Report to Mayor and City Council
Tuesday, February 18, 2020
Consent
SUBJECT:
Title
CONSIDER APPROVAL OF THE PURCHASE OF ONE NEW 2020 CHEVROLET EXPRESS CARGO VAN RWD 2500 155” THROUGH A PURCHASE ORDER WITH NATIONAL AUTO FLEET GROUP (WATSONVILLE, CA); OR A LOCAL DEALERSHIP, IF THE PRICE IS EQUAL TO OR LESSER THAN THE COOPERATIVE AGREEMENT PRICE (CITY COUNCIL)
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I. SUMMARY
Public Works is requesting City Council to approve the purchase of one new 2020 Chevrolet Express Cargo Van RWD 2500 155”, in the amount of Twenty Seven Thousand Three Hundred and Forty-Three Dollars and Sixteen Cents ($27,343.16) through a purchase order with National Auto Fleet Group (Watsonville, CA); or a local dealership, if the price is equal to or lesser than the cooperative agreement price.
II. RECOMMENDATION
Recommendation
TAKE the following actions:
1. WAIVE the formal bid process defined by the Carson Municipal Code, Section 2607, as allowed by Section 2605 (1) (ii).
2. AUTHORIZE the Purchasing Division Manager to utilize Cooperative Purchasing, as allowed by Section 2611 (g), and issue a purchase order in the amount of Twenty Seven Thousand Three Hundred and Forty-Three Dollars and Sixteen Cents ($27,343.16) for one New 2020 Chevrolet Express Cargo Van RWD 2500 155” to National Auto Fleet Group (Watsonville, CA); or a local dealership if the price is equal to, or lesser than, the cooperative agreement price.
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III. ALTERNATIVES
1. DO NOT WAIVE the formal bid process.
2. DO NOT AUTHORIZE the Purchasing Division Manager to utilize Cooperative Purchasing, as allowed by Section 2611(g) and issue a purchase order.
3. TAKE another action the City Council deems appropriate, consistent with the requirements of the law.
IV. BACKGROUND
The Public Works Department maintains a fleet of vehicles that are used by City staff while performing their daily work. Replacement of worn-out vehicles is part of the ongoing effort to maintain fleet reliability and sustainability. By replacing vehicles and equipment at the end of their service life, the City reduces maintenance and repair costs, decreases downtime, and increases safety.
The Custodial Services Sub-Division is responsible for servicing and maintaining the twelve Park Facilities, two Aquatic Centers, two swimming pools, City Hall, Corporate Yard, and the Veteran’s Sports Complex.
The 2007 Ford Econoline Van (vehicle number 1161) is routinely used by custodial crews for the purpose of maintaining Park Facilities and is routinely in-the-field six days a week.
This van has been in service for 12 years, has reached the end of its service life, and is recommended for replacement. Within the past year, the vehicle has been frequently repaired, due to mechanical breakdowns. Vehicle #1161 will be disposed of through Ken Porter Auctions once the replacement vehicle is received and proceeds will go to General Fund.
Sourcewell is a contracting 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 efficiency to members, through nationally leveraged contracted suppliers with access to the highest quality products and brands. Each solicitation and Request for Proposal contains 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 Number 38521) is a member of Sourcewell.
A Sourcewell quote for this vehicle was prepared for the City on January 14, 2020. The price for a new 2020 Chevrolet Express Cargo Van is Twenty Seven Thousand Three Hundred and Forty-Three Dollars and Sixteen Cents ($27,343.16). A Chevrolet brand van was recommended in lieu of a Ford as Ford is no longer producing the E Series vans.
Staff recognizes the importance of “greening the fleet,” but this vehicle would not be suitable for an alternative fuel solution, as the CNG tanks would result in a decrease in cargo, payload, and towing capacities to the extent that the vehicle would not meet the minimum specifications for this particular application.
The Purchasing Division would like to reserve the right to source local vendors for this purchase, to ensure that the City is receiving the lowest price available.
The City Attorney’s Office was consulted for this purchase and advised that a purchase contract is not necessary.
V. FISCAL IMPACT
No funds are being requested as part of this staff report. Funds for this purchase were allocated in the FY 2019-2020 Capital Asset Replacement Fund for Purchase and/or Disposal for Fleet Realignment, (Account No. 638-99-999-999-8003).
The current balance is $292,579.91.
VI. EXHIBITS
1. Quotation/Vehicle Specifications from National Auto Fleet Group. (pgs. 4-12)
Prepared by: Jeff Wenda, Custodial Supervisor and Garrett Roberts, Administrative Analyst