SR-04-09-2013-3HCity Council Report
City of
Santa Monica
City Council Meeting: April 9, 2013 /
Agenda Item: 3 °/�
To: Mayor and City Council
From: Martin Pastucha, Director of Public Works
Subject: Purchase Order Modification for Vehicle Tires
Recommended Action
Staff recommends that the City Council approve a modification to purchase order
#20921 -OF in the amount of $28,813 with Byron Woodley Tire Company, Inc., a
California -based company, to cover the anticipated purchase, delivery, and repair of
light -duty and passenger vehicle tires for the remainder of FY 2012 -13. This will result
in a revised purchase order total not to exceed $80,813 through June 30, 2013.
Executive Summary
The City purchases tires for light -duty and passenger vehicles as part of the City's tire
replacement program. On February 28 2012, a purchase order with Byron Woodley
Tire Company, Inc. (Byron Woodley) in the amount of $52,000 was approved for the
purchase, delivery, and repair of tires for light -duty and passenger vehicles through
June 30, 2013. Fleet Management has experienced a cyclical increase in demand for
light -duty and passenger vehicle tires and increased the purchase of tires from Byron
Woodley. The total amount paid on this purchase order through February 2013 is
$42,536. Therefore, staff recommends a modification to Purchase Order #20921 -OF in
the amount of $28,813 to cover anticipated invoices from Byron Woodley for the
remainder of FY 2012 -13.
Background
On February 28, 2012, City Council awarded Bid #3073 in the amount of $52,000 to
Byron Woodley Tire Company, Inc. for the purchase, delivery, and repair of light -duty
and passenger vehicle tires in support of the City's tire replacement program through
June 30, 2013. The City has purchased tires from Byron Woodley for several years, with
most of the tires used for replacement on police pursuit vehicles. Prior to the award of
Bid #3073, Purchase Order #19402 with Byron Woodley was approved in June 2011 for
the purchase of tires in FY 2011 -12.
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The cumulative total amount paid over the last three years to Byron Woodley has
exceeded $100,000. Purchasing guidelines require Council approval for multi -year
purchases exceeding $100,000.
Discussion
Since February 2012, Fleet Management experienced a cyclical increase in demand for
light -duty and passenger vehicle tires. Accordingly, the City increased the purchase of
light -duty and passenger tires from Byron Woodley for non - police vehicles instead of
purchasing this category of smaller tires from the City's other tire vendor, Parkhouse
Tire, Inc., because they specialize in large tires for heavy and medium duty vehicles.
Additionally, Byron Woodley offers better pricing for light -duty and passenger vehicle
tires.
As of March 1, 2013, the charges to date with Byron Woodley total $42,536. Staff
recommends a modification to the existing purchase order in the amount of $28,813
with Byron Woodley to cover anticipated purchases for the remainder of FY 2012 -13, for
a revised purchase order in the amount of $80,813.
Vendor Selection
In January 2012, a notice inviting bids for the purchase, delivery and repair services of
light -duty and passenger vehicle tires was posted on the City's online bidding site. A
total of 26 vendors were notified, six downloaded the bid, and Byron Woodley was the
only bid received. The bid was publicly opened on January 19, 2012 as follows:
Company Location Bid Amount
Byron Woodley Tire Company, Inc. Santa Monica, CA $51,772
The bid was evaluated based on competitive pricing, ability to meet specifications, and
completeness of bid response. Based on these criteria, staff recommends Byron
Woodley Tire Co, Inc. as the best bidder. Byron Woodley's bid is for period beginning
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July 1, 2011 through June 30, 2012, and a one -year renewal period beginning July 1,
2012 through June 30, 2013 at the same price, terms and conditions.
Financial Impacts & Budget Actions
The purchase order modification to be awarded to Byron Woodley Tire Company, Inc. is
$28,813, for purchases through the end of FY2012 -13, for an amended purchase order
total not to exceed $80,813. Funds are available in the FY 2012 -13 budget in division
54459; purchase order will be charged to account 54459.522930.
Prepared by: David Lasher, Administrative Analyst
Approved:
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Martin Pastucha
Director of Public Works
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Forwarded to Council:
Rod Gould
City Manager
Reference Contract No.
9726 (CCS)