sr-061411-3sCity Council Meeting: June 14, 2011
Agenda Item: ~ -' S
To: Mayor and City Council
From: Stephanie Negriff, Director of Transit Services
Subject: Methane Fuel Systems Service & Repair
Recommended Action
Staff recommends that the City Council award Bid No. 3044. to FAB Diversified
Services, Inc., aTennessee-based company, to provide methane (natural gas) fuel
systems service and repairs for athree-year term, for a total amount of $1,200,000.
Executive Summary.
Recommendation to award of Bid #3044 to FAB Diversified Services, Inc., to provide
methane fuel systems service and repairs on natural gas transit coaches at specified
unit prices plus applicable sales tax, through June 30, 2014. The total expenditure for
the three-year term is $1,200,000.
Discussion
The City's fleet of Liquefied Natural Gas (LNG) and Compressed Natural Gas (CNG)
transit buses require routine #ue6 system refurbishment and repair. To ensure the safe
operation of these alternative fueled vehicles, the Big Blue Bus performs routine LNG
fuel system refurbishment and repair. In addition, the CNG fuel tanks require annual
certification for compliance. The methane fuel systems service and repair will enable the
Big Blue Bus to maintain the LNG and CNG fuel systems to Original Equipment
Manufacturer (OEM) standards and keep compliant to regulatory agencies.
Vendor Selection
In April 2011, the City published Notices Inviting Bids to provide methane fuel systems
service and repairs as required by the Big Blue Bus in accordance with City
specifications. The bid was posted on the City's on-line bidding site, Planet Bids, and
notices were advertised in the Santa Monica Dailv Press in accordance with City
1
Charter and Municipal Code provisions. Although ten vendors downloaded the bid
packet, .only one bid was received and publicly opened on April 26, 2011, per
Attachment A. The bid was evaluated based on cost of service per specifications and
the City's history with the vendor. Based on these criteria FAB Diversified Services, Inc.
is recommended as the best bidder.
Financial Impacts & Budget Actions
The purchase order amount to be awarded to FAB Diversified Services, Inc., for the
three-year term is $1,200,000. Funds in the amounts of $400,000 for FY 2011-12 and
$400,000 for FY 2012-13 have been included in the proposed budget in account
0410106.589000 for FY 2011-13. Future funding for additional years will be requested
in future years' budgets and will be contingent upon Council's approval. All funds used
for this purchase come from funding sources specifically dedicated for transit uses.
Prepared by: Ralph Merced, Transit Maintenance Manager
Approved: Forwarded to Council:
;zuJu~ ,...~_.
anie Negriff / ~ Rod Gould
DiF~ for of Transit Services City Manager
Attachments: Attachment A -Pricing
2
BID RESULTS
BID #: 3044 BID CLOSE DATE: 4/26/2011
BID TITLE: PROVIDE METHANE FUEL SYSTEMS SERVICE & REPAIR AS REQUIRED BY THE BIG BLUE BUS
FAB Diversified Services, Inc.
Mrro Como, CA'.
PRICING (TWO TANK LNG SYSTEM REFURBISHMENT-NAB( BUSE51:
M /DESCRIPTION PERIOD 1 ~ PERIOD 2 PERIOD 3
(REFURBISHMENT OF ONE (1)BUS (LABOR): $ 2,060.OO$ 2,214.00 $ 2,391.00
(REFURBISHMENT DFDNE (1)BU$(PARTS):
$
2,762.OO$ 2,983
.00
$ _
3,221.00
____
~ISALES TAX (10.25%): $ _
_
283.11 $ 305.76 $ 330.15
(TRANSPORTATION FEES (ONE ROUND TRIP) (IF APPLICABLE):
__ -. $ _
~ 690.00 ~I $ 690.00 j $ 6
90.00
___
TOTAL COST FOR REFURBISHMENT OF ONE (1) BUS:
$ _
5,785.11 i $ 6,192.76 ~' $ _
6,632.15
,COST FOR ONE(1)REPLACEMENT LNGTANK (NEXGEN, CHART, HLNG116): ~ $ 11,944.OO$ 12,42200:$ 12,919.00
(SALES TAX (10.25%): $ 1,2
24.2
6 $ 1,273.26 ~, $ 1,324.20
~jTOTAI COST FOR ONE(1)REPIACEMENT LNG TANK (NEXGEN, CHART, HLNOll6): $ _
_
13,168.261$ 13,695.26 ',$ 14,243.20
-_
WARRANTY (PER VEHICLE): PARTS (12 MONTHS), AGAINST LEAKS ON PLUMBING (24
(MONTHS), VACUUM SYSTEM (26 MONTHS):
$ _..__
425.00
PRICING (THREE TANK LNG SYSTEM REFURBISHMENT- NEW FLYER BUSE51:
(REFURBISHMENT OF ONE (1)BUS (LABOR): $ 3,168.00;$ 3,421.OOj$ 3,69
5.00
_,-._
(REFURBISHMENT OF ONE (1) BUS (PARTS): $ .
3,484.00 ''", $ 3,763.00 $ _
_
4,064.00
'SALES TAX (10.25%): $ 367.11 $ 385.71 $ 416.56
'~,TRANS
NPEES (ONE ROUND TRIP)
(IF APPLICABLE)
. $ 69000, $ 690001 $ 690.00
~
(
'
_
TOTAL COST FOR REFURBISHMENT OF ONE 1 BUS: $ 769911 ~,$ 8,259.711$ 8,865.56
',COST FOR ONE (1) REPLACEMENT LNG TANK (TAYLOR-WHARTON 21X81", NG-89V, PART
#V08800003):
---
------
jSALES TAX (10.25%): THIS TANK NO LONGER MANUFACT
" URED
"
_
TOTAL COST FOR ONE (1)REPLACEMENT LNG TANK(TAYLOR-WHARTON~21X81", NG-89V,
~. PART #~03):
(SEE ATTACHMENT(
TW TANK
)
', WARRANTY (PER VEHICLE(: PARTS (12 MONTHS), AGAINST LEAKS ON PLUMBING (24
MONTHS), VACUUM SYSTEM (25 MONTHS): $ 560.00
PLEASE PROVIDE HOURLY LABOR RATES FOR OTHER REPAIRS OUTSIDE OF THE ABOVE SCOPE
OF WORK
", ITEM/DESCRIPTION {2 TANK LNG SYSTEM -NABI BUSES)__ _ _ _ _
HOURLY LABOR RATE: $ _
96.00 $ ~ 104.00 ~I $ 112.00
EMERGENCY (AFTER HOURS) RATE: $ _
126.00 '. $ 136.00 ~"~.. $ 147.00
PERCENTAGE MARK UP ON MANUFACTURER'S PRICE LIST FOR MATERIALS: COST+ 20.00%
; ITEM/DESCRIPTION (3 TANK LNG SYSTEM -NEW FLYER BUSES)
(, HOURLY LABOR RATE
- - $ 96.00 $ 104.001 $ 112.00
(
S
__
$ _
126.00 ~'~, $ 136 00 '', $ 147.00
P RCENTAGE
MARK UP ON
MANUFACTURER'S PRICE LIST FOR MATERIALS:COST+ _
20.00%
.-_ -
_____
PRICING:
_____ _.. ._.._._.__._
jHOURLY LABOR RATE:
.-
$ _ __
96.00
EMERGENCY (AFTER HOURS) LABOR RATE: $ ~ 12
6.00
_
PERCENTAGE DISCOUNT OFF MANUFACTURER'S LIST PRICE ON PARTS'
10.00% .
_
PICK UP AND DROP OFF RATE:
$ _ _
115.00
PAYMENT TERMS NET 30
RENEWAL OPTIONS:
_ -
.
_.__..
_- __.- -
YEAR 2: _ _.._... ...._.-.- _ o
APRO%. 8Y INCREASE
_ __
'(YEAR 3: __
APROX. 8% INCREASE
BUSINESS LICENSE & INSURANCE REQUIREMENTS: ~ CAN COMPLY
OAKS: COMPLETE
AR120NA: - NO PRESENSE
LIVING WAGE: SUBMITTED
ADDENDUM 1: _ $UeMITTED
REFERENCES:.