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Council Meeting November 24, 1998 Santa MOnica, California
TO Mayor and City Council
FROM City Staff
SUBJECT Recommendation to Award Bid to Furnish and Deliver One 14,000 Gross
Vehicle Weight Rated (GVWR) Cab and ChassIs with Dump Body, Bid
#2691
Introduction
This report recommends award of bid to furnish and deliver one 14,000 GVWR cab and
chassIs with dump body for the Wastewater DIvIsion, Environmental and Public Works
Management Department, In the total amount of $37,780 34, including applicable sales
tax
Backaround
In response to published Notices Inviting Bids (published May 28 and 29, 1998) In
accordance with City specIfications, bids were received and publ1cly opened and read on
September 1, 1998 Proposal forms were mailed to eleven vendors and notices were
advertised In accordance With City Charter and MUnicipal Code prOVISions Four
proposals were received as follows
VENDOR AMOUNT
(gasoline powered)
1 Robert Loud Ford $34,74825
2 Maurice Sopp & Son $37,78034
3 Bob Beaty Ford $37,92000
4 Midway Ford $39,401 86 he
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The new dump truck will replace a 1985 GMC truck and will be used to haul debris from
various Job sites
The low bid submitted by Robert Loud Ford IS non-responsive Ford Motor Company does
business m Burma and IS mconSlstent with the City's Burma Policy (Resolution #8966)
They bid a 1999 Ford dump truck Staff has evaluated the bid submitted by Maurice Sopp
& Son for a 1999 Chevrolet dump truck and fmds that It meets the City's speCifications
Chevrolet IS not domg business In Burma
There are no alternative fuel engines available at thiS tIme The purchase of thiS gasoline
powered vehicle IS consistent With the City's reduced emISSions fuel poliCY There IS no
California Air Resources Board (CARB) approved conversion kit available for thiS vehicle
at thIS tIme, and there IS no estimate of when a CARB approved converSion kit Will be
available to convert the vehicle to compressed natural gas
Budget/Financial Imcact
Fiscal Year 1998-99 appropriation authOrity for thiS purchase IS m the Capital
Improvement Budget, account number 54-710-461-20098-8900-99167. "Fleet Vehicle
Replacement Program"
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Recommend atlon
It IS recommended that Council reject the bid submitted by Robert Loud Ford and that
award of Bid #2691 be made to Maurice Sopp & Son In the total amount of $37,78034,
including applicable sales tax, as the most responsible bidder
Prepared By Pam Wortham, Purchasing Agent
Marganta Lee, Buyer
Ralph Merced, Fleet Maintenance Superintendent
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III. LOAN TERMS
Term
Permanent loans shall be due and payable m fifty-five (55) years subject to the terms of the
applIcable Regulatory Agreement or recorded Covenants Where necessary In order (0 meet the
reqUIrements for other project fundmg, the Housmg and Redevelopment Manager may approve a
shorter loan term However. m no case shall a Regulatory Agreement or recorded Covenant remam
m effect for fewer than 55 years
Interest Rate
The mterest rate shall be set at eIther
(1) the rate estabhshed by the Federal Home Loan Mortgage CorporatIOn for the average
conventional commItment of a fixed rate, tlnrty-year (30) mortgage. and shall be
compounded annually. or
(2) when necessary to secure mvestor eqUIty, mterest rates of affordable housmg projects that
mclude tax credIts or conventIOnal lenders, at 3% SImple mterest, or
(3) when the Cny! Agency loan IS m a second posmon to a first trust deed capItal advance/loan
made under the US Department of Housmg and Urban Development (HUD) SectIOn 202
or SectIOn 811 Programs. the mterest rate shall not exceed the lnghest permISSIble rate on the
apphcable HUD SectIOn 202 or SectIon 811 Program mortgages, under authOrIty of Chapter
. 24 of the Code of Federal RegulatIOns (CFR). Subpart 885 41O(g). or
(4) when requued m order to meet federal subSIdy layenng gUIdelInes. at the ApplIcable Federal
Rate (that rate established by the Internal Revenue SerVIce pursuant to SectIOn 1274(d)(1)
of the Internal Revenue Code)
The Cny ManagerlExecutIve DIrector may WaIve or reduce the mterest rate as needed to ensure the
feasIbIhty of projects
Payments
Payments on permanent loans shall be made as follows
(1) Payments of pnnclpal and Interest may be deferred for up to two (2) years from the date of
execution of the loan. and up to three (3) years from the date of executIOn of the loan WIth
approval of the Cny Manager or Executive DIrector of the Redevelopment Agency of the
CIty of Santa MOllIca After the eXpIratIon of the deferral penod. payments of pnnclpal and
mterest shall be made annually m an amount equal to 50% of project ReSIdual ReceIpts, If
any. as approved by the CIty! Agency Payments shall be apphed first to accrued mterest, and
then to pnnclpal
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Consolidated Rental Housing Trust Fund GUidelines Page 5
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VENDOR AMOUNT
(Gasoline Powered)
1 Midway Ford $28,74551
2 Maurrce Sopp & Son 542,195 82
3 Bob Beaty Ford $49,517 88
4 Robert Loud Ford $50,026 66
5 Murray's Truck Center $55,927 64
The new stake bed truck will replace a 1985 Dodge stake bed truck and will be used to
transport tools and matenals to vanous Job sites
The low bid submitted by Midway Ford IS non-responsive Ford Motor Company does
business In Burma and IS Inconsistent with the City's Burma Policy (Resolution #8966)
They also failed to mclude a quote for a utility body as requIred m City specifications Staff
has evaluated the bid submitted by Maurice Sopp & Son for a Chevrolet truck and finds
that It meets the City's specifications Chevrolet IS not domg busmess In Burma
There are no alternative fuel engines available at thIS time The purchase of thiS gasoline
powered vehicle IS consistent With the City's reduced emiSSions fuel polley There IS no
Callforma Air Resources Board (CARB) approved converSIon kit avaIlable for thIS vehIcle
at thiS time, and there IS no estimate of when a CARB approved conversion kit will be
avaIlable to convert the vehicle to compressed natural gas
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BudaetfFlnanclallmoact
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Fiscal Year 1998-99 appropnatlon authonty for this purchase IS In the Capital
Improvement Budget, account number 54-710-461-20098-8900-99167, "Fleet Vehicle
Replacement Program"
Recommendation
It IS recommended that Council reject the bid submitted by Midway Ford and award of Bid
#2694 be made to Maurice Sopp & Son In the total amount of $42,195 82, including
applicable sales tax, as the most responsible bidder
Prepared By Pam Wortham, Purchasing Agent
Marganta Lee, Buyer
Ralph Merced. Fleet Mamtenance Superintendent
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