SR-06-23-2015-3JCity Council Report
or, of
Dania Monica,
City Council Regular Meeting: June 23, 2015
Agenda Item:3ai
To: Mayor and City Council
From: Edward King, Director of Transit Services (BBB)
Subject: Bus Paint and Body Repair
Recommended Action
Staff recommends that the City Council:
1. Award Bid #4183 to Carlos Guzman, Inc., a California -based company, to
provide body repair and painting of transit coaches;
2. Authorize the City Manager to negotiate and execute a contractual service
agreement with Carlos Guzman, Inc., in an amount not to exceed $650,000 for
one year, with two additional one -year renewal option(s) in the amount of
$1,300,000, under the same terms and conditions for a total amount not to
exceed $1,950,000 over a three -year period, with future year funding contingent
on Council budget approval.
Executive Summary
Staff recommends award of Bid #4183 and to negotiate and execute a contractual
service agreement for a one -year period with two one -year renewal options with Carlos
Guzman, Inc. to provide body repair and painting of transit coaches at specified labor
rates set forth in the agreement. The award is for a specified hourly labor and material
price plus applicable sales taxes for a one -year period with two additional one -year
renewal options with the same price, terms and conditions as the first year for an
amount not to exceed $1,950,000.
Background
Body repair and painting of transit coaches are necessary to address normal wear and
tear and accident damage during the 12 -year useful life of a bus. The award of
Bid #4183 would ensure that accident damage be repaired promptly and that the interior
and exterior of each coach be as close to an as -new condition as possible. The total
annual estimated expenditure is $650,000 with the three -year term not to exceed
$1,950,000.
Discussion
BBB requires body repair and painting services for transit coaches that become
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damaged through normal wear and tear or accidents. It is essential that repairs be
made promptly to preserve acceptable customer service levels. BBB staff performs
minor body repairs in- house; however, major accident and bus painting requirements
exceed in -house body and repair capabilities for work space and staffing levels.
Method of Service
BBB currently has one FTE performing body repair and paint tasks. The tasks include
body repair and painting of small body panels. Coaches requiring extensive repairs and
painting are sent to an outside body shop that can simultaneously repair multiple buses.
In addition, the outside body shop has a drive -in paint booth that can accommodate 30',
40' and 60' coaches. Per EPA regulations, extensive painting must be performed in a
paint booth. BBB's maintenance facility does not have a paint booth because of its close
proximity to a school.
Because of the number of buses requiring body repair and paint services to keep the
fleet in an as -new condition, the space required, and the EPA requirement of a paint
booth in which to paint buses, staff recommends that overflow body repair and painting
services be out - sourced through award of Bid #4183. This recommendation comports
with Council policy adopted on January 13, 2015 for Hiring Contracted or As- needed
Staff for Non - professional Services. The Council policy includes criteria under which
contracting for a public service is appropriate. Council approved contracted staff for this
service as an activity requiring technical expertise, space, capital equipment and
environmental risks associated with painting coaches. Staff analysis and
recommendation align with the Council's criteria for contracting a public service.
The proposed vendor, Carlos Guzman, Inc., has the required expertise, space and a
paint booth that can accommodate 30', 40' and 60' coaches that would require interior
and /or exterior painting. Bringing this service in -house would require a minimum of nine
additional FTE's, two additional work bays and a paint booth that can accommodate 30',
40' and 60' coaches. The total annual expenditure for nine Transit Mechanic II's is
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approximately $980,000. One -time cost for two additional work bays and a paint booth
is approximately $8.3 million. Total ongoing costs for staffing, space, equipment and
administrative overhead are approximately $1.4 million annually. Furthermore,
according to the South Coast Air Quality Management District Rule 212, a permit to
operate a paint booth that would emit air contaminants within 1,000 feet from the outer
boundary of a school would not be granted. Therefore, a paint booth could not be
operated at BBB. Based on the inability to operate a paint booth and costs associated
with building a three work bay facility, staff recommends continued outsourcing of
overflow body repair and painting services.
Vendor /Consultant Selection
In April 2015, the City published Notices Inviting Bids to provide body repair and
painting services on transit coaches as required by Big Blue Bus in accordance with
City scope of work. The bid was posted on the City's online bidding site, and notices
were advertised in the Santa Monica Daily Press in accordance with City Charter and
Municipal Code provisions. The City notified 586 vendors, of which 9 prospective
vendors downloaded the bid. Three bids were received and publicly opened on
April 23, 2015. One bid was rejected because the vendor did not attend the mandatory
job walk, which was required for inspections of the vehicles and to make sure that
responders understood the specifications and all of the criteria that belonged to the bid.
During the job walk, bidders were asked to look at four or five different buses and the
various color schemes.
Bids were evaluated based on the criteria in SMMC 2.24.072, including price, previous
experience, capacity and skill, ability to deliver and provide future services, paint sample
test results and compliance with City scope of work. Based on these criteria, Carlos
Guzman, Inc., the lowest bidder, is recommended as the best bidder to provide body
repair and painting services in accordance with City scope of work for an amount not to
exceed $650,000 for the first year.
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Financial Impacts and Budget Actions
The agreement to be awarded to Carlos Guzman, Inc. is for an amount not to exceed
$1,950,000. Funds in the amount of $650,000 are included in the FY 2015 -17 Budget in
the Big Blue Bus Department. The agreement will be charged to account
41651.555011. Future year funding is contingent on Council budget approval.
Prepared By: Getty Modica, Transit Maintenance Officer
Approved Forwarded to Council
/ r `t
Edward F, King;jDirector of TranVB62 066
Attachments:
A. Bus Body Repair and Painting - 4183
j
Elaine M Polachek, Interim City MMlQ6 -d5
B. January 13, 2015 Staff Report (web link)
(XLSX)
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I: \�[i7 uI�tX�YI\
BID 114183
BID TITLE: BUS BODY REPAIR AND PAINTING SERVICES
BID CLOSE DATE: 4/23/15
A and A Fleet
Carlos Guzman
Complete Coach Works
Painting
Incorporated
Corona, CA
Signal Hill, CA
Riverside, CA
Attended Mandatory Job Walk
No
Yes
Yes
DESCRIPTION
Cost
Cost
` Cost
Cost
Body repair labor
$
per hour
$ 65.00
$
95.00
Refinish and painting labor
$
per hour
$ 65.00
$
75.00
Mechanical repair labor
per hour
$ 70.00
$
95.00
Fabrication labor
per hour
$ 70.00
$
95.00
Body repair labor (overtime)
$
per hour
$ 92.50
$
142.50
Refinish and painting labor (overtime)
$
per hour
$ 92.50
$
112.50
Mechanical repair labor (overtime)
per hour
$ 105.00
$
142.50
Fabrication labor (overtime)
$
perhour
I
$ 105.00
$
142.50
Pickup and delivery (Round trip - Portal
$
per hour
$ 200.00
$
300.00
to Portal)
Mark up on parts (bus parts)
%
20%
30%
Mark up on paint (Primer, additive, paint
& additive, acetone, paint thinner,
%
20%
30%
reducer etc...)
Mark up on materials (sand paper, tape,
0/6
20%
30%
masking paper etc...)
Miscellaneous material (All other
%per bus
20%
30%
materials & supplies)
Disposal cost (Hazardous Waste per
% of materials
1%
No Charge
EPA Standards) Manifests sent monthly,
used per
bus
Payment Terms
- 2 (two) percent net 20
Net 30 Days
twenty days
Additional fees & charges not listed above
No Response
Not Applicable
Period 2
Same price, terms, and
3% Increase
(First annual renewal option)
conditions offered
Period 3
Same price, terms, and
(Second annual renewal option)
conditions offered
3% Increase
Business License: Do you come into
City of
Santa Monica
to conduct business?
Yes
No Response
Business License: Do you deliver parts and/or products In
your own company vehicle?
No
No Response
Oaks Initiative Disclosure
Complete
Complete
Arizona Disclosure
Complete
Complete
Living Wage
Complete
Complete
Sample provided
Yes
No
MSDS provided
Yes
Yes
Addendum provided
Yes
Yes
Reference:
Agreement No.10086
(CCS)