Item Coversheet

Agenda Item - 4.e.


City of Garden Grove


INTER-DEPARTMENT MEMORANDUM

To:Scott C. Stiles

From:William E. Murray
Dept.:City Manager 

Dept.: Public Works 
Subject:

Authorize issuance of purchase orders to Villa Ford, AutoNation Ford Tustin, and Ford of Orange for auto parts to repair City vehicles. (Cost: $150,000 per year.) (Action Item)

Date:7/10/2018

OBJECTIVE

For the City Council to authorize the Finance Director to issue purchase orders to Villa Ford, AutoNation Ford Tustin, and Ford of Orange for the purchase of Ford parts for repairing City vehicles.

BACKGROUND

The Public Works Vehicle Maintenance Division is responsible for maintaining the City’s fleet of Ford vehicles. The fleet routinely requires parts that are only distributed by Ford dealers. To avoid delays in the purchase and delivery of parts and to meet the needs of our customers in a timely manner, it is essential that Public Works have the ability to purchase these items from more than one vendor. 

DISCUSSION

Specifications were prepared and sent to prospective bidders. The variety and quantity of Ford parts quoted was limited to simplify the bidding process. Specifications included eight (8) Ford parts that are used on a regular basis.

 

Per Garden Grove Municipal Code 2.50.110(d), Villa Ford was deemed to be the lowest bidder, which qualifies Villa Ford as a primary source for parts and the two remaining bidders AutoNation Ford Tustin and Ford of Orange utilized as back up sources for parts.  

 

Villa Ford                                                             $3,792.72

Orange, CA

 

AutoNation Ford Tustin                                          $3,955.43

Tustin, CA

 

Ford of Orange                                                      $3,988.14

Orange, CA

FINANCIAL IMPACT

The financial impact to the Fleet Management Fund would be $150,000 per year for five (5) years. There is no impact to the General Fund.

RECOMMENDATION

It is recommended that the City Council:

 

  • Authorize the Finance Director to issue three (3) purchase orders for Ford auto parts in a fixed amount collectively not to exceed $150,000 per year for five (5) years and to be divided between Villa Ford, AutoNation Ford Tustin, and Ford of Orange.

 

 

By:  Steve Sudduth, Equipment Maintenance Supervisor