Title
Department of Transportation recommending the Board approve and authorize the Chair to sign Second Amendment to Agreement for Services 4746 with Five Star Automotive, increasing the not-to-exceed amount by $125,000 for a total not-to-exceed amount of $350,000, and other minor administrative changes determined necessary, with no changes to the term, to provide automotive maintenance and repair services for fleet vehicles located in the South Lake Tahoe Basin.
FUNDING: Fleet Internal Service Fund.
Body
DISCUSSION / BACKGROUND
The Department of Transportation, Maintenance and Operations Division, Fleet Services Unit (Fleet) previously had an agreement with Five Star Automotive in the amount of $300,000 which expired on March 23, 2020. Fleet requested and the Purchasing Agent signed a new agreement with Five Star Automotive effective April 21, 2020 for a term of three years for $70,000, an amount allowable under Purchasing Agent signature authority. This was in order to ensure there was as minimal of a break as possible for services in the South Lake Tahoe region for any necessary maintenance or repairs. The First Amendment to Agreement #4746 increased the not-to-exceed total to $200,000, with no changes to scope or term.
Under Agreement #4746, Five Star Automotive agreed to furnish materials, supplies, parts, equipment, personnel, subcontractors, and services necessary to provide automotive repair and maintenance services for County fleet vehicles in the South Lake Tahoe Basin (Basin). Details of the work included: preventative maintenance, tune-ups, engine overhauls, smog inspections, windshield and glass repairs or replacements, tire mounting, installation, balancing, studding and repairs, alignments, and minor body repairs; and maintenance and repair of brakes, air conditioning systems, electrical systems, suspension systems, engine cooling systems, transmissions, and clutches.
The Second Amendment to Agreement #4746 is necessary to continue to repair and maintain vehicles in the Basin for Fleet. Although most of the services provided under this Agreement involve bargaining unit work, the County does not have an adequate automotive servicing facility in the Basin. Five Star Automotive has the ability to perform the necessary work and maintains the requisite repair bays, lifts, tools, and specialized equipment to service fleet vehicles in the Basin. Additionally, Five Star Automotive provides the storage space for County vehicles awaiting repairs and maintenance, thus alleviating parking and storage problems especially during the winter months at County-operated facilities. The amount of the Second Amendment to Agreement includes all associated costs for the maintenance and repair of fleet vehicles including parts, materials, supplies, equipment, and labor. Fleet is requesting to add an additional $150,000 with the Second Amendment for a new not-to-exceed total of $350,000. The additional amount is needed to maintain to continue these services through 2023 due to a substantial increase in the cost of parts and labor. This increase requires approval by the Board of Supervisors.
The Second Amendment to Agreement #4746 also includes minor administrative changes to various articles that were determined necessary in the approval process. These changes include: updating the Notice to Parties Article to update the County's notice recipients; replacing the Contractor to County, Confidentiality, Independent Contractor, Default, Termination, and Cancellation, Indemnity, Business License, Conflict of Interest, and Nondiscrimination articles in their entirety to address recent changes in state law and revised standard County contract language. Similarly, two (2) new articles, Force Majeure and Waiver, were added to for the same purpose.
Research of automotive body shops was provided to the Procurement and Contracts Division for the original Agreement in the form of a non-competitive bid justification form and Five Star Automotive was the only local vendor that is able to meet the County's needs. There is a lack of repair shops in the area. For example, Fleet contacted the three known vendors in Tahoe to obtain pricing and Five Star was the only respondent.
ALTERNATIVES
The Board could choose not to approve the Second Amendment to Agreement. Transportation would have to research other avenues to complete the work scheduled under this contract. While this research is being conducted, all Basin fleet vehicle maintenance would have to be transported to, and added to, the work load of Fleet's West Slope facility located in Placerville.
PRIOR BOARD ACTION
#20-1500, 12/20/2020
OTHER DEPARTMENT / AGENCY INVOLVEMENT
County Counsel and Procurement and Contracts
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
Funding is available within the Department of Transportation Maintenance and Operations Division - Fleet Internal Service Fund budget for FY 2021-22. This internal service fund charges costs for services to other County departments. Funding for work in future fiscal years will be included in Transportation's annual budget proposals.
CLERK OF THE BOARD FOLLOW UP ACTIONS
1) The Clerk of the Board will obtain the Chair's signature on two (2) originals of the Second Amendment to Agreement.
2) The Clerk of the Board will return one (1) of the signed originals of the Second Amendment to Agreement to Procurement and Contracts Division, for further processing.
STRATEGIC PLAN COMPONENT
Good Governance
CONTACT
Rafael Martinez, Director
Department of Transportation