HomeMy WebLinkAbout13 AUTH TO PURCH 2 TRUCKS-F.S. 09-04-07Agenda Item
Reviewed:
~~ ~
AGENDA REPORT Cit Manager
r~~. y
~:'= Finance Director
~.
MEETING DATE: SEPTEMBER 4, 2007
TO: WILLIAM A. HUSTON, CITY MANAGER
FROM: ~ PUBLIC WORKS DEPARTMENT/FIELD SERVICES DIVISION
13
SUBJECT: AUTHORIZATION TO PURCHASE TWO EXTENDED CAB MINI PICKUP
TRUCKS WITH ACCESSORIES FOR FIELD SERVICES
SUMMARY
Authorize City staff to purchase two (2) extended cab mini pickup trucks for use by the
Public Works Department/Field Services Division.
RECOMMENDATION
It is recommended that the City Council award the bid for the purchase of two (2) extended
cab mini pickup trucks to Victor Buick GMC, Corona, CA, in the amount of $34,263.36.
FISCAL IMPACT
Adequate funds are available in the lease fund account, 84-801-9720, for the purchase of
two extended cab mini pickup trucks. The total cost including all taxes, fees, discounts and
rebates is $34,263.36.
BACKGROUND
The proposed replacement/purchase of two (2) extended cab mini pickup trucks with
specified equipment for Field Services Division is scheduled in the current 2007/08 Vehicle
Lease Fund Program. This replacement will minimize the vehicle maintenance cost and
increase the efficiency of the Field Services Division.
Normally, vehicles are purchased through the state contract in accordance with the City's
purchasing policy. Since the state buys in large volume they are able to receive a more
competitive price for vehicles 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
the like equipped extended cab mini pickup truck. The prices listed below include all taxes,
applicable fees, rebates and early payment discounts.
VENDOR COST PER UNIT TOTAL COST
Victor Buick GMC $17,131.68 $34,263.36
Coalinga Motors (State Contract) * $17,539.23 $35,078.46
Tustin Chevrolet $19,576.23 $39,152.56
State contract pricing includes (1.96%) state fee, a $500.00 discount for payment
within 20 days, state tire fees and optional equipment.
Authorization to Purchase Two Extended Cab Mini Pickup Trucks with Accessories for
Field Services
September 4, 2007
Page 2
As a result of the comparison, the most cost-effective option for the City is to purchase the
new extended cab mini pickups from Victor Buick GMC in Corona at a cost of $34,263.36.
Victor Buick GMC is a state dealer for other types of vehicles and was able to price these
trucks with discounts and incentives similar to the ones offered by the manufacture to the
state dealer for these trucks. Furthermore, the City does not have to pay the state contract
use fees (1.96%) and delivery charges when buying directly from Victor Buick GMC. This
has lowered the price of the vehicle to make it cheaper than the state dealer price.
~ •
Tim D. Serlet
Director of Public Works/City Engineer
~~~~
Wisam Altowaiji
Field Services Manager
TDS: WA: ccg: Authorization to purchase 2 trucks 9-4-07.doc