| | | | | | | | Agenda Item - 3.b.
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
| To: | Scott C. Stiles
| From: | William E. Murray
| | Dept.: | City Manager
| Dept.: | Public Works
| | Subject: | Authorize an increase to purchase orders with Factory Motor Parts, Auto Parts Distributors, and O'Reilly Auto Parts for miscellaneous auto parts. (Cost: $85,000) (Action Item) | Date: | 3/27/2018 |
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| | | | | | | | OBJECTIVE
To secure City Council authorization to increase the purchase orders with Factory Motor Parts, Auto Parts Distributors, and O’Reilly Auto Parts for a total additional amount of $85,000 for the purchase of miscellaneous auto parts. |
| | | | | | | | BACKGROUND
On May 13, 2014, City Council approved purchase orders with Factory Motor Parts, Auto Parts Distributors, and O’Reilly Auto Parts totaling $215,000 per year to provide auto parts to maintain the City’s fleet of vehicles. The purchase orders are in the final year of a five (5) year contract. |
| | | | | | | | DISCUSSION
Due to the ever increasing costs of automotive, truck and heavy equipment parts coupled with a recent increase in parts required to facilitate repairs, the annual monetary threshold specified in the purchase orders has been exhausted. Staff is requesting City Council’s approval for an additional $85,000 to carry the purchase orders through the remainder of the contract. |
| | | | | | | | FINANCIAL IMPACT
There is no impact to the General Fund. The financial impact is $85,000 to the Fleet Management Operating Budget.
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| | | | | | | | RECOMMENDATION
It is recommended that the City Council:
- Authorize the Finance Director to increase the amounts of the purchase orders with Factory Motor Parts, Auto Parts Distributors, and O’Reilly Auto Parts for a total additional amount of $85,000 for the purchase of miscellaneous auto parts.
By: Steve Sudduth
Equipment Maintenance Supervisor
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