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Chief Administrative Office, Procurement and Contracts Division, recommending award of Bid 07-070-068 for the purchase of new fleet vehicles to Placerville Ford in the amount of $1,354,666, South Shore Motors in the amount of $151,856, and Maita Chevrolet in the amount of $308,662 including sales and tire tax; and authorize an increase to same on an "as-needed" basis during the awarded period if funding is available within the requesting Department's budget; and authorize Chairman to sign Budget Transfer 27171 in the amount of $110,000 increasing appropriations in Fleet Management's budget for same. (4/5 vote required)
FUNDING: Procurement & Contracts has been advised that funding is available within the Fleet Management's Internal Service Fund and upon approval of the bid award, the budget transfer will increase Fleet's Operating Budget in the amount of $110,000 required for the purchase of the additional five fleet vehicles for the Department of Transportation.
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REASON FOR RECOMMENDATION: At the request of General Services, Procurement & Contracts Division issued an Invitation to Bid for the purchase of new and replacement fleet vehicles. The replacement of fleet vehicles is generally determined when the vehicle reaches the targeted mileage standardized by Fleet Management, or replaced due to accidents in which the vehicle could not be repaired.
Five new fleet vehicles will be purchased for the Department of Transportation's construction unit. On June 27, 2006, the Board authorized the Department of Transportation to add 24 new personnel allocations. Ten of these new allocations were allotted to the Department's west slope construction unit. These new allocations are for permanent positions and are needed to administer construction contracts that will be executed over the next five years. The staff required to administer the contracts require vehicles to inspect the various construction projects. The five new vehicles to be purchased are two-wheel drive, four-door, midsize sport utility vehicles.
In November 2006, Procurement & Contracts issued a formal bid for the rental of various vehicles countywide on an "as needed" basis . The bid price for renting a two-wheel sport utility vehicle was quoted at $1,200.00 per month. Department of Transportation has determined purchasing the vehicles would be more cost effective than renting them.
The attached budget transfer from Department of Transportation to fund the purchase of the five new vehicles is realized from decreasing their equipment lease budget in the amount of $107,600.00, and adding $2,400.00 in available fund balance, resulting in an increase to Fleet Management's operating budget in the amount of $110,000.00.
The division mailed 20 Invitations to Bid, eight to local vendors. Five responses were received, three from local vendors. Spreadsheets showing the bid results are attached for your review.
FISCAL IMPACT/CHANGE TO NET COUNTY COST: Procurement and Contracts has been advised that funding is available within General Services', Fleet Operating Budget (Non-General Fund).
ACTION TO BE TAKEN FOLLOWING APPROVAL: Following Board approval, the Procurement and Contracts Division will issue purchase orders to Placerville Ford, South Shore Motors and Maita Chevrolet totaling $1,815,184.00.
Contact: Bonnie H. Rich, Purchasing Agent x5940
Concurrences: Not Applicable.