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HomeMy WebLinkAbout09 PURCHASE TRUCK 04-17-06 AGENDA REPORT MEETING DATE: APRIL 17, 2006 TO: WILLIAM A. HUSTON, CITY MANAGER FROM: PUBLIC WORKS DEPARTMENT/FIELD SERVICES DIVISION SUBJECT: AUTHORIZATION FOR THE STATE TO PURCHASE ONE FLATBED/DUMP TRUCK SUMMARY Approval of Resolution No. 06-48 will authorize the General Services Department of the State of California to purchase a current model year Flatbed/Dump Truck on behalf of the City of Tustin. RECOMMENDATION It is recommended that the City Council approve Resolution No. 06-48 authorizing the General Services Department of the State of California to purchase a current model year Flatbed/Dump Truck on behalf of the City of Tustin. FISCAL IMPACT Adequate funds are currently available in the Lease Fund Budget, Account # 84-801-9720 for the purchase of this Flatbed/Dump Truck. The total cost including all taxes and State fees is $30,440.93. DISCUSSION The proposed purchase of the Flatbed/Dump Truck with the specified additional equipment will replace an existing unit that was scheduled for replacement in 2005, and will increase the efficiency of the Street maintenance operations in 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 than the City. Staff reviewed published prices obtained from local vendors and compared these prices to those contained in the State contract. Staff also contacted a number of local dealers in the area and received the following prices for a like equipped truck. The prices listed below include all taxes, applicable fees and early payment discount. Authorization for the State to Purchase one Flatbed /Dump Truck April 17, 2006 Page 2 One Flatbed/Dump Truck as Specified State Cab & Chassis Specified Total Unit Vendor Contract Truck Flatbed/Dump Cost Modifications Victor GMC YES $16,614.21 $13,826.72 $30,440.93 Guaranty Chevrolet NO $36,752.09 Included $36,752.09 Tustin Chevrolet NO NO BID . State Contract pricing includes 2.48% State Fee, a $500 Discount for payment within 20 Days and a $12.25 State tire fee. As a result of the comparison, the most cost-effective option for the City is to purchase the new Flatbed/Dump Truck is through the General Services Department of the State of California at a total cost of $30.440.93 from Victor GMC, Corona. Approval of the attached resolution allows the City to utilize the State's purchasing program to obtain one Flatbed/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 Manager Field services TDS: WA: cog: Auth State to purchase flatbed/dump truck.doc Attachment RESOLUTION NO. 06-48 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 Flatbed/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 17th day of April 2006. Doug Davert, Mayor ATTEST: City Clerk