TO:
Honorable Mayor and Members of the City Council
THROUGH:
Bruce Moe, City Manager
FROM:
Steve Charelian, Finance Director
Mike Grafton, Equipment Maintenance Supervisor
Mario Hernandez, Purchasing Supervisor
SUBJECT:Title
Consider Awarding Bid No. 1287-23 to Fairway Ford for the Purchase of One Ford F-550 Truck Chassis for the Public Works Department in the Amount of $53,116 and Appropriate $85,000 from the Fleet Management Fund (Finance Director Charelian).
A) APPROVE
B) APPROPRIATE FUNDS
Line
_________________________________________________________
Recommended Action
RECOMMENDATION:
Staff recommends that the City Council:
A) Award Bid No. 1287-23 to Fairway Ford for the purchase of one Ford F-550 truck chassis for the Public Works Department in the amount of $53,116; and
B) Approving an Appropriation of $85,000 from the Fleet Management Fund.
Body
FISCAL IMPLICATIONS:
The estimated cost for the purchase and installation of a new chassis to a damaged Ford F-550 aerial truck is $85,000. The expected cost for the chassis purchase from Fairway Ford is $53,116 and an estimated $31,884 is required for outfitting the vehicle. An appropriation of $85,000 from the unreserved Fleet Maintenance Fund balance is required to complete the purchase and installation. As the purchase and installation are related to damages to the vehicle covered by the City’s insurance policy, a reimbursement request will be submitted to the City’s Insurer after the installation is complete. Staff anticipates recuperating all costs paid in excess of the policy’s $10,000 deductible.
BACKGROUND:
On August 18, 2022, the aerial truck caught on fire along the driver side engine area of the vehicle while in use. This event is currently still under investigation. Public Works aerial lift trucks consist of two main parts: the truck chassis cab and the aerial lift truck equipment. This fire damaged the truck chassis cab, but did not affect the aerial lift truck equipment.
The truck was returned to the Public Works Yard for further evaluation and was determined to be non-repairable. However, the aerial lift portion of the truck was deemed to be in working order and will be able to be transferred to a new truck chassis cab for continued use. As the aerial lift equipment is functional, staff recommends installing it on a new F-550 chassis cab.
DISCUSSION:
This purchase is for one replacement vehicle for the Public Works Department. The vehicle proposed to be replaced is two years old, with less than 400 miles, and has a chassis that has been declared a “total loss” due to the fire damage sustained. The Water, Streets, and Facilities Sections of the Public Works Department utilize this vehicle. The selection of the replacement vehicle has been approved by 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. A total of four bid responses were received for this vehicle. The bid comparison (Attachment 1) 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. 1287-23 to the lowest responsive bidder, Fairway Ford, for the purchase of one Ford F-550 truck chassis in the amount of $53,116. If this purchase is approved, the existing vehicle will be declared surplus and sent to auction for the highest attainable value. The new vehicle will arrive in approximately 25-30 weeks.
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. 1287-23 Comparison for F550 Chassis