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HomeMy WebLinkAboutItem 11e - Purchase of One Pick-up Truck for FD DATE: August 3, 2021 TO: Honorable Mayor and City Council FROM: Barry R. Spriggs, Fire Chief By: Maria Lourdes A. Taylor, Sr. Management Analyst SUBJECT: PURCHASE ORDER WITH 72 HOUR LLC DBA NATIONAL AUTO FLEET GROUP FOR THE PURCHASE OF ONE 2022 FOUR-WHEEL DRIVE CHEVROLET SILVERADO PICK-UP TRUCK IN THE AMOUNT OF $59,324.62 Recommendation: Approve SUMMARY The Fiscal Year 2021-22 Equipment Acquisition Program provides for the replacement of one 1994 Chevrolet Stakebed Truck in the Fire Department that meets the criteria for replacement in the Vehicle Replacement Program for an approved budget of $60,000. After exploring possible purchasing options, it was determined that using Sourcewell, a national cooperative purchasing program, enables the City to streamline the process of procuring this vehicle and receive the best price possible. It is recommended that the City Council approve a Purchase Order with 72 Hour LLC (dba National Auto Fleet Group) for the purchase of one 2022 four-wheel drive Chevrolet Silverado pick-up truck in the amount of $59,324.62. DISCUSSION The existing 1994 Chevrolet Stakebed Truck vehicle, Asset #60165, has been in service for 27 years and meets the age criteria of the City’s Vehicle Replacement Program (“Program”). The Program recommends replacing this vehicle in 12 years. Most importantly, it no longer meets the operational needs of the Fire Department primarily since its replacement parts have been increasingly difficult to locate and purchase, which has resulted in increasingly lengthy and expensive repairs. The 1994 Chevrolet Stakebed Truck will be replaced with a new 2022 model four-wheel drive Chevrolet Silverado pick-up, which will be assigned to the Fire Chief. This new vehicle will also be outfitted with the required Fire Department radios and code 3 capabilities, allowing for rapid response back into the City as the needs arise. Purchase of a 2022 Pick-Up Truck August 3, 2021 Page 2 of 2 Consequently, the 2013 Chevrolet Silverado Pickup that is currently assigned to the Fire Chief will be re-assigned as the Station Utility Vehicle. The California Government Code authorizes public agencies to participate in cooperative purchasing agreements such as those established by Sourcewell while still remaining within the City’s adopted rules and procedures for purchasing. By utilizing a cooperative purchasing program, the City is able to streamline the procurement process and purchase vehicles and equipment at a lower cost than traditional competitive bidding. Cooperative purchasing agreements also leverage economies of scale to enable vendors to provide goods at reduced costs. Sourcewell awarded a contract to National Auto Fleet Group for a series of specialized heavy-duty vehicles with related equipment and accessories. The bidding process and the contract with National Auto Fleet Group have been reviewed by the Fire Department and it was determined that they meet the City’s procurement requirements. A copy of the agreement between Sourcewell and National Auto Fleet Group is attached. ENVIRONMENTAL ANALYSIS The proposed action does not constitute a project under the California Environmental Quality Act (“CEQA”), and it can be seen with certainty that it will have no impact on the environment. Thus, this matter is exempt under CEQA. FISCAL IMPACT Sufficient funding in the amount of $60,000 has been budgeted in the Fiscal Year 2021- 22 Equipment Acquisition Program for the purchase of this vehicle. RECOMMENDATION It is recommended that the City Council approve a Purchase Order with 72 Hour LLC dba National Auto Fleet Group for the purchase of one 2022 four-wheel drive Chevrolet Silverado pick-up truck in the amount of $59,324.62. Attachment: 72 Hour LLC dba National Auto Fleet Group and Sourcewell Agreement Letter of Agreement To Extend the Contract Between 72 Hour LLC, dba National Auto Fleet Group 490 Auto Center Dr. Watsonville, CA 95076-3726 And Sourcewell 202 12th Street NE Staples, MN 56479 Phone: (218) 894-1930 The Vendor and Sourcewell have entered into an Agreement (Contract #120716-NAF) for the procurement of Vehicles, Cars, Vans, SUVs, and Light Trucks with Related Equipment, Accessories and Services. This Agreement has an expiration date of January 17, 2021, but the parties may extend the Agreement for one additional year by mutual consent. The parties acknowledge that extending the Agreement for another year benefits the Vendor, Sourcewell and Sourcewell’s members. The Vendor and Sourcewell therefore agree to extend the Agreement listed above for a fifth year. This existing Agreement will terminate on January 17, 2022. All other terms and conditions of the Agreement remain in force. Sourcewell By: ___________________________________________, Its: Director of Operations & Procurement/CPO Name printed or typed: Jeremy Schwartz___________________________________________ Date 72 Hour LLC, dba National Auto Fleet Group By: ___________________________________________, Its: _________________________ Name printed or typed: _________________________________________________________ Date