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SR 07-25-2017 3M Ci ty Council Report City Council Meeting : July 25, 2017 Agenda Item: 3.M 1 of 5 To: Mayor and City Council From: Susan Cline, Director , Public Works, Street & Fleet Services Subject: Bid Award for the Purchase of Two Compressed Natural Gas Sign Trucks and One Compressed Natural Gas Asphalt Tool Truck Recommended Action Staff recomm ends that the City Council: 1. Award Bid #4278 to Raceway Ford, a Michigan -based company, for the purchase and delivery of two Compressed Natural Gas Sign Trucks; 2. Authorize the Purchasing Services Manager to issue a purchase order with Raceway Ford for the purchase and delivery of two Compressed Natural Gas Sign Trucks in an amount not to exceed $307,832. 3. Award Bid #4279 to Los Angeles Freightliner, an Oregon -based company, for the purchase and delivery of one Compressed Natural Gas Asphalt Tool Truck ; 4. Authorize the Purchasing Services Manager to issue a purchase order with Los Angeles Freightliner for the purchase and delivery of one Compressed Natural Gas Asphalt Tool Truck in an amount not to exceed $287,235 . Executive Summary This purchase woul d replace two sign trucks and one asphalt tool truck that have reached the end of their cost -effective useful lives through the Vehicle Replacement Program. The sign trucks are primarily used for maintenance and replacement of approximately 35,000 signs th roughout the city . The asphalt tool truck is primarily used for major asphalt construction projects, including alley reconstruction projects and the rubberized slurry project . In June 2017, the City solicited bids for the purchase of two Compressed Natural Gas (CNG) Sign Trucks and one CNG Asphalt Tool Truck. Staff recommends Raceway Ford as the best and lowest bidder for the purchase and delivery of two CNG Sign Trucks in an amount not to exceed $307,832 and staff recommends Los Angeles Freightliner as the best and lowest bidder for the purchase and delivery of one CNG Asphalt Tool Tr uck in an amount not to exceed $287,235 . This purchase meets the goals of the City’s Reduced -Emissions Fuels Policy by utilizing vehicles powered by compressed natural gas. 2 of 5 Di scussion The City replaces vehicles that have reached the end of their cost -effective useful life based on age, mileage, and repair history in accordance with the Vehicle Replacement Program. This purchase would replace three vehicles in the Street and Fle et Services Division. The existing vehicles have a cost -effective useful life span between of 10 to 12 years based on industry standards, utilization, and the environment in which they are operated. The existing vehicles to be replaced were purchased betwe en 1995 and 2002 and are between 15 and 22 years old. Vehicle Data The vehicle data table below shows the vehicle unit number, model year, cost -effective useful life, age, replacement fiscal year, original cost, total maintenance cost over the life of th e vehicle, and the percentage of the original cost that the maintenance cost has reached. Unit(s) Year Asset Life Age Replacement FY Original Cost Total Maintenance Cost % Note 15209 1995 10 22 2007 $66,983 $75,899 113% Sign Truck 15590 2000 10 17 2011 $50,968 $83,869 165% Sign Truck 15779 2002 12 15 2015 $137,663 $104,982 76% Tool Truck The CNG asphalt tool truck is used within the Street Maintenance section to support the asphalt crew. The crew is responsible for all major asphalt construction projec ts, including alley reconstruction projects and the annual rubberized slurry project . T hey also assist the concrete crew with the pervious concrete installation project . The asphalt tool truck is needed in order to complete over twenty alley segments annua lly. The asphalt tool truck carries all tools necessary for the asphalt crew’s operation including, but not limited to, asphalt rakes, shovels, brooms, vibratory plates, a water tank, a wheelbarrow, a tack oil system, a generator, and jackhammers. The two sign trucks would assist the Street Signs and Markings section with the maintenance and replacement of approximately 35,000 signs throughout the city. Each vehicle is used by two staff members who work an overlapping full -time schedule. One 3 of 5 sign truck is used primarily for eme rgency response requests initiated by the Police Department when poles and signs are knocked down due to auto accidents, vandalism, etc., requests from residents , and Government Outreach request s. It is also used for the installation of new signs initiated by Traffic E ngineering through the work order system and the maintenance of signs along the Los Angeles M arathon route. The second truck would be used to support all previously stated activities , if need be, but would concentrate m ostly on providing support for the crew responsible for replacing all faded street signs within the city’s sixteen zoned sign markings area s . Both trucks would carry all required tools inc luding, but not limited to, 10 -foot and 12 -foot sign poles , all type s of street and parking signs , some street marking paint, drills, bolts, a generator, and a jackhammer. This purchase meets the goals of the City’s Reduced -Emissions Fuels Policy by utilizing vehicles powered by compressed natural gas, which reduces emiss ions. Example of a CNG Asphalt Tool Truck 4 of 5 Example of a CNG Sign Truck Vendor Selection In June 2017, the City published Notices Inviting Bids to furnish and deliver two CNG Sign Trucks and one CNG Asphalt Tool Truck, in accordance with City specifi cations. The bids were 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. Thirteen vendors downloaded the bid for two CNG Sign Trucks. Fiftee n vendors downloaded the bid for one CNG Asphalt Tool Truck. Two bids were received and publicly opened on June 13, 2017, per Attachment A, for two CNG Sign Trucks. One bid was received and publicly opened on June 14, 2017, per Attachment B, for one CNG As phalt Tool Truck. Staff conducted additional outreach to vendors who downloaded the bid to see why they did not submit a bid; one response was received. The vendor stated the specifications were not clear enough and that they ran out of time to submit thei r bid. Vendors are given the opportunity to ask questions to clarify any bid posting. The vendor did not submit any questions during the time the bid was posted on PlanetBids from May 31, 2017 through June 14, 2017. Staff recommends Raceway Ford as the b est bidder for the purchase and delivery of two CNG Sign Trucks as required by Fleet Management . Bids were evaluated based on the criteria in SMMC 2.24.072, including price, ability to deliver, quality of product, and compliance with City specifications. Raceway Ford is the lowest bidder and meets specifications: Bidder Qty/Yr/Make/Model/Description Bid Price 5 of 5 Raceway Ford (2) 2017 Ford F -550 CNG Sign Trucks $307,832 [$153,916 per truck] Transwest Truck Center, LLC (2) 2017 Ford F -550 CNG Sign Trucks $321 ,930 [$160,965 per truck] Staff recommends Los Angeles Freightliner as the best bidder for the purchase and delivery of one CNG Asphalt Tool Truck as required by Fleet Management. The purchase price for this vehicle includes a municipal discount. The bid was evaluated based on the criteria in SMMC 2.24.072, including price, ability to deliver, quality of product, and compliance with City specifications. Financial Impacts and Budget Actions The purchase order to be awarded to Raceway Ford is for an amount not to exceed $307,832. Funds are available in the FY 2017 -18 Capital Improvement Program budget in account C540167.589200. The purchase order to be awarded to Los Angeles Freightliner is for an amount not to exceed $287,235 . Funds are available in the F Y 2017 -18 Capital Improvement Program budget in account C540167.589200. Prepared By: Heidi Duran, Administrative Analyst Approved Forwarded to Council Attachments: A. Bid No. 4278 Bid Results B. Bid No. 4279 Bid Results C. Freightliner Oaks D. Oaks Form - Ra ceway Ford ATTACHMENT  A BID  CLOSING  DATE: 6/13/17 DESCRIPTIONQTYUNIT  PRICEEXTENDED  PRICEUNIT  PRICEEXTENDED  PRICE NEW  AND  UNUSED, CURRENT  MODEL  YEAR   OR  NEWER, FORD  F550  HEAVY ‐DUTY  PICKUP   TRUCK, OR  EQUAL, WITH  A  UTILITY  SERVICE   BODY  AS  SPECIFIED. 2  $                      139,476.00   $                      278,952.00   $                      145,995.00   $                      291,990.00   *OPERATOR’S  INSTRUCTION  MANUAL2  INCLUDED   INCLUDED   INCLUDED   INCLUDED   *LUBRICATION  INSTRUCTIONS2 INCLUDEDINCLUDED  INCLUDED   INCLUDED   *SHOP  MAINTENANCE  MANUALS2  INCLUDED   INCLUDED   INCLUDED   INCLUDED   *ILLUSTRATED  PARTS  BOOK2 INCLUDEDINCLUDED  INCLUDED   INCLUDED   *ELECTRIC  WIRING  SCHEMATIC2  INCLUDED   INCLUDED   INCLUDED   INCLUDED   STANDARD  WARRANTY1 N/CN/CINCLUDEDINCLUDED EXTENDED  WARRANTY  (IF  OFFERED) 1 N/AN/A TRAINING1 150.00 $                              150.00 $                              INCLUDEDINCLUDED TIRE  FEE  1 1.75 $                                   12.25 $                                10.50 $                                10.50 $                                 DELIVERY1 125.00 $                              125.00 $                              INCLUDEDINCLUDED OTHER  (PLEASE  DESCRIBE)1  ‐  ‐ N/AN/A PAYMENT  TERMS  NET  30   180  TO  240  DAYS  ARO  FORD  HAS  ALWAYS  ALLOWED  MUNICIPALITIES   "FLEET" DISCOUNTS  ON  SINGLE  UNIT  PURCHASES   OR  MULTI  PURCHASES  WHICH  WOULD  NOT  BE   NORMALLY  AVAILABLE  TO  THE   GENERAL  PUBLIC  ON  A  SINGLE  UNIT  PURCHASE.    210  TO  365  DAYS  ARO   IF  AN  INCENTIVE  DISCOUNT  PROGRAM  HAS  BEEN   INCLUDED  IN  THE  QUOTED  PRICE, PLEASE  DESCRIBE   BELOW  INCLUDED   IF  ADDITIONAL  FEES  WERE  INDICATED  ABOVE, PLEASE   DESCRIBE  BELOW PLEASE  EXPLAIN  THE  EXTENDED  WARRANTY  OFFERED,  IF  AVAILABLE. PLEASE  INCLUDE  INFORMATION  ON  THE   LENGTH  OF  THE  EXTENDED  WARRANTY  AND  THE   SYSTEMS  THAT  ARE  COVERED  ‐   CONTACT  DEALER ‐ THERE  ARE  OVER  37  DIFFERENT   PLUS  ANSWERS   RACEWAY  FORD RIVERSIDE, CALIFORNIA SUBTOTAL SALES  TAX  (10.25%) GRAND  TOTAL Purchasing  Section 1717  Fourth  Street, Suite  250 Santa  Monica, CA  90401 Telephone: 310 ‐458 ‐8281 Fax: 310 ‐393 ‐6142 BID  NO: 4278 BID  DESCRIPTION: CNG  FORD  F550  HEAVY ‐DUTY  PICKUP  TRUCK PRICING TRANSWEST  TRUCK  CENTER  LLC FONTANA, CALIFORNIA MODEL  QUOTED2017  FORD  F550 ‐FSG  2017  FORD  F550 NOTES  $                                                                      278,952.00   28,592.58 $                                                                           CITY  NOTE: VENDOR  DID  NOT  INCLUDE  SALES  TAX   WHEN  CALCULATING  TOTAL. VENDOR  TOTAL  GIVEN   AS: $279,239.25. VENDOR  NOTE: TIRE  FEE  SEVEN   EACH    $                                                                      291,990.00   29,928.98 $                                                                          ‐  $                                                      307,831.83  321,929.48 $                                                       CONTACT  DEALER NO  ADDITIONAL  FEES  INCLUDED  NO  ADDITIONAL  WARRANTIES  ARE  OFFERED  AT   THIS  TIME   YES PLEASE  STATE  GUARANTEED  DELIVERY  DATE ATTACHMENT  B Line  Items  for  Project  CNG  TOOL  TRUCK  (4279) Issued  on  05/31/2017 Bid  Due  on  June  14, 2017   3:00  PM  (Pacific) Item   NumSectionItem  Desc Unit  Of   MeasureQuantityUnit  PriceComment 1Pricing New  and  unused  Asphalt  Tool  Truck, complete  with  all   components  as  specifiedEach1 250,390.00 $           Model: Current  model  year  or  newer  AutoCar  Xpert   ACMD  cab  over  chassis, or  equal Year: 2018   Make: Autocar   Model: ACMD42   GVWR:  33,000  lb   Cab  to  Axle: 122" from  back  of  CNG  tank  to   center  of  rear  axle  (useable) 2PricingCummins  Near  Zero  EngineEach1 9,500.0 0 $              3PricingOperator's  instruction  manualEach3 INCLUDED   4PricingLubrication  instructionsEach2 INCLUDED   5PricingShop  maintenance  manualsEach2 INCLUDED   6PricingIllustrated  parts  bookEach2 INCLUDED   7PricingElectric  wiring  schematicEach1 INCLUDED   8SUBTOTAL 259,890.0 0 $          9PricingSales  Tax  (10.25%)Lump1 26,638.73 $            10PricingWarrantyEach1 695.0 0 $                  11PricingTire  FeeEach1 10.50 $                    12PricingDeliveryEach1 INCLUDED   13PricingOther  (please  describe  in  comments)Lump  sum1 INCLUDED   GRAND  TOTA L 287,234.23 $     14Requirements If  an  incentive  discount  program  has  been  included  in  the   quoted  price, please  describeQuestionAutocar  "Municipal  Discount" has  been  applied 15RequirementsIf  additional  fees  were  indicated  above, please  describeLump  sumNo  Additional  Fees  were  included 16Requirements Please  explain  the  extended  warranty  offered, if  available.   Please  include  information  on  the  length  of  the  extended   warranty  and  the  systems  that  are  coveredQuestion Allison  Transmission  Warranty  is  as  requested  in  the   bid  pages  page  6  of  17  of  truck  specification 17Requirements Please  state  guaranteed  delivery  date:  __________ Days   (After  receipt  of  order)Question180  ‐ 240 18 Additional   purchases  of   vehicles: The  City  reserves  the  right  to  purchase  up  to  one  (1) additional   unit(s) as  specified  herein  beyond  the  quantities  indicated  (1) for  a   period  of  one  year  from  the  date  of  this  bid  award, or  (2) prior  to   the  manufacturer's  order  cut ‐off  date  for  the  desired  unit(s),  whichever  date  occurs  first  (the  "Option  Period").  If  the  City   exercises  this  right, the  initial  bid  prices  shall  remain  firm, unless   during  the  Option  Period  there  is  a  decrease  in  general  published   manufacturer's  price  change  OR  a  general  market  change, as   evidenced  by  prices  paid  by  other  governmental  entities  or  private   organizations.  Within  thirty  (30) calendar  days  of  such  a  decrease   in  price, a  successful  bidder  shall  have  an  AFFIRMATIVE  DUTY  to  (1)  notify  the  City; and  (2) to  extend  the  full  decrease  to  the  City.   Failure  of  a  successful  bidder  to  notify  the  City  and/or  extend  such   decrease(s) may  be  considered  a  breach  of  contract. Please  initial   to  confirm  acknowledgement  of  this  clause: _________QuestionOK  ‐CB 19Requirements Payment  discounts  of  twenty  (20)  or  more  days  will  be   considered  in  award  of  bid. The  City  will  not  take  discounts,  which  are  not  earned.  Payment  Terms  (Enter  payment   discount  terms; otherwise  net  thirty  (30) days  will  apply.QuestionTerm  Net  30  Days 20Requirements Percent  discount  off  of  manufacturer's  price  list  for  related   miscellaneous  items  such  as  floor  mats, additional  manuals:        % to              %.Question7% to  23% Business  License   Required Yes Oaks  Form Incomplete PlanetBids: Vendor  Notifications: 613 Vendor  Downloads: 15 Whittier, CA Los  Angeles  Freightliner