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HomeMy WebLinkAboutStaff Report 3.B 11/19/2018DATE: November 19, 2018 TO: Honorable Mayor and Members of the City Council through City Manager FROM: Dan St. John, KASCE — Director, Public Works and Utilities Kent Carothers, P.E. — Operations Manager SUBJECT: Resolution Approving Purchases of Three Utility Trucks from Henry Curtis Ford, Hansel Auto Group in the Amount of $128,994.21 and Authorizing the City Manager to Execute all Documents Necessary to Complete the Purchase RECOMMENDATION It is recommended that the City Council adopt the attached Resolution Approving Purchase of Three Utility Trucks from Henry Curtis Ford, Hansel Auto Group in the Amount $128,994.21 and Authorizing the City Manager to Execute all Documents Necessary to Complete the Purchase. BACKGROUND There are three trucks, used daily in the Public Works and Utilities Department, that need to be replaced. One vehicle is currently out -of -service and repairs are too costly. The other two vehicles have 100,000 miles and after assessment of their conditions, it is estimated that the mechanical issues each vehicle has will result in repair costs that are over their current value. The budget requests to purchase replacements for these trucks were approved in the 18/19 budget. DISCUSSION The 2005 model traffic signal truck, with 112,000 miles is currently out -of -service due to an inoperable transmission. The 2005 model signs truck, with 103,000 miles is in-service but has a failing main engine bearing. The 1997 model water truck, with 99,224 miles is in-service, but needs repair to the front suspension, a new wiring harness, front seat replacement, and engine repairs to eliminate misfiring. Specifications were developed for service maintenance trucks and an Invitation to Bid was issued on September 10, 2018. On October 10, 2018, one bid for the three trucks was received from Henry Curtis Ford of the Hansel Group for a total bid of $128,994.21. This price compares favorably to the State Purchasing Consortium prices. FINANCIAL IMPACTS The truck purchases were approved in the FY 18/19 budget for a total of $153,042, and the final bids came in under budget. Specifically, the traffic signals budget is $50,110, compared to a purchase price of $40,074.32. The Streets/Signs budget is $50,110, compared to a bid price of $43,995. The Water budget is $52,822.23, compared to a purchase price of $44,924.89. ATTACHMENTS 1. Resolution 2 ATTACHMENT #1 RESOLUTION APPROVING PURCHASES OF THREE UTILITY TRUCKS FROM HENRY CURTIS FORD, HANSEL AUTO GROUP IN THE AMOUNT OF $128,994.21 AND AUTHORIZING THE CITY MANAGER TO EXECUTE ALL DOCUMENTS NECESSARY TO COMPLETE THE PURCHASE WHEREAS, the City of Petaluma's Public Works and Utilities Department seeks to purchase three utility trucks to replace one inoperable vehicle and two vehicles whose repairs exceed their value; and WHEREAS, the City conducted a competitive bidding process for the maintenance trucks in compliance with Petaluma Municipal Code section 4.04.080 by preparing and distributing an Invitation to Bid to furnish three maintenance trucks with service bodies; and WHEREAS, an Invitation to Bid was issued on September 10, 2018, and one bid was received and opened on October 10, 2018 in accordance with applicable law and WHEREAS, the lowest responsible bidder for the vehicles was submitted by Henry Curtis Ford of Petaluma, Hansel Auto Group for $128,994.21; and WHEREAS, the Public Works & Utilities Department will utilize budgeted funds from fiscal year 18/19 to purchase the vehicles; and WHEREAS, at the time of replacement, staff may reassign the existing three trucks to a lower value purpose or declare the vehicles as surplus. If declared surplus, the vehicles will be sold at auction. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Petaluma hereby approves the purchase of three utility trucks in the amount of $128,994.21 from Henry Curtis Ford of Petaluma and authorizes the City Manager to execute all necessary documents to complete the purchase.