustin. FISCAL IMPACT Adequate funds are budgeted and available in the Lease Fund account 84-801-9720 for the purchase of one (1) GMC dump truck. The total cost including all taxes, fees, discounts, delivery and rebates is $58,877.52 DISCUSSION The proposed purchase of this dump truck is for the scheduled replacement of existing 1985 International Dump Truck in Public Works/Field Service Division. This replacement will minimize the vehicle maintenance cost and increase the efficiency of the Field Services Division. Each year the state bids and awards vehicle and equipment contracts to various dealerships throughout the state. Since the state buys in large volume they are able to receive a more competitive price for vehicles and equipment than the City. As part of the normal purchasing process, City staff contacted a number of local dealers in the area and received the following prices for a like equipped dump truck. The prices listed below include all taxes, applicable fees, rebates, delivery and early payment discounts. Authorization to Purchase One GMC Dump Tuck for Field Services Division October 7, 2008 Page 2 VENDOR Victor GMC * (State Contract) Rio Rancho GMC Nickolas Chevrolet BASE UNIT COST DUMP BODY $42,388.27 $61,425.85 $62,151.00 $16,489.25 $14,680.94 $14,680.94 TOTAL COST $58,877.52 $76,106.79 $76,831.94 State contract pricing includes (2.27%) state fee, a $500.00 discount for payment within 20 day, state tire fees, delivery and optional equipment. The state contract truck is a 2009 model. The state contract dealer for this truck had ordered 4 extra units for stock from the 2008 state contract. This was done because the gasoline engines are no longer available for this style of truck. The other bidding dealers could only bid a truck with a diesel powered engine that greatly increased the cost. The proposed engine is low-emitting gasoline powered engine which is in compliance with Southern California Air Quality Management District (SCAQMD) Rule 1191 and preferred over the diesel powered engine. As a result of comparison, the most cost-effective option for the City is to purchase the new dump truck through the General Services Department of the State of California at a cost of $58,877.52 from Victor Buick/GMC, Corona, CA. Approval of the attached resolution allows the City to utilize the state's purchasing program to obtain one dump truck as specified at a substantially lower cost than the City can obtain on its own. It also designates the City Manager as the public official authorized to execute this request on behalf of the City. Tim D. Serlet Director of Public Works/City Engineer Wisam Altowaiji Field Service Manager Attachment: TDM:WA:Authorization for state to purchase 1 truck 10-7-08. & Reso 08-66.docx RESOLUTION NO. 08-66 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA AUTHORIZING THE DEPARTMENT OF GENERAL SERVICES OF THE STATE OF CALIFORNIA TO PURCHASE CERTAIN ITEMS. WHEREAS, the City has need to purchase various material, supplies and equipment in order to conduct the operations of the City; and WHEREAS, Section 1624, Item C of the Tustin Municipal Code authorizes the State of California to purchase materials, supplies, and equipment if it can be acquired more cheaply or efficiently by the State; NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Tustin, California, does hereby authorize the Procurement Division, Department of General Services of the State of California, to purchase one current model year GMC dump truck for and on behalf of the City of Tustin pursuant to Section 10324 of the California Public Contract Code, and that Mr. William A. Huston, City Manager, is hereby directed to sign and deliver all necessary requests and other documents in connection therewith and for and on behalf of the City of Tustin. PASSED AND ADOPTED at a regular meeting of the Tustin City Council on the 7th day of October 2008. Jerry Amante, Mayor ATTEST: City Clerk