TO:
Honorable Mayor and Members of the City Council
THROUGH:
Bruce Moe, City Manager
FROM:
Steve S. Charelian, Finance Director
Mike Grafton, Equipment Maintenance Supervisor
Mario Hernandez, Purchasing Supervisor
SUBJECT:Title
Consideration to Award Bid No. 1294-23 to Penske Chevrolet for the Purchase of One Budgeted Chevrolet Silverado for the Police Department in the Amount of $57,547.81 (Finance Director Charelian).
APPROVE
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Recommended Action
RECOMMENDATION:
Staff recommends that the City Council award Bid No. 1294-23 to Penske Chevrolet for the purchase of one budgeted Chevrolet Silverado vehicle for the Police Department in the amount of $57,547.81.
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FISCAL IMPLICATIONS:
Funds totaling $55,000 are budgeted in the Fiscal Year 2022-2023 Fleet Management Fund for the purchase and equipping of this vehicle. The lowest responsive bid for the selected replacement vehicle has a purchase price of $57,547.81. With an anticipated cost of about $5,000 to equip this vehicle, the total estimated cost for replacement is approximately $62,547.81. The additional funds necessary to purchase and equip this vehicle will utilize the available budget within the Fleet Management Fund. There are no additional fiscal implications at this time.
BACKGROUND:
The Fiscal Year 2022-2023 budget includes funding for the purchase of 14 vehicles in the City’s fleet in order to retain service levels, reduce repair costs and provide for cost-effective fleet operations.
DISCUSSION:
This proposed purchase is for one replacement vehicle for the Police Department and utilized by the Detective Bureau. The vehicle proposed to be replaced is over 13 years old, with mileage of 90,000, and has reached the end of useful serviceability for the department’s purposes. The selection of the replacement vehicle has been approved by the Police Department and the City’s Equipment Maintenance Supervisor.
The Request for Bids was posted on the City’s website, as well as OpenGov, a public bid notification board. Four bid responses were received for this vehicle. The attached bid comparison lists the aggregate price, including sales tax, fees and payment discounts (the lowest bid is indicated in bold font).
Based on these bids, staff recommends that the City Council award Bid No. 1294-23 to the lowest responsive bidder, Penske Chevrolet, for the purchase of one Chevrolet Silverado vehicle in the amount of $57,547.81. If this purchase is approved, the existing vehicles will be declared surplus and sent to auction for the highest attainable value. The new vehicle will arrive in approximately six to eight months.
PUBLIC OUTREACH:
This bid was advertised on the City’s website, as well as OpenGov, a public bid notification board.
ENVIRONMENTAL REVIEW:
The City has reviewed the proposed activity for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a “Project” as defined under Section 15378 of State CEQA Guidelines; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is necessary.
LEGAL REVIEW:
The City Attorney has reviewed this report and determined that no additional legal analysis is necessary.
ATTACHMENT:
1. Bid No. 1294-23 Comparison