sr-072412-3cCity Council Meeting: July 24, 2012
Agenda Item: 3-C
To: Mayor and City Council
From: Gigi Decavalles- Hughes, Director of Finance
Subject: Heavy Duty Batteries
Recommended Action
Staff recommends that the City Council award Bid #3091 to Valley Power Systems, a
California -based company, for the purchase and delivery of heavy duty batteries. The
amount of the purchase order to be awarded to Valley Power Supply is for $120,000 for
the first year with two additional one -year renewal options at a 4% increase per year, for
a total not to'exceed contract amount of $375,000.
Executive Summary
Changing batteries on transit coaches and fire vehicles is a necessary and normal part
of preventative maintenance. Transit buses use three different styles of heavy duty
batteries; Fire Dept. vehicles use one type of battery. Following a formal bid process,
Valley Power Systems is recommended to provide heavy duty batteries. The bid award
is for specified batteries plus applicable sales tax for a one -year period with two
additional one -year renewal options at a 4% increase per year, with the same terms and
conditions as the first year period. The total annual expenditure is $120,000 for the first
year for a total three -year contract amount not to exceed $375,000.
Discussion
Transit and fire equipment batteries require periodic service and replacement. The
BBB's automated fleet management system, bus head signs, and the innovative and
expanding technology used in fire vehicles creates a significant demand on the vehicles'
electrical system. Changing batteries on transit coaches and fire vehicles is a
necessary part of preventative maintenance. Transit Buses use three different styles of
heavy duty batteries; Fire Department vehicles use one type of battery. Batteries to be
purchased are heavy duty Model 8D batteries and Group 31 batteries.
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Vendor Selection
In April 2012, the City published Notices Inviting Bids to provide heavy duty batteries as
required by the Big Blue Bus responsible for maintenance of transit coaches and Fire
Department vehicles 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 Municipal Code provisions. Three bids were
received and publicly opened on May 1, 2012 per Attachment A. Bids were evaluated
based on price, product availability, selection, quality of material, and compliance with
City specifications. Valley Power Supply was the lowest bidder, provided the specified
brands, and they have a good standing relationship with the City. Based on these
criteria, Valley Power Supply is recommended as the best bidder to provide heavy duty
batteries in accordance with the City specification.
Financial Impacts & Budget Actions
The amount of the purchase order to be awarded to Valley Power Supply is for
$120,000 for the first year with two additional one -year renewal options at a 4%
increase per year, for a total amount not to exceed $375,000. Funds in the amount of
$125,000 are available in account number 41.111030, in the FY 2012 -13 Adopted
Budget. Budget authority for subsequent years will be requested in each budget cycle
for Council approval. Future funding is contingent upon Council approval.
Prepared by: Kellee Mac Donald, Senior Buyer
Approved:
gi Decavalles -Hu
rector of Finance
Attachments: Attachment A — Pricing
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Forwarded to Council:
Rod Gould
City Manager
BID 3091 ATTACHMENT A
BID DESCRIPTION: PROVIDE HEAVY DUTY BATTERIES AS REQUIRED BY THE BIG BLUE BUS
ADVANCED BATTERY SYSTEMS, INC O'REILLY AUTO PARTS I VALLEY POWER SYSTEMS, INC
CULVER CITY, CA SPRINGFIELD, MO I CITY OF INDUSTRY. CA
DESCRIPTION
PRICE
PRICE
PRICE
PRICE W /CORE CHARGE
DEKA 908DFT(LEAD ACID 1425 CCA, 440 MINIMUM RESERVE CAPACITY)
$228.00
$201.591bidalternme
$ 189.79 +$50.00 for CORE IF NOT RETURNED
239.79
DEKA SASD(AGM 1500 CCA, 517 MINIMUM RESERVE CAPACITY)
$399.00
$409.99
bid alternate
$37 8.19 +$48.00 for CORE IF NOT RETURNED
426.19
DEKA 7T31 (730 CCA, 190 min reserve capacity)
$115.0
$90.99
bid alternate
$94.07 +$18.00 for CORE IF NOT RETURNED
112.07
DEKA SA31 (925 CCA, 190 min reserve capacity)
$185.00
$101.99
bid alternate
$ 144.74 +$18.00 for CORE IF NOT RETURNED
162.74
Total
$ 927.00
$ $04.56
$ 806.79
$ 940.79
TRAINING PRICE PER HOUR
NO CHARGE
NO CHARGE
$95.00
CHARGING SYSTEMS DATA LOGGING PRICE PER HOUR
NO CHARGE
NO CHARGE
$95.00
RENEWAL OPTIONS
YEAR TWO INCREASE
i 6%
10%
4%
YEAR THREE INCREASE
5%
17
4%