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SR-6-J (13) . . b-J :?-~Ct93 SEP 1 ~ 'q!{j ,l L~" PURCH:EOB:PW:klc Santa Monica, California f2301cc Council Meeting: September II, 1990 TO: Mayor and city Council FROM: city staff SUBJECT: Recommendation to Award Bid to Furnish and Deliver OEM New and Rebuilt Valve Heads, Turbos, Blowers and Engine Parts, Bid #2301 Introduction This report concerns award of bid to furnish and deliver original equipment manufacturer ( OEM) new and rebuilt valve heads, turbos, blowers and engine parts for the Transportation Department, at specified unit prices, including applicable sales tax, with two one-year renewal options. Background In response to published Notices Inviting Bids (published June 18 and 19, 1990) to furnish and deliver OEM new and rebuilt valve heads, turbos, blowers and engine parts in accordance with City specifications, bids were received and publicly opened and read on July 10, 1990. Proposal forms were mailed to four vendors and notices were advertised in accordance with City Charter and Municipal Code provisions. Two proposals were received as follows: VALLEY ASSOCIATED DETROIT DIESEL SERVICE DIESEL AND EQUIPMENT l. New Valve Head 602.86 1,245.00 2. Rebuilt Valve Head 306.00 828.75 - 1 - 6-J SEP i 1 l~90 . VALLI ASSOCIATED DETRO DIESEL SERVICE DIESEL AND EQUIPMENT 3. New turbo head 602.86 1,150.00 4. Rebuilt turbo head 306.00 478.40 5. New Valve Heads 704.76 1,375.00 6. Rebuilt Valve Heads 354.00 916.25 '1. Blowers for Valve Heads (6V) 360.50 455.00 8. Blowers for Valve Heads (8V) 285.81 485.00 The reason for the wide spread in prices is due to the fact that Valley Detroit Diesel is the sole distributor for Detroit Diesel corporation in Southern California. Associated Diesel service and Equipment is a dealer and, therefore, obtains their parts from Valley Detroit Diesel. There is no other sole distributor in Southern California other than Valley Detroit Diesel. staff has evaluated the low bid and finds that it meets city specifications. B~dqet/!inan~ial_ ~mpact As the materials are drawn out of inventory, they will be expensed against available FY 1990/91 appropriation authority in the Transportation Department. Recommendation It is recommended that the award of Bid #2301 be made to Valley Detroit Diesel at specified unit prices, including applicable sales tax, with two one-year renewal options, as the lowest and best bidder. Prepared By: E. O. Barnes, PurChasing Agent Pam Wortham, Assistant PurChasing Agent 09/04/90 - 2 -