TO: ADAM PIRRIE, CITY MANAGER
FROM: JEREMY SWAN, COMMUNITY SERVICES DIRECTOR
DATE: NOVEMBER 12, 2024
Reviewed by:
City Manager: AP
SUBJECT:
Title
AWARD OF CONTRACT TO MK SMITH CHEVROLET FOR THE PURCHASE OF SEVEN FLEET VEHICLES (FUNDING SOURCE: MOTOR FLEET FUND)
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SUMMARY
Funding is currently available to procure seven fleet vehicles, including four Chevrolet Tahoe police patrol units, two Chevrolet Colorado pickup trucks, and one Chevrolet Silverado Police Patrol Vehicle (PPV). Following a competitive bidding process, staff recommends entering into an agreement with MK Smith Chevrolet to procure the seven vehicles.
RECOMMENDATION
Recommended Action
Staff recommends the City Council authorize the City Manager to enter into an agreement with MK Smith Chevrolet in the amount of $359,959.59 for vehicle replacements.
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ALTERNATIVE TO RECOMMENDATION
In addition to the recommendation, there is the following alternative:
• Request more information.
FINANCIAL REVIEW
The 2024-25 Motor Fleet budget includes $1,338,000 to replace and upfit sixteen vehicles that have reached the ends of their useful lives. The City Council previously authorized an agreement with Fritts Ford to purchase ten vehicles in the amount of $619,354.77, leaving $718,645.23 remaining in the Motor Fleet budget. In addition to the available Motor Fleet budget, the Police Department secured a California Highway Patrol (CHP) Cannabis Tax Fund Grant to procure a Chevrolet Silverado PPV. The vehicle will be utilized as a DUI patrol vehicle. The grant will cover vehicle procurement, equipment, and upfitting services up to $84,346.
Between the available Motor Fleet budget and the CHP Grant, a total of $802,991.23 is currently available. The total cost of the vehicle purchase contract is $359,959.59, leaving $414,597.97 remaining in the Motor Fleet budget and $28,433.67 remaining in the CHP Grant. Police Department staff is currently soliciting quotes for vehicle equipment and upfit services utilizing the remaining funds, which will be brought to the City Council at a future meeting.
This purchase complies with all City purchasing guidelines. Bid and contract documents are available for review in the City Clerk's office.
The staff cost to prepare this report and administer this contract is estimated at $4,300 and is included in the operating budgets of the Community Services and Police Departments.
ANALYSIS
Vehicle Procurement
Staff recommends entering into a contract with MK Smith Chevrolet to purchase seven vehicles, including four Chevrolet Tahoe police patrol units, two Chevrolet Colorado pickup trucks, and one Chevrolet Silverado PPV. The Chevrolet Tahoe and Colorado pickups will replace existing fleet vehicles that are due for replacement due to age and condition. The Chevrolet Silverado PPV is a grant-funded addition to the City’s fleet to assist with DUI enforcement.
The City requested vehicle pricing from multiple Chevrolet dealers:
|
Bidder |
Price |
|
MK Smith Chevrolet |
$359,959.59 |
|
Mountain View Chevrolet |
$389,606.58 |
|
National Auto Fleet Group |
Pricing Not Available |
|
Tom Bell Chevrolet |
No Response |
|
Winner Chevrolet |
No Response |
MK Smith Chevrolet was the lowest responsive bidder. Staff recommends contracting with MK Smith Chevrolet in the amount of $359,959.59.
RELATIONSHIP TO CITY PLANNING DOCUMENTS
Staff has evaluated the agenda item in relationship to the City’s strategic and visioning documents and finds that it applies to the following City Planning documents: Council Priorities, Sustainable City Plan, Economic Sustainability Plan, General Plan, and 2024-26 Budget.
CEQA REVIEW
This item is not subject to environmental review under the California Environmental Quality Act (CEQA).
PUBLIC NOTICE PROCESS
The agenda and staff report for this item have been posted on the City website and distributed to interested parties. If you desire a copy, please contact the City Clerk’s Office.
Submitted by: Prepared by:
Jeremy Swan Kristin Mikula
Community Services Director Community Services Manager