SR-205-003 (617)
F:\FINANCIALOPERATIONS\PURCHASING\STFRPTS\SRBD2882.DOC
Council Meeting: June 14, 2005 Santa Monica, California
TO: Mayor and City Council
FROM: City Staff
SUBJECT: Award Bid to Provide Overhaul Service on Detroit Diesel Allison Engines,
Bid #2882
Introduction
This report recommends award of bid to provide overhaul service on Detroit Diesel Allison
diesel and liquefied natural gas (LNG) engines for the Big Blue Bus Department at
specified labor rate plus required parts, with two one-year renewal options. The estimated
annual expenditure is $216,500.
Background
Over the lifetime of a transit coach (12 years), diesel and LNG engines experience normal
wear and tear that may require engine replacement, head and/or cylinder repair,
turbocharger replacement, and an assortment of other engine parts to be rebuilt or
replaced. This service allows for such work to be done professionally, in a timely manner,
and on an as-needed basis throughout the year.
Discussion
In December 2004, the City published Notices Inviting Bids to provide overhaul service on
Detroit Diesel Allison diesel and LNG engines in accordance with City specifications. Bids
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were received and publicly opened and read on February 1, 2005. Bid forms were mailed
to sixteen vendors and notices were advertised in accordance with City Charter and
Municipal Code provisions. Two bids were received as follows:
VENDOR LABOR RATE
Harbor Diesel and Equipment Inc. $80 per hour
Valley Power Systems, Inc. $90 per hour
Staff has evaluated the bid submitted by Harbor Diesel and Equipment Inc. and finds that it
meets City specifications. Harbor Diesel and Equipment Inc. will comply with the Living
Wage Ordinance and has signed and submitted the Living Wage Certification.
Budget/Financial Impact
Budget authority for this purchase is in account number C410106.589000, “Bus
Components”.
Recommendation
It is recommended that the award of Bid #2882 be made to Harbor Diesel and Equipment
Inc. as the best bidder, at specified labor rate plus required parts, with two one-year
renewal options.
Prepared By: Diane Howell, Purchasing Agent
Richard Chiu, Buyer
Stephanie Negriff, Director of Transit Services
Ralph Merced, Transit Maintenance Manager
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