Item Coversheet

Agenda Item - 4.b.


City of Garden Grove


INTER-DEPARTMENT MEMORANDUM

To:Scott C. Stiles

From:William E. Murray
Dept.:City Manager 

Dept.: Public Works 
Subject:

Authorize the issuance of a purchase order to National Auto Fleet Group for the purchase of one new Public Works utility body truck. (Cost: $87,465.50) (Action Item)

Date:2/11/2020

OBJECTIVE

To secure City Council authorization to purchase one (1) new Public Works utility body truck from National Auto Fleet Group through the Sourcewell competitive bid program, Contract #120716.

BACKGROUND

The Public Works Department has one (1) Water Department utility body truck that currently meets the City’s guidelines for replacement and was approved through Fiscal Year 2019/20 budget process. This vehicle is being upgraded to a larger, more versatile utility body truck using Water Department Enterprise Fund funding to satisfy the current needs of the department. Experience has shown that the City’s buying power is enhanced through joining with other public agencies to purchase fleet vehicles and equipment.

DISCUSSION

Sourcewell nationally solicits, evaluates and awards contracts through a competitive bid process.  As a member of Sourcewell, the City is able to utilize bid awards for equipment purchases. Staff recommends piggybacking on the results of a recent Sourcewell competitive bid program, Contract #120716. The results deemed National Auto Fleet Group as the lowest responsive bid.

                

       National Auto Fleet Group                                              $87,465.50*        

       (Ford F-550)     

 

* This price includes all applicable tax and destination charges.

FINANCIAL IMPACT

There is no impact to the General Fund. The financial impact is $50,000 to the Fleet Management Fund and $37,465.50 to the Water Department Enterprise Fund. The surplus equipment will be sold at public auction.

RECOMMENDATION

It is recommended that the City Council:

 

  • Authorize the Finance Director to issue a purchase order in the amount of $87,465.50 to National Auto Fleet Group for the purchase of one (1) new Public Works utility body truck.

 

 

 

By: Steve Sudduth, Equipment Maintenance Supervisor