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SR-08-28-2012-3ECity Council Meeting: August 28, 2012 Agenda Item: 3E To: Mayor and City Council From: Jacqueline Seabrooks, Chief of Police Subject: Purchase Order for Rental Vehicle Services Recommended Action Staff recommends that City Council award Bid #4012 to Enterprise Rent -A -Car, a Missouri -based company, for the rental of vehicles. The amount of the purchase order to be awarded to Enterprise Rent -A -Car is for $97,000 for the first year with two additional one -year renewal options at a maximum 3% increase per year for a total contract amount not to exceed $300,000. i' Executive Summary The Police Department utilizes rental vehicles for specialized anti -crime operations throughout the department. Following a formal bid process, Enterprise Rent -A -Car is recommended to provide the service. The bid award is for specified vehicle types plus applicable sales tax for a one -year period with two additional one -year renewal options at a maximum of 3% increase per year, with the same terms and conditions as the first year period. The total annual expenditure is $97,000 for the first year and a total three - year contract amount not to exceed $300,000. Discussion During the past twelve years, the Santa Monica Police Department has utilized the services of rental car companies for specialized anti -crime operations, on a Request for Quote basis annually. The vehicles are used on a daily basis as the primary mode of transportation, in certain units, and as- needed in other units. The vehicles are a necessary element of the department's function, and vehicles provided by the rental car service must fit the specifications necessary for operational expectations. 1 Vendor Selection In June 2012, the City published Notices Inviting Bids to provide car rental services as requested by the Police Department 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, 105 vendors were notified, and four vendors downloaded the documents. One bid was received and publicly opened on June 22, 2012 per Attachment A. The bid was evaluated based on price, vehicle availability, and compliance with City specifications. Enterprise Rent -A -Car was the only bidder, provides the vehicles needed, and they have a good standing relationship with the City. Based on these criteria, Enterprise Rent -A -Car is recommended as the best bidder to provide the rental car services in accordance with the City specifications. Financial Impacts & Budget Actions The purchase order to be awarded to Enterprise Rent -A -Car is $97,000 for the first year with two one -year renewal options at a maximum 3% increase per year, for a total amount not to exceed $300,000. Funds for the first year of the purchase order are included in the Police Department's FY2012 -13 budget. The purchase order will be charged to the following accounts: 01304.522610 $ 1,000 01305.522610 $ 5,500 01306.522610 $91,000 TOTAL $97,000 Prepared by: Marhaba Mohamed, Lieutenant Approved: 2 Forwarded to Council: Food Gould City Manager ATTACHMENT A BID# 4012 BID CLOSING DATE: 6 -12 -2012 BID DESCRIPTION: PROVIDE CAR RENTAL SERVICES AS REQUESTED BY THE POLICE DEPARTMENT PRICING ENTERPRISE RENT -A -CAR CULVER CITY, CA Car Rental Description of Vehicle Rental Cost per Da Basic $18.00 Mid $19.00 Premium $22.00 Vehicle License Fee (per vehicle $0.00 Truck Rental Description of Vehicle Rental Cost per Da Basic $20.00 Mid $22.00 Premium $24.00 Vehicle License Fee (per vehicle $0.00 SUV Rental Description of Vehicle Rental Cost per Da Basic $25.00 Mid $27.00 Premium $30.00 Vehicle License Fee (per vehicle $0.00