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SR-205-003 (609) Purch:DH:RAH: F:\FINANCE\PURCH\STFRPTS\SRBD2866.DOC Council Meeting: April 27, 2004 Santa Monica, California TO: Mayor and City Council FROM: City Staff SUBJECT: Award Bid to Furnish and Deliver One Mainline Truck, Bid #2866 Introduction This report recommends award of bid to furnish and deliver one mainline truck for the Water Division, Environmental & Public Works Management Department, in the total amount of $127,809.70, including applicable sales tax, funded by contributions from the Water Fund to the Vehicle Replacement Program. Background The compressed natural gas (CNG) powered mainline truck will be used by Water personnel to carry tools and equipment necessary to maintain the flow of water to the public. It will transport an assortment of tools and equipment such as excavation equipment, shovels, jackhammers, and compressors. In addition, it is equipped with welding equipment and self-sustaining electric generating equipment that provides power to an assortment of tools and lighting. It will also serve as an emergency mobile working site without the need to make numerous trips for inventory, equipment, and fuel. The Mainline Construction Crew will use this vehicle to perform routine installations of water mains throughout the city as well as respond to emergency 1 repairs. It will replace a 1986 mainline truck which is no longer cost effective to maintain and is part of the Vehicle Replacement Program. Discussion In October 2003, the City published Notices Inviting Bids to furnish and deliver one mainline truck in accordance with City specifications. Bids were received and publicly opened and read on October 22, 2003. Bid forms were sent to thirty-five vendors and notices were advertised in accordance with City Charter and Municipal Code provisions. Two bids were received as follows: VENDOR AMOUNT Reynolds Buick/GMC Trucks, Inc. $ 99,005.44 Los Angeles Freightliner $127,809.70 The bid submitted by Reynolds Buick/GMC Trucks, Inc does not meet City specifications in several critical areas as follows: ? Engine – Bid specifications required an engine of 8.3 liters minimum and Reynolds Buick/GMC Trucks, Inc. offered only 8.1 liters. Specifications also asked for a minimum of 660lbs/ft torque and Reynolds Buick/GMC Trucks, Inc. offered 440lbs/ft of torque. Maximum available torque is required due to the combined weight of the vehicle and the tools and equipment it carries. In addition, this vehicle will tow a portable compressor. An engine with less than 660lbs/ft of torque would reduce the effectiveness of the vehicle and impact 2 department operations. In reviewing the specification sheet provided by Reynolds Buick/GMC Trucks, Inc., the torque numbers given in its bid are for a gasoline engine, not CNG. ? Fuel Tanks – Bid specifications required that the CNG fuel tanks be frame mounted underneath the left and right cab doors to keep the overall length to a minimum. The shortest possible length is needed to allow this vehicle access to City alleys and other confined areas. Reynolds Buick/GMC Trucks, Inc. offered a vehicle with frame mounted between cab and body, which increases the vehicle’s overall length. ? Transmission – Bid specifications required a 6-speed MD-3060 transmission and Reynolds Buick/GMC Trucks, Inc. offered a 2000 Series 5-speed transmission. The 6-speed MD-3060 is a heavier duty transmission and helps increase fuel economy. Reynolds Buick/GMC Trucks, Inc.’s bid also stated that its transmission is the “largest automatic available with gasoline engine” but the City’s specifications asked for a dedicated CNG engine. ? Air Brakes – Bid specifications required air brakes and Reynolds Buick/GMC Trucks, Inc. offered hydraulic brakes. Air brakes are required to maximize safe stopping of this heavyweight vehicle. Staff has evaluated the bid submitted by Los Angeles Freightliner for one CNG powered mainline truck and finds that it meets City specifications. The purchase of this CNG powered mainline truck from Los Angeles Freightliner is consistent with the City’s reduced emissions fuel policy. 3 Budget/Financial Impact Budget authority for this purchase is in the Capital Improvement Budget account number C54016700.589000, “Fleet Vehicles Replacement Program”. Recommendation It is recommended that City Council: 1. Reject the bid submitted by Reynolds Buick/GMC Trucks, Inc.; and 2. Award Bid #2866 to Los Angeles Freightliner as the best bidder for one CNG powered mainline truck, in the total amount of $127,809.70, including applicable sales tax. Prepared By: Dave Rodriguez, Fleet Maintenance Supervisor Diane Howell, Purchasing Agent Richard Chiu, Buyer 4