Report to Mayor and City Council
Wednesday, March 06, 2024
Consent
SUBJECT:
Title
CONSIDER APPROVAL OF A PURCHASE ORDER TO NATIONAL AUTO FLEET GROUP, FOR ONE NEW ELECTRIC POWERED 2024 FORD F-150 LIGHTNING PICK-UP TRUCK FOR THE PUBLIC SAFETY DEPARTMENT (CITY COUNCIL)
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I. SUMMARY
The Public Works Department, in conjunction with Public Safety, is seeking approval to purchase a new electric Ford F-150 Lightning pick-up truck. In recent years, Carson has experienced an increase in demand for public services, expanding our workforce. As a result, our current fleet of vehicles has become insufficient to meet the growing needs of our residents. The proposed new pick-up truck would primarily be used to transport license plate reading trailers to various locations throughout the city, thereby increasing the safety of our community. Integrating electric vehicles into the fleet demonstrates the department's commitment to modernization and innovation, setting a positive example for the community and encouraging the adoption of sustainable practices. In general, investing in an electric pickup truck not only fulfills the department's operational needs but also promotes environmental stewardship.
The Purchasing Manager has waived the bidding requirements and requirement to enter into a contract, as permitted under the Carson Municipal Code Section 2611(g) and Section 2606(b)(ii) (Exhibit 2).
II. RECOMMENDATION
Recommendation
TAKE the following actions:
1. WAIVE the formal bidding procedures as defined by the Carson Municipal Code, Section 2610; and
2. AUTHORIZE the Purchasing Manager to issue a Purchase Order in the amount not to exceed $57,386.73 for purchase of one new electric powered 2024 Ford F-150 Lightning Pick-Up Truck (Exhibit 1).
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III. ALTERNATIVES
TAKE another action the City Council deems appropriate, and consistent with the requirements of the law
IV. BACKGROUND
Section 2611(g) of the City’s Municipal Code (“CMC”) allows the City, through its Purchasing Manager, to dispense with competitive bidding processes to purchase materials, supplies, equipment, or services by utilizing a cooperative purchasing program engaged in by any local, county, State, or Federal public entity or entities, even if the contracts and implementing agreements entered into by the participating entity or association under those cooperative purchasing programs were not entered into pursuant to a process that resulted in the contract being awarded to the lowest responsible and responsive bidder under CMC 2610(i); provided, that the participating entity or association’s contract is current, the solicitation is within three years of City’s approval of the City contract entered into with the selected bidder via cooperative purchasing, or written justification is provided justifying use of an older solicitation. The City Council has made a determination that the benefits to the City of utilizing cooperative purchasing outweigh any incremental higher price that may be paid by City in certain instances as a result of not soliciting directly utilizing the lowest responsible and responsive bidder standard under CMC 2610(i).
Sourcewell is a cooperative purchasing agency established to allow participating municipal agencies to reduce the cost of procurement by leveraging the benefits of contract purchasing. Through solicitations, Sourcewell contracts bring considerable value and efficiencies to members through nationally leveraged contracted suppliers with access to the highest quality products and brands. Each solicitation and RFP contain language, which includes all qualified customers in all fifty states. Sourcewell contract purchasing solutions are reviewed by the Sourcewell Board of Directors and awarded on the members' behalf. The City of Carson (ID# 38521) is a member of Sourcewell.
The Public Works Fleet Maintenance Division is responsible for the upkeep and repair of the City's fleet, consisting of 250 vehicles and equipment. They also develop specifications for new vehicle and equipment requests. Although the initial cost of purchasing electric vehicles may be higher than that of conventional vehicles, the long-term operational and maintenance costs are significantly lower. This is because electric vehicles have fewer moving parts, resulting in reduced maintenance and repair expenses. Additionally, the cost of charging these vehicles tends to be less expensive than gasoline or diesel, leading to substantial savings in fuel costs for the city. By investing in electric vehicles now, the city can benefit from significant cost savings over the lifespan of these vehicles.
National Auto Fleet Group remains a member of the Sourcewell cooperative purchasing agency and Contract #091521-NAF will be used for this purchase (Exhibit 3). The total amount for the electric F-150 Lightning truck is $57,386.73.
The City’s Purchasing Manager has waived the formal bidding process for purchase of the vehicle as permitted under Section 2611(g) of the CMC (Exhibit 2). Finally, it should also be noted that Section 2606(b)(ii) of the CMC requires the City to enter into a contract for purchases of any personal property, including materials, supplies and equipment, of $75,000 or more over a fiscal year, unless the Purchasing Manager waives this requirement. The Purchasing Manager has waived such contract requirement for purchase of the electric van (Exhibit 2).
V. FISCAL IMPACT
None. The funding requested for this Purchase Order for $57,386.73 is budgeted in the General Fund account no. 101-55-592-158-8003.
VI. EXHIBITS
1. Quotation/Equipment Specifications from National Auto Fleet Group
2. Purchasing Waiver
3. Sourcewell Contract
Prepared by: Dr. Arlington Rodgers, Public Works Director & Freddy Loza Public Works Superintendent, Facilities and Fleet