sr-090809-1eCity Council Meeting: September 8, 2009
Agenda Item:
To: Mayor and City Council
From: Stephanie Negriff, Director of Transit Services
Subject: Cummins Engine Overhaul Services on Transit Buses
Recommended Action
Staff recommends that the City Council award Bid No. 2978 to Cummins Cal Pacific and
Ironman Renewal in an annual amount of $200,000 to provide. engine overhaul services
on transit coaches. The proposed award is for aone-year period with three additional
one-year renewal options.
Executive Summary
Engine overhaul services are necessary as a normal part of wear and tear throughout
the useful life of a transit coach. Following a formal bid process it is recommended to
split the bid between Cummins Cal Pacific and Ironman Renewal. Cummins Cal Pacific
will be used to overhaul natural gas engines and Ironman Renewal will be used to
overhaul diesel engines. Funds in the amount of $200,000 for the current fiscal year are
available in the approved budget. Contract renewals will be subject to Council approval
of subsequent year's capital budgets. The total estimated expenditure for the four-year
term is $800,000.
Background
Over the lifetime of a transit coach (12 years), diesel and natural gas (NG) engines
experience normal wear and tear that may require engine replacement, cylinder 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.
Engine overhauls are currently not performed by Big Blue Bus staff. However, Big Blue
Bus is considering bringing this service in house after moving to its new facility.
1
Discussion
Vendor Selection
On May 7 and 8, 2009, the City published Notices Inviting Bids to provide engine
overhaul services on transit buses in accordance with City specifications. Bid forms
were posted on Planet Bids, and notices were advertised in accordance with City
Charter and Municipal Code provisions. Four bids were received and publicly opened on
May 27, 2009 per Attachment A. In order to reduce the number of days damaged buses
are out of service, award of this bid will be allocated among the two best bidders in the
proportions listed in the "Budget/Financial Impact" section below. Bids were .evaluated
based on competitive pricing, turnaround time for repairs to be made, vendor
experience, vendor performance history with the Big Blue Bus and references. Based
upon these criteria, Cummins Cal Pacific. is recommended as the best bidder for
rebuilding Cummins natural gas (NG) engines and Ironman Renewal to rebuild Cummins
diesel engines.
Budget/Financial Impact
The estimated expenditure for each fiscal year will be $200,000 and funds are available
in account. 0410106.589000, "Bus Component Replacement Program." Budget
authority for subsequent years will be included in each annual proposed budget and is
contingent upon Council approval. It is recommended that City Council split the award
of bid #2978 as follows:
• Award 90% of anticipated work to Cummins Cal Pacific LLC.
• Award 10% of anticipated work to Ironman Renewal LLC.
Prepared by:
Ralph Merced, Trarisit Maintenance Manager
2
Attachment A
Approved: Forwarded to Council:
Page 1 of 2
Purchasing Section Bid Results
_ 1717 Fourth Street, Suite 250
Santa Monica, CA 90401 BID#: 2978 BID CLOSE DATE: 5/27/2009 BID#:
Telephone: 310-458-8281 TITLE: Provide in-frame/complete engine overhaul services to OEM TITLE:
••~^^°^•• ° Fax: 310-393-6142 specifcations on Cummins bus engines including
troubleshooting and repair of the engines as required by the
Big Blue Bus.
Downey, CA ~ Long Beach
Bid Results
2978 BID CLOSE DATE: 5/27/2009
Provide in-frame/complete engine overhaul services to
OEM specifcations on Cummins bus engines including
troubleshooting and repair of the engines as required by
the Big Blue Bus.
Corona, CA
Santa Fe Springs, CA
In-frame overhaul ISB diesel
~ -" -------~ $ 17,213.53 i Includes installation
~ $ 19_,5.4.9_._00
--
" ~ "~" " " ~ $ 11,025 00
-"._ $ 6,500.00
ISL C as lus methane
9 P
$ 20,623.17 i of BBB supplied
$ 23,391.00 _.....
No bid
$
""~~~ ~"
13
500 00
Complete overhaul ISB diesel
-- ---"~-~"-~~"~ $ 22,047.14 radiator package as
stated in scope of
~ 24,973.00
$
16,182.00 includes R&R
"
$ ,
16,450 00
ISLCgas plus methane $ 31,818.64 i work $ 36,047.00 _ No bid $ 19,750.00
Rebuld
" $ 13,213 25 { Recon $ 74 900.00 Cummins recon $ 13,782 00 engine only $ 76,450.00
Rebuild cores $ 3 500 00 i Recon $ 3 360.00 $ _
5 000.00 I $ 4,500 00
ISB . ,_,,,, , Exchange N/A i _"",_ N/A $ 73,182.00 ( engine only $ 16,450.00
Diesel Exchange cores
.. N/A ' N/A $ 5 000 00 I $ 4,500.00
2000 model year "" """ ~ ~~~
New engine N/A 'were not offered new N/A ', Cost + 15% i $ 22,000.00
after 12-31-00
Rebuild N/A Recon $ 41,047.00 No bid $ 19,750.00
ISLCgas. Rebutld cores
,__, N/A Recon $ 5,000.00 ~ No bid
$
6,500.00
Engine plus
" Exchange
" " N/A (C gas+engines were
' N/A No bid $ 19,750.00
replacement methane
"~"~" -'
Exchange cores
""" ~"
offered new until 12-
NIA
"~""~
N/A ....
- -
No bid
$
--
__
6
500
00
(including - . ,.. _.. ___ _....... 37-06 & are currently ~~~~-. , _ _-. „ , .__ _. ,
.
__......_...._
labor) New engine N/A 1 not offered b recon N/A No bid $ 28,000.00
Camshaft $ 459.75,; $ 505.68 $ 634.80 `.. $ 550.00
Camshaft reman cores N/A ~ N/A $ 320 00 $ 50.00
Od pump manufactured new
$ 62.87'
$ 69.25 ~."
N/A $ 230
00
.. .._. .... only
.
. .
ISB
Balancer shaft reman cores _
.__......_ __.
N/A ....-._. _.
N/A " ... .__... .__.......
N/A ....-. ....._._.
N/A
Diesel --_„ .... _.. _ ,_._.._., .... , .. _. ....,. .._. _._. ... __.. ..._,....
Cylinder head $ 300302 $ 2,294.15 $ 2,277.00 $ 1,520.00
Cylinder head reman cores $ 162.50
-... $ 165.00 $ 1,145.00 , $ "250.00
Oil Goole $ 234.78 i $ 258.58 "-...... ........ $ 325 17 -"~ $ ."~ 190.00
Oil cooler reman cores N/A ~ N/A ~ $ 180.00 i $ 25.00
Camshaft $ 280.84 $ 309.31
" No bid $ 325.00
Camshaft reman cores N/A I _
N/A "" " No bid"" ~ $ "50.00
Oil pump ~ manufactured new
$ 275 90 ~
$ 303.87 ~ ~" - ~"~~~
No bid ~~
$ ~" ~ ""
230 00
ISLCgas. _ .. only
.._ .... _. ..., ...~ .... ..
plus
~ Balancer shaft reman cores
~ ~
N/A N/A No bid N/A
methane Cylmder head $ 7,714 58 ~ $ 1,963.77 No bid $ 1,52000
Cylmder heatl reman cores
$ 762.50
$ 765.00 ""_
No bid
$ "
250.00
OII Goole $ 233 27 $ 256.97 """" No bid"" $ 190.00
Oil cooler reman cores N/A N/A No bid $ 25.00
not
Date 8/27/2009
Page 2 of 2
Purchasing Section
_ 1717 Fourth Street, Suite 250
Santa Monica, CA 90401 BID#:
Telephone: 310458-8281 TITLE:
°°•° `•°••'••^' Faz: 310-393-6142
Bid Results
2978 BID CLOSE DATE: 5/27/2009 BID#:
Provide in-frame/complete engine overhaul services to OEM TITLE:
specifications on Cummins bus engines including
troubleshooting and repair of the engines as required by the
Big Blue Bus.
Bid Results
2978 BID CLOSE DATE: 5/27/2009
Provide in-frame/complete engine overhaul services to
OEM specifcations on Cummins bus engines including
troubleshooting and repair of the engines as required by
the Big Blue Bus.
Cummins Cal Pacific, LLC Harbor Diesel and Equipment Ironman PEDCO
Vendor Downe ,CA
Y Lon Beach
9
Corona, CA
Santa Fe Springs, CA
Hourly labor rate in-shop troubleshooting & repair $ 115.00 ; $ 100.00 ! $ 88.00 '. $ 95.00 '~.
Overtime rate in-shop troubleshooting & repair $ 172.50 $ 150.00 $ 132 00 ~-. $ 125 00 '',
Hourly labor rate on-site feld service troubleshooting
&
i $ 115.00 ~ lus $2.50/mi
p 00 Plus $1.75/mi area
$ 100
$ 100 00
repa
r
~ .
charge $ 125.00
Overtime rate on-site field service troubleshooting & $ 172 50
l
2
50/
i Plus $1.75/mi area
' j
repair us $
.
m
p $ 150.00
char e $ 150 00
' $ 125.00 ,
ISB diesel Approx 25%. off mfg list Cost + 18 % 10 % to 15% 10% to 50%
ISL C gas plus
methane Approz 28% off mfg list Cost + 18 % 10 % to 15% 10% to 50%
In frame
In frame -._. ~ __. 1 to 1 5 weeks
_.._. ... ......._ 7 10 working days
..... .._ .._.._ 10 15 work days 3 - 5 days
overnaul Replacement
-... ,_._
N/A (neither Is avail new)
_......
N/A .._._.
10 15 work days _.._._._.._
5 7 days
Turn
Recondition
around ... ._._..
Recon-2 weeks (ISB only) ._.. _..., ,.:._._
N/A ..... ....._ ....__
10 - 15 work days .__..._...._ .. .,.~ ._.. ._..
5 - 7 days
time In frame
..
- ..... 1 5 to 2 weeks 15 18 working days 12 15 work days 5 7 days
.
..
Complete
overhaul . Replacement .. ......- , _ ___
N/A (nether is avail new) .._ ..-._ _....._._
N/A __._ .._..... .__.........
12 - 15 work days .. _ _.__._ _...._
5 - 7 days
Recondition 2 weeks (ISB only) N/A ~12 - 15 work days 5 - 7 days
Payment Terms Net 30 Net 30 Net 30 2% 20 day
Payment terms discount N/A N/A N/A 20~
Renewal Option Period 2
7/1/ Increase of previous years prices:
° 5 % increase of revious ear's races
p y P 0 % increase of revious ear's rites
P y p Same price, terms and conditions as
10 - 6/30/11 3.5
/ arts 5 % labor revious ear
Renewal Option Period 3 Increase of previous year's prices: 5% increase of revious ear's races
P y p 3% increase of revious ear's rites
p y P Same price, terms and conditions as
7/1/11 -6/30/12 3.5% arts 5% labor revious ear
Renewal Option Period 4
7/1/12 - 6/30/13 Increase of previous year's prices:
3
5% arts 5% labor 5% increase of revious ears races
p y p 3% increase of revious ear's rites
p y P Same price, terms and conditions as
. revious ear
6mo-replaced parts. 90dy- 2yr-recon exchange ISB. 1yr-reman
Warranty workmanship/labor. 2yr/100k mi parts. 6mo-new parts. 90dys- 1 year unlimited miles on parts/labor As required by BBB
arts & labor add 3900 er bus workmanshi & labor
Statement of non-collusion Complete Complete Complete Complete
Affidavit Complete Complete Complete Complete
Business License /Insurance req's Can comply Can comply Can comply Can comply
Oaks Initiative Complete Complete Complete E. Incomplete
Living wage Complete Complete Complete ~ iNOt Sttpmitted
References Provided Provided Provided Provided
Addendum 1 '. Not submitted Complete Complete Complete
Parts are available far will call at
Notes CCP's parts distribution center in
Irvine, CA. Parts are delivered to
Date 8/27/2009