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SR-205-003 (622) F:\FINANCIALOPERATIONS\PURCHASING\STFRPTS\SRBD2894.DOC Council Meeting: December 13, 2005 Santa Monica, California TO: Mayor and City Council FROM: City Staff SUBJECT: Award Bid to Provide Body Repair and Painting Services to Transit Coaches, Bid #2894 Introduction This report recommends award of bid to provide body repair and painting services to transit coaches for the Big Blue Bus Department at specified labor rate, with two one-year renewal options. The estimated annual expenditure is $300,000. Background The Big Blue Bus requires body repair and painting services for transit coaches that are damaged in accidents. It is essential that repairs be made promptly to preserve acceptable customer service levels. Discussion In September 2005, the City published Notices Inviting Bids to provide body repair and painting services to transit coaches in accordance with City specifications. Bids were received and publicly opened and read on October 17, 2005. Bid forms were mailed to fourteen vendors and notices were advertised in accordance with City Charter and Municipal Code provisions. Six bids were received as follows: - 1 - LABOR RATE VENDOR Carlos Guzman, Inc. $32.00 /hour Smith & Hartford Coach Works $35.00 /hour Westway Industries $38.00 /hour Quality Fleet & Truck Centers $45.00 /hour Los Angeles Freightliner $56.00 /hour Inland Body & Paint Center $60.00 /hour In order to reduce the number of days damaged buses are out of service, award of this bid should be allocated amongst the three top ranking bidders in the proportions listed in the “Recommendation” section. Staff has evaluated the bids submitted by Carlos Guzman, Inc., Smith & Hartford Coach Works, and Westway Industries and finds that they meet City specifications. All three bidders will comply with the Living Wage Ordinance and have signed and submitted the Living Wage Certification. Budget/Financial Impact Funds in the amount of $300,000 are available in account 41651.555011 for FY05/06. Budget authority for the subsequent years will be included in each annual proposed City budget. - 2 - Recommendation It is recommended that City Council split the award of Bid #2894 as follows: 1. Award 60% of anticipated work to Carlos Guzman, Inc.; 2. Award 30% of anticipated work to Smith & Hartford Coach Works; and 3. Award 10% of anticipated work to Westway Industries at specified labor rates, with two one-year renewal options, as the best bidders. Prepared By: Diane Howell, Purchasing Agent Richard Chiu, Senior Buyer Stephanie Negriff, Director of Transit Services Joe Stitcher, Assistant Director of Transit Operations Ralph Merced, Transit Maintenance Manager - 3 -