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HomeMy WebLinkAbout06 AUTHORIZATION TO PURCHASE VEHICLES FOR FISCAL YEAR 2010/11 & DECLARATION OF SURPLUS EQUIPMENT FOR PUBLIC ACTION• Agenda Item 6 AGENDA REPORT Reviewed.' City Manager Finance Director "+- MEETING DATE: AUGUST 3, 2010 TO: WILLIAM A. HUSTON, CITY MANAGER FROM: DOUGLAS S. STACK, DIRECTOR OF PUBLIC WORKS/CITY ENGINEER SUBJECT: AUTHORIZATION TO PURCHASE VEHICLES FOR FISCAL YEAR 2010/11 AND DECLARATION OF SURPLUS EQUIPMENT FOR PUBLIC AUCTION SUMMARY Staff is requesting City Council authorization to purchase two one ton trucks and one pickup truck for use by the Public Works Department. In addition, the City Council is requested to declare city certain equipment surplus in accordance with Section 1626a (2) of the Tustin City Code and authorize their sale at public auction. RECOMMENDATION It is recommended that the City Council: Adopt Resolution No. 10-78 authorizing the General Services Department of the State of California to purchase two (2) one-ton dual rear wheel cab/chassis, one (1) one-ton rear wheel cab/chassis and one (1) half-ton crew cab pickup to Coalinga Motors, Coalinga, CA. in the amount of $97,456.99; 2. Authorize the Public Works Department to reuse, purchase and install the accessories from various vendors, in the amount of $21,482.09; 3. Declare, in accordance with the Tustin City Code Section 1626a (2), that Unit # 7010 (Vin #1 GTCS19X4TK530459, 1996 GMC Sonoma, Valued @ $1,000) and Unit # 5620 (Vin #366MC36W51 M585196, 2001 Dodge Truck, Valued @ $800) as surplus and not required for public use; and 4. Authorize the Public Works Department to sell the equipment listed above at the next available public auction and credit net proceeds to applicable City Revenue fund. FISCAL IMPACT Sufficient funds have been budgeted and appropriated in the current fiscal year 2010-2011 budget for the proposed purchases. The Lease Fund (Account 184-80-00-9710) will be utilized to purchase one (1) one-ton cab/chassis with accessories and one (1) half-ton crew cab with accessories for a total cost of $58,210.76. The Public Works Department operating budget (Accounts 300-40-10-9810 and 100-40-14-9810) will be utilized for the purchase of one (1) one-ton single rear wheel cab/chassis with accessories at a cost of $30,482.68 and for the purchase of one (1) one-ton cab/chassis with accessories for a cost of $30,245.64. Authorization to Purchase Vehicles August 3, 2010 Page 2 DISCUSSION Vehicles are typically purchased through the state contract in accordance with the City's purchasing policy because state contract rates are typically more competitive due to the volume discounts received by the State. City staff also contacted a number of local dealers to obtain pricing for the like equipped extended cab pickup trucks with utility body. However, the local pricing was not competitive with State contract rates. The trucks available through state contract are the 2011 models. The prices listed below include all taxes, applicable fees, rebates, delivery and early payment discounts. State contract pricing includes a 1.92% state fee, $500 discount for payment within 20 days, state tire fees, delivery and optional equipment. Coalinga Motors has submitted a proposal in accordance with the state contract to reflect the following: Division Model Cost Per Unit Accessories* Total Water One-ton Single Rear Wheel $22,764.69 $7,717.99 $30,482.68 Water Half-ton Crew Cab $25,593.28 $2,371.84 $27,965.12 Field Services One-Ton Dual Rear Wheel $24,549.51 $5,696.13 $30,245.64 Field Services One-Ton Dual Rear Wheel $24,549.51 $5,696.13 $30,245.64 Total $97,456.99 $21,482.09 $118,939.08 * Accessories include bed appurtenances (utility or dump body), safety equipment, trailer hitch, etc. The purchase of one (1) one-ton single rear wheel truck with utility bed and miscellaneous accessories for the Water Division is included in the Fiscal Year 2010-2011 budget. The half-ton crew cab will replace a 1996 GMC Sonoma that has exceeded its useful service life. The purchase of a new one (1) one-ton dual rear wheel truck with dump body for the Landscape Program is also included in the Fiscal Year 2010-2011 budget. The vehicle will be utilized by Landscape Division and will enable the more efficient movement of personnel and equipment. The dump body from an existing truck will be removed and reinstalled on the new cab and chassis for a savings of $5,000. The purchase of this vehicle will replace a 2001 Dodge truck that requires significant repair. S. Stack, P.E. n urchill of Public Works/City Engineer Fie ervices Manager S:\City Council Items\2010 Council ItemsWuthorization to Purchase Vehicles - Joe.docx RESOLUTION NO. 10-78 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 two (2) one-ton dual rear wheel GMC cab/chassis, one (1) one-ton rear wheel GMC cab/chassis and one (1) half-ton crew cab GMC pickup 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 3rd day of August 2010. Jerry Amante, Mayor ATTEST: City Clerk