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HomeMy WebLinkAboutNB 2 EQUIP PURCHASE 09-05-89 f::F ~. i::! i~';:. ~,i i~':":~ NEt'I BUSINESS · ~ NO. 2 DATE: Aug. 29, 1989 ~ TO: FROM: SUBJECT: WILLIAM HUSTON, CITY MANAGER PUBLIC WORKS DEPARTMENT/FIELD SERVICES EQUIPMENT PURCHASE REQUEST RECOMMENDATION: Request that the Tustin City Council, at their regular meeting of September 5, 1989; 1. Recind their authorization to purchase a one ton valve truck from Guaranty Chevrolet as authorized at their regular council meeting of June 5, 1989; 2. Authorize staff to readvertise and solicit additional bids for the .purchase of a one ton valve truck in fiscal year 1989-90. BACKGROUND: Bids on a one ton valve truck were received by the City on May 11, 1989 until 8:00 A.M. in the office of the City Clerk. The City Council authorized the purchase of the unit on June 5, 1989 from the Iow bidder, Guaranty Chevrolet, in the amount of $45,696.92. On June 23, 1989, Guaranty Chevrolet returned our purchase order, unfilled and stated that the 1989 model assembly line had closed and that the order could not be filled. On July 28, 1989, Guaranty Chevrolet advised the City that a 1990 model, meeting the same specifications could be obtained for an additional $920.56 or a total price of $46,617.48. All efforts to find a 1989 one ton chassis, on which to install the proper bed and allied equipment, have been exhausted by the Iow bidder, Guaranty Chevrolet. -2- Staff feels that it would set a bad precedence to adjust the purchase price after having received competitive bids. Guaranty Chevrolet has been appraised of the City's dissatisfaction with their inability to perform, after having been selected as the responsible Iow bidder. Funds, in the amount of $45,692.92 have been carried over from fiscal year 1988- 89 to fiscal year 1989-90. Bob Ledendecker Director Public Works/City Engineer