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HomeMy WebLinkAbout10 PURCHASE CHEVEY 04-19-04 AGENDA REPORT Agenda Item Reviewed: City Manager ~ Finance Director ~ 10 MEETING DATE: APRil 19, 2004 WilLIAM A. HUSTON, CITY MANAGER TO: FROM: PUBLIC WORKS DEPARTMENT/WATER SERVICES DIVISION SUBJECT: AUTHORIZATION FOR THE STATE TO PURCHASE ONE CHEVROLET 3500 WITH ACCESSORIES SUMMARY Approval of Resolution No. 04-40 will authorize the City of Tustin to purchase a current model year Chevrolet 3500 with accessories. RECOMMENDATION It is recommended that the City Council approve Resolution No. 04-40 authorizing the Department of General Services, State of California to purchase one current model year Chevrolet 3500 with accessories on behalf of the City. FISCAL IMPACT Funds are currently budgeted in the Equipment lease Fund, Account Number 84-801- 9720 for the purchase of one current model year Chevrolet 3500 with accessories. The total cost including all taxes and fees is $67,747.29. DISCUSSION The Chevrolet 3500 with accessories will replace one fourteen year old water valve operations truck. The proposed purchase of the current model year Chevrolet 3500 with accessories will increase the efficiency of the construction and maintenance operations in the Water Services Division and help replace an aging fleet. The Chevrolet 3500 was specified as a cab and chassis unit without a body. This allowed the City to specify a vehicle body and accessories suited for the units' applications. The vehicle body and accessories will be mounted to the cab and chassis at a vendor shop. An arrow-board, valve box vacuum and water gun, and a valve operator slide system are some of the major accessories that are included in the contract. An existing valve operator unit will be removed from its current vehicle and be installed on the slide system that is to be mounted on to the new vehicle body. Each year the State bids and awards vehicle and equipment contracts to dealerships throughout the state. Due to the volume of units included in the contracts, the prices are highly competitive. In addition to contacting the State contractor, staff also contacted a number of local dealers and received the following bid prices for a like AUTHORIZATION TO PURCHASE ONE CHEVROLET 3500 WITH ACCESSORIES APRIL 19, 2004 equipped Chevrolet 3500 with accessories. The prices listed sales tax, applicable fees and early payment discounts. Vendor State Unit Price1 Accessories2 Taxes Total Unit Cost Contract Coalinga Yes $16,448.86 $46,415.00 $4,883.43 $67,747.29 Motors Inc. Guaranty No $23,503.85 $46,105.00 $5,394.69 $74,103.54 Chevrolet Tustin No NR NR NR NR Chevrolet Selman No NR NR NR NR Chevrolet 1 State Contract includes a 2.12% State Fee of the Unit Price and a $500 discount for rayment within 20 days. Accessories added to an ordered vehicle that is not factory options may be subject to a price percentage increase from the dealer. NR - Non-Response As a result of the comparison, the most cost effective option for the City is to purchase one current model year Chevrolet 3500 with accessories through the Department of General Services, State of California at total cost of $67,747.29. Approval of the attached resolution allows the City to utilize the State's purchasing program to obtain one current model year Chevrolet 3500 with accessories at a 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. ~£2.~ Tim D. Serlet Director of Public Works/City Engineer ~o,~ Brian A. Ragland Water Services Manager S:\City Councilltems\2004 Councilltems'Authorization to purchase Chevy 3500 Truck.doc RESOLUTION NO. 04-40 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 City to purchase materials, supplies and equipment through the State Department of General Services 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 Chevrolet 3500 with accessories 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 19th day of April 2004. Tony Kawashima, Mayor A nEST: City Clerk