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sr-041012-3fCity Council Meeting: April 10, 2012 Agenda Item: 3 -F To: Mayor and City Council From: Gigi Decavalles- Hughes, Director of Finance Subject: Purchase of Asphalt Patch Truck Recommended Action Staff recommends that the City Council award Bid #3074 to Reynolds Buick, Inc., a California -based company, for the purchase and delivery of one new asphalt patch truck for a total amount of $147,990. Executive Summary Staff recommends award of bid to Reynolds Buick, Inc. to furnish and deliver one new asphalt patch truck in the amount of $147,990. The asphalt patch truck would be used by the Street Maintenance Division for maintenance and repair of the City's streets, alleys, sidewalks, and parking lots. Discussion The asphalt patch truck would be used by Street Maintenance personnel to perform tasks such as patching, repairing, and maintaining City's streets, alleys, sidewalks, and parking lots. As referenced in the Information Item that was submitted to the City Council on January 15, 2008, two goals of the Reduced - Emissions Fuels Policy for Vehicle Purchases are to reduce emissions and to reduce the use of petroleum fuels. The purchase of this compressed natural gas (CNG) low emission patch truck would contribute to these goals. Vendor Selection In December, 2011, the City published Notices Inviting Bids to furnish and deliver one asphalt patch truck as required by the Fleet Management Division in accordance with City specifications. The bid was posted on the City's on -line bidding site, and notices were advertised in the Santa Monica Daily Press in accordance with City Charter and 1 Municipal Code provisions. Three bids were received and publicly opened on January 23, 2012 at 3:00 p.m. in the Finance Department, as detailed in Attachment A. The bids were evaluated based on the criteria in SMMC 2.24.072, including price, ability to deliver, and quality of product. Reynolds Buick offered the lowest price and an earlier year model chassis that meets the City's needs and is already in stock, allowing for a 90 day delivery compared to 330 and 365 days from other vendors. Based on the criteria, staff recommends Reynolds Buick, Inc. as the best bidder. Financial Impacts & Budget Actions The amount of the purchase order to be awarded to Reynolds Buick, Inc. is $147,990. Funds for the Fleet Vehicle Replacement Program are available at 0540167.589000 and the contract costs will be charged to 0540167.589100. Prepared by: Monica Diaz, Buyer Director of Finance Attachments: Attachment A — Pricing E Forwarded to Council: Rod Gould City Manager Attachment A BID #3074 BID CLOSE DATE: 1/23/2012 Title: Furnish & deliver one (1) new and unused Asphalt Patch Truck as requested by Fleet Maintenance Vendor Tom's Truck Center North County dba Carmen ita Truck Center - Santa Fe Springs, CA Nixon -Egli Equipment Co. Ontario, CA Reynolds Buick Covina, CA Manufacturer model 2012 Ford F550 2012 Ford F550 PB BC -1.8 2009 GMC TC743042 (New) Descnphon QlY Unit Price Extended Cost Unit Price Extended Cost Unit Price Extended Cost Vehicle 1 $ 138,063.72 $ 138,063.72 $ 147,175.00 $ 147,175.00 $ 135,459.18 $ 135,459.18 Sales tax (9.25 %) $ 12,770.89 $ 12,770.89 $ 13,613.69 $ 13,613.69 $ 12,529.97 $ 12,529.97 Warranty 1 $ 1,910.00 $ 1,910.00 $ - $ - $ - $ - Tire Fee 1 $ 12.25 $ 12.25 $ - $ - $ - $ - Delivery 1 $ 95.00 $ 95.00 $ - $ - $ - $ - On -Site Training 1 $ 400.00 $ 400.00 $ 2,500.00 $ 2,500.00 $ - $ - Grand Total $ 153,251.86 $ 163,288.69 $ 147,989.15 Payment Terms Net 30 Net 30 2% 30 Day Open Account Payment terms discount Not listed Not listed $ 2,959.78 1% Local Vendor Preference (for evaluation purposes only) N/A N/A N/A Total after discount(s) $ 153,251.86 $ 163,288.69 $ 145,029.37 Guaranteed delivery date 1/2312013 330 -360 days 90 days Delivery within 365 days ARO 330 -360 days ARC, 90 days ARO