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SR 07-11-2017 3G Ci ty Council Report City Council Meeting : July 11, 2017 Agenda Item: 3.G 1 of 4 To: Mayor and City Council From: Edward King, Director , Big Blue Bus, Transit Maintenance Subject: Award Bid for Towing Services for Transit Buses and Fire Apparatus Recommended Action Staff recommends that the City Council: 1. Award Bid #4270 to Tom J ohn’s Towing, a California -based company, to provide towing services for transit buses and fire apparatus; 2. Authorize the City Manager to negotiate and execute an agreement with Tom John’s Towing, in an amount not to exceed $82,000 for one year, with fo ur - additional one -year renewal options in the amount of $328,000 , on the same terms and conditions for a total amount not to exceed $410,000 over a five -year period, with future year funding contingent on Council budget approval. Executive Summary Staff r ecommends the award of Bid #4270 to Tom John’s Towing, to provide towing services for transit buses and fire apparatus at specified unit prices plus applicable sales tax, as required by Big Blue Bus. The award of the bid would enable the City to transport inoperable transit buses and fire apparatus . The annual expenditure for this bid is not to exceed $82,000 with four one -year renewal options on the same terms and conditions. The total expenditure for the five -year term is not to exceed $410,000. Backgrou nd Big Blue Bus and the City’s Fire Department have utilized contracted towing services to recover vehicles that were unable to operate so that they could be repaired either at the bus yard or at a vendor’s offsite facility. BBB contracts this servic e due to the costs associated owning, maintaining and operating its own fleet of heavy -duty towing vehicles. This service was approved by City Council on June 24, 2014 , and a contract with Tom John’s Towing was signed and executed on August 6 , 2014. The vendor’s service quality has been satisfactory for the duration of their contract with BBB. 2 of 4 Discussion Big Blue Bus and the City’s Fire Department run continuous operations that stress the heavy -duty components and sensitive equipment on their heavy use vehicles. When these systems fail, the vehicles may be unable to continue operation, requiring the use of towing services. These vehicles may be towed to the BBB yard for maintenance and repair or directly to a vendor if serious repairs are needed. When components such as engines, transmissions, differentials and fuel systems fail, the vehicle’s propulsion system is unable to provide power to operate the vehicle, safely ; thereby, requiring a tow service to safely and carefully transport the vehicle. In the current f iscal year, 128 buses and 3 Fire Department vehicles were towed , either back to the bus yard, or to a vendor’s offsite facility for repairs . Responsive and reliable towing services are necessary to ensure that BBB and Fire operations can continue unhinder ed. In addition to towing services, the vendor is required to carry absorbent and oil cleaning supplies, and may be required to clean spills as needed. To maintain clean and safe public spaces the vendor is required to have knowledge of proper spill contai nment and pick up procedures. Staff recommends that bid #4270 be awarded to Tom John’s Towing for towing services related to BBB fleet and Fire heavy apparatus, based on the bid price submitted by this vendor and their previous work history with the City. Vendor/Consultant Selection On April 4, 2017, the City published Notices Inviting Bids to provide towing services for transit buses and fire apparatus in accordance with City specifications. The bid was posted on the City's online bidding site, and noti ces were advertised in the Santa Monica Daily Press in accordance with City Charter and Municipal Code provisions. One -thousand and one vendors were notified, of which eight vendors downloaded the bid. Two bids were received and publicly opened on April 2 0, 2017 per the table below: Cost Estimate Classic Tow Response @ $250/hr. Tom John's Towing Response @ $145/hr. 3 of 4 Estimate - 565 hours per year 141,250.00 81,925.00 Contract 5yr Total 750,055.16 409,625.00 rounded to $82,000 annually for PO Bids wer e evaluated based on the criteria in SMMC 2.24.072, including price, previous experience, ability to deliver, quality of product, and compliance with City specifications. Tom John Towing has a positive history providing towing services for Big Blue Bus and is able to meet all of the City requirements in addition to being the lowest bidder. Based on these criteria, Tom John Towing is recommended as the best bidder. 4 of 4 Financial Impacts and Budget Actions The contract to be awarded to Tom John’s To w ing is for an amount not to exceed $410,000. Funds of $82,000 are included in the FY 2017 -18 Proposed Budget in the Big Blue Bus and Fire Departments. The contract will be charged to the following accounts: 41651.555011 $79,500 01312.569290 2,500 $82,000 Future year funding is contingent on Council budget approval. Prepared By: Getty Modica, Transit Maintenance Officer Approved Forwarded to Council Attachments: A. Tom John Towing - Oaks REFERENCE:    Agreement  No. 10493   (CCS)