DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
Light Duty Trucks
SUMMARY:
This ordinance authorizes acceptance of contracts with Grande Truck Center, Caldwell Country Ford, Silsbee Ford and Gunn Chevrolet to provide various City departments with light duty trucks for a total cost of $3,025,309.16. Funding is available from the Equipment Renewal and Replacement Fund (ERRF), Solid Waste Fund and the General Fund.
BACKGROUND INFORMATION:
A. Submitted for City Council consideration and action is the attached bid tabulation of ten competitive bids to provide 136 light duty trucks for a total cost of $2,891,196.16. The vehicles will be used to support the day-to-day operations of the various City departments.
The Invitation for Bid (IFB) was evaluated based on the published bid specifications. The low bid for Item 18 was submitted by Tom Benson Chevrolet; however, the vehicle model does not meet the bid requirement of a four wheel drive SUV and was deemed non-responsive. Item 16 was deleted from the bid and will be bid at a later time.
In accordance with the Local Preference Program (LPP), Items 1 through 9 and 14 are recommended for award to Grande Truck Center and Gunn Chevrolet for Item 18. Grande Truck Center and Gunn Chevrolet, both local bidders, submitted bids within 3% of non-local bidders. The LPP award will result in an additional cost to the City of $31,351.50. Gunn Chevrolet is the low responsive bidder for Item 17 and is also a local business. Therefore, application of the LPP was not required.
Item 10 is recommended for award to Caldwell Country Ford and Items 11, 13 and 15 are recommended for award to Silsbee Ford. In accordance with the LPP, no local preference was applied, since the local bidders are not within 3% of the recommended lowest non-local bidder. No bids were submitted from local bidders for Item 12. Therefore, the LPP was not applied and is recommended for award to Silsbee Ford.
The table below summarizes Local Preference information regarding Items 1 through 18:
Item Number |
Vendor |
Local Award |
Local Preference Applied |
Cost Differential |
1 |
Grande Truck Center |
Yes |
Yes |
$5,184.00 |
2 |
Grande Truck Center |
Yes |
Yes |
$14,688.00 |
3 |
Grande Truck Center |
Yes |
Yes |
$1,150.48 |
4 |
Grande Truck Center |
Yes |
Yes |
$1,860.00 |
5 |
Grande Truck Center |
Yes |
Yes |
$539.00 |
6 |
Grande Truck Center |
Yes |
Yes |
$612.40 |
7 |
Grande Truck Center |
Yes |
Yes |
$1,120.80 |
8 |
Grande Truck Center |
Yes |
Yes |
$3,310.00 |
9 |
Grande Truck Center |
Yes |
Yes |
$314.48 |
10 |
Caldwell Country Ford |
No |
No |
$0.00 |
11 |
Silsbee Ford |
No |
No |
$0.00 |
12 |
Silsbee Ford |
No |
No |
$0.00 |
13 |
Silsbee Ford |
No |
No |
$0.00 |
14 |
Grande Truck Center |
Yes |
Yes |
$1,631.00 |
15 |
Silsbee Ford |
No |
No |
$0.00 |
16 |
Deleted |
|
|
$0.00 |
17 |
Gunn Chevrolet Ltd. |
Yes |
No |
$0.00 |
18 |
Gunn Chevrolet Ltd. |
Yes |
Yes |
$941.34 |
Total |
|
|
|
$31,351.50 |
The 136 light duty trucks will be utilized by the following departments: Convention & Sports Facilities, Animal Care Services, Building & Equipment Services, Capital Improvement Services, Development Services, Fire, Downtown Operations, Parks & Recreation, Police, Public Works, Planning & Community Development, and Solid Waste Management.
B. Submitted for Council consideration and action is the change order for an additional seven units for Item 2 submitted by Grande Truck Center, which are replacement vehicles that will be funded through the City of San Antonio's ERRF Fund for a total cost of $134,113.00, to be used by the Development Services Department to fulfill the need for additional ground clearance in vehicles for new Code Enforcement Officers.
Disposition of Equipment:
Vehicles and equipment that meet their expected life cycle are usually sold at auction but may also be traded-in to the selling dealer. The equipment that is being replaced will be sold at auction. If the fleet asset is in the City's fleet replacement program then the proceeds are returned to the ERRF. The proceeds are then used to purchase new similar vehicles and equipment.
Alternative Fuels:
These vehicles could not be acquired as propane powered because the particular vehicles were not available in the Liquefied Petroleum Gas (LPG) configuration or because the specific operational requirements of the vehicles precluded this option. These vehicles could not be acquired in a Compressed Natural Gas (CNG) configuration due to limited CNG fueling infrastructure.
ISSUE:
This contract will provide 127 replacement and 16 add-on vehicles to the City's fleet.
The compact and half-ton trucks are covered by the following warranty:
FORD offers the following limited warranty:
Bumper-to-Bumper Limited Warranty (years/miles) 3 / 36,000
Powertrain Limited Warranty (years/miles) 5 / 60,000
Powertrain Diesel Engine Warranty (years/miles) 5 / 100,000
CHEVROLET offers the following limited warranty:
Bumper-to-Bumper Limited Warranty (years/miles) 3 / 36,000
Powertrain Limited Warranty (years/miles) 5 / 100,000
Powertrain Diesel Engine Warranty (years/miles) 5 / 100,000
The life expectancy for all of these vehicles is 96 months.
The Small Business Economic Development Advocacy Ordinance requirements were waived due to lack of qualified SMWBE's available to provide the goods or services.
ALTERNATIVES:
The current light duty trucks scheduled for replacement have met or will meet their age and or mileage requirement cycles before they are replaced. The replacement date is considered the optimum time for replacement as delaying the acquisition will make the vehicles no longer economically feasible to maintain. If the replacement vehicles are not purchased, necessary field work may be compromised and thus create the potential for delays in the delivery of essential services to the residents of San Antonio.
FISCAL IMPACT:
The purchase of these light duty trucks is for a total cost of $3,025,309.16 and will be funded from the ERRF, Solid Waste Fund and the General Fund.
This fund charges a monthly lease rate to each respective department or fund the entire time a department or fund has possession of a vehicle or equipment. When the vehicle or equipment reaches the end of its life-cycle or the contractually obligated period, the replacement fund provides the financial resources for its like replacement.
The replacement of these units is consistent with the City's vehicle replacement program. All of these new vehicles will be placed in the ERRF upon entry into service.
RECOMMENDATION:
Staff recommends the approval of the contracts with Grande Truck Center, Caldwell Country Ford, Silsbee Ford and Gunn Chevrolet for a total cost of $3,025,309.16. This contract was procured on the basis of low bid and a Contracts Disclosure Form is not required.