sr-041409-1bCity Council Meeting: April 14, 2009
Agenda Item: ~"~~
To: Mayor and City Council
From: Stephanie Negriff, Director of Transit Services
Subject: Provide Remanufacturing of Allison Transmissions
Recommended Action
Staff recommends that the City Council award Bid No. 2963 to provide remanufacturing
service of Allison transmissions to United Transmission Exchange. The award shall be
for athree-month period with three additional one-year renewal options.
Executive Summary
This report recommends award of a bid to United Transmission Exchange for Allison
transmission remanufacturing and installation at specified unit prices, plus applicable
sales tax, through June 30, 2009 with three additional one-year renewal options, subject
to annual budget approval. The estimated expenditure for the balance of this fiscal year
is $60,000 and funds are available in the Big Blue Bus Department budget.
The remanufacturing of transmissions for transit coaches is necessary as a normal part
of wear and tear of a bus. United Transmission Exchange is recommended to supply
this service following a formal bid process. The bid award is for a specified unit price
plus applicable sales tax for athree-month period with three additional one-year
renewal options. The estimated expenditure for the balance of the fiscal year is $60,000
with complete year expenditure estimated at $190,000. The total estimated expenditure
for the three and one-quarter year term is $630,000.
Background
Allison transmissions are installed on 135 of 197 buses in the Big Blue Bus fleet.
Typically, a bus transmission will need to be overhauled at the 300,000 mile mark,
which occurs approximately at the mid-life point of the vehicle. Historically, 24-36
vehicles per. year undergo a transmission overhaul. The re-manufacturing must be
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performed by an authorized Allison dealer, using genuine Allison parts and tested on a
dynamometer to simulate road speeds.
Discussion
In November 2008, the City published a Notice Inviting Bids to provide re-manufacturing
service of Allison transmissions on an as-needed basis in accordance with City
specifications. Bid forms were mailed to 27 vendors, posted on Planet Bids and notices
were advertised in accordance with City Charter and Municipal Code provisions. Four
bids were received and publically opened on November 25, 2008 per the pricing
attachment.
Vendor Selection
Bids were evaluated based on the firms' repair facility, qualifications of the technicians,
turnaround time .for the repair, vendor experience, and references. Based upon these
criteria, United Transmission Exchange is recommended as the most responsive bidder
to provide the required services.
Financial Impacts & Budget Actions
Funds in the amount of $190,000 are available in account 0410106.589000, "Bus
Replacement Program." Budget authority for the subsequent years will be included in
each annual proposed City budget.
Prepared by:
Ralph Merced, Transit Maintenance Manager
roved:
Forwarded to Council:
ie Negriff U d V P(. ~~mont Ewell
of Transit Services City Manager
Attachment: Pricing
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ATTACHMENT
Vendor : Dartco ' 'Los Angeles S&J Chevrolet United
Bid item Price each notes New notes New notes New notes
Ba00R $ 4,500.00 $ 5,880.00 $ 4,095.00 $ 4,395.00
B500R $ 6,500.00 $ 5,705.00 $ 7,995.00 $ 6,595.00
B300R $ 4,500.00 $ 6,320.00 $ 4,095.00 $ 4,395.00
Labor to remove & replace trans. $ 695.00 $ 1
500.00 $ 800.00 $ 1
500.00
assembly per bus , ,
Labor & associated costs Cost notes Cost notes Cost notes Cost notes
In-house labor rate per hour $ 90.00 $ 105.00 $ 80.00 $ 95.00
Field service technician hourly labor rate $ 90.00 $ 125.00 $ - $ 105.00
Field service technician overtime labor $ 90.00 - $ 187.00 $ - $ 125.00
rate
Field service technician traveling charge $ 90.00 $ 2.00 per mile $ - $ 100.00 4 hf
discount off list price on hard pans 25% to 28% 0% to 0% 25% 10% t0 25%
Payment Terms Net 30 ~ ,~ ttlo~t[14#Io2Yekt, Net 30 2% net 21
Payment terms discoun N/A N/A N/A
1 % Local Vendor Preference (forevaldation N/A N/A N/A N/A
- purposes only) '
'Total after d'escount(s)
Delivery within
Warrant 1 year from date of installation 1 year Flom date of installation 1 year from date of installation t year from date of installation
Renewal option period 2 (7/1/09 o increase o previous yea s
-
Prices. Price increase from
none offered
Same price, terms & wnditions
Same price, terms & conditions
6/30/10)
Allison as previous year as previous year
Renewal Option period 3 (7/1/10 a increased previous years
Prices. Price increase from
none offered
Same price, terms & conditions
5% change of previous year's
6!30/11)
Allison as previous year prices
Renewal option period 4 (7/1/11 o incr d previous years
Prices. Price increase from
none offered
Same price, terms & conditions
same price, terms & conditions as
6/30!12)
Allison as previous year period 3
Statement ofnon-collusion Complete s r ~sbt{5k~ttEl~t€
rs? Complete Complete
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Affidavi Complete sn ~[er£s~~at~}tt€~~t Complete Complete
Business License requirements Can comply a~9~t~1t~t2d Can comply Can comply
Oaks Initiative Disclosure Form In~o~rtpt~te rr n
o~~n~
tttecf Complete Irloof~pt~f2
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Comply with specifications Can comply Cannot
comply' Can comply Can comply
Addendum 1 Complete ~~ 'G+tots~6~ttfed iit55~sEtbrYlttfec~ ` `" Complete
canno compywi en or
must have Dyno that shifts
NOteS transmissions and is able to test
Allison World electronic
transmissions