DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: City Wide
SUBJECT:
Light Duty Trucks & Sport Utility Vehicle
SUMMARY:
This ordinance authorizes contracts with Silsbee Ford and Grande Truck Center to provide the Aviation Department with gasoline powered vehicles to include three light duty trucks and one sport utility vehicle for a total cost of $130,436.20. Funding will be available from the FY 2014 Airport Operating and Maintenance Fund.
BACKGROUND INFORMATION:
The Aviation Department utilizes gasoline powered light duty trucks and sport utility vehicles to conduct maintenance operations on airport property. These operations include Federal Aviation Administration (FAA) compliance requirements on airfield runways and grounds maintenance around airport property. Periodic vehicle replacement is necessary to ensure that the fleet age does not adversely impact service levels due to high maintenance. The vehicles being replaced are not in the City's Equipment Replacement and Renewal Fund. Vehicles and equipment that meet their established expected life cycle are sold at auction or are traded-in to the selling dealer.
The three vehicles from Silsbee Ford will be covered by 36 month/36,000 miles bumper to bumper warranty and 6 year/60,000 miles powertrain warranty. The vehicle from Grande Truck Center will be covered by a base 36 mo/36,000 miles warranty and a 60 month/60,000 miles powertrain warranty.
Although propane powered vehicles are available, the Aviation Department does not have the infrastructure to support this fuel source.
ISSUE:
The City issued an Invitation for Bid to provide the Aviation Department with three light duty trucks and one sport utility vehicle to conduct maintenance operations on airport property. The award of these contracts will allow the replacement of equipment that has reached the end of its useful service life. This equipment is required to support daily airport operations.
The Small Business Economic Development Advocacy ordinance requirements were waived due to the lack of qualified SMWBE's available to provide the goods and services.
Items 1 and 2: In accordance with the Local Preference Program (LPP), no local preference was applied, since the local bidder is not within 3% of the recommended lowest non-local bidder.
Item 3: The recommended award is to the lowest responsive bidder, who is also a local business. Therefore, application of the LPP was not required.
Item 4: There were no bids submitted from local bidders, therefore the LPP was not applied.
The Veteran-Owned Small Business Preference Program does not apply to goods/supplies contracts, so no preference was applied to this contract.
ALTERNATIVES:
Should these contracts not be approved, the Aviation Department will continue to operate existing vehicles that have been in service since 1996 and 2000 and are beyond their expected useful life. As a result, downtime and the cost of repairs will continue as will the cost of renting supplemental equipment to meet required service levels. If the replacement purchase is not authorized, the department's ability to conduct airport maintenance operations will be compromised.
FISCAL IMPACT:
The total cost for the purchase of three light duty trucks and one sport utility vehicle is $130,436.20 and will be funded from the FY 2014 Airport Operating and Maintenance Fund.
RECOMMENDATION:
Staff recommends the approval of the purchases from Silsbee Ford and Grande Truck Center for a total cost of $130,436.20.
The contracts were procured by means of low bid and Contracts Disclosure Forms are not required.