COUNCIL COMMUNICATION
TO: Honorable Mayor and Council
FROM: Bill Young, Transportation and Maintenance Superintendent
SUBJECT:Title
Approve the Fiscal Year 2024-25 Purchases of Thirty-Seven (37) Ford or Chevrolet Vehicles from San Tan Auto Partners, LLC, dba San Tan Ford, and Midway Chevrolet Company 1, LLC (Bill Young)
Body
FUNDING SOURCE:
General Fund
Water Utility Fund
Highway User Revenue Fund
Wastewater Utility Fund
PURPOSE:
To approve cooperative purchases of thirty-seven (37) Ford or Chevrolet vehicles, including ancillary equipment and upfitting, utilizing the Arizona State Procurement Office (AZSPO) San Tan Auto Partners LLC (San Tan) Contract CTR059323 identified as City’s Cooperative Purchase Agreement 500289, AZSPO’s San Tan Contract CTR069477 for Midsize and Heavy Duty Vehicles identified as City’s Cooperative Purchase Agreement 500467, AZSPO’s Midway Chevrolet Company 1, LLC (Midway) Contract CTR059320 identified as City’s Cooperative Purchase Agreement 500347, and AZSPO’s Midway Contract CTR069474 for Midsize and Heavy Duty Vehicles identified as City’s Cooperative Purchase Agreement 500550, in accordance with City Code §§ 3.10.010.3(A)(1) and 3.10.030.1.
BACKGROUND:
The Public Works Vehicle Maintenance Division is requesting approval of the purchase of thirty-seven vehicles, including ancillary equipment and upfitting, for various departments, as outlined in the attached Fiscal Year (FY) 2024-25 Vehicle Purchasing List, through cooperative purchase utilizing City’s cooperative purchase agreements 500289 (San Tan), 500467 (San Tan-Midsize & Heavy Duty Vehicles), 500347 (Midway), and 500550 (Midway-Midsize & Heavy Duty Vehicles). Total cost is based on the budgeted amount of $2,505,015 including taxes, fees, and delivery.
This process will allow the Vehicle Maintenance Division to take advantage of lower pricing for the products due to AZSPO soliciting for larger volume contracts. The vehicle manufacturers’ order open and close dates for production scheduling are subject to change with little or no notice.
The vehicles outlined in the attached list for FY 2024-25 are mostly replacements for existing vehicles that far exceed the replacement criteria set forth by the City. However, there are a few additional vehicles for new positions. Points for the initial qualifications raised from 28 to 32 several years ago. Points are based on age, mileage, condition, maintenance history, reliability, and type of service based on American Public Works Association guidelines.
COMMUNITY IMPACT:
Providing a cost-effective and reliable fleet of vehicles and equipment allows Lake Havasu City departments and divisions to meet their goals of providing safe, efficient, effective, core critical services, utilities, and programs for the community.
FISCAL IMPACT:
Funding in the amount of $2,505,015 is allocated and available in the General Fund, Water Utility Fund, Highway User Revenue Fund, and the Wastewater Utility Fund for FY 2024-25.
ATTACHMENTS:
FY 2024-25 Vehicle Purchasing List
SUGGESTED MOTION:Recommended Action
I move to:
(1) approve the cooperative purchase of thirty-seven (37) Ford or Chevrolet vehicles from San Tan Auto Partners, LLC, dba San Tan Ford (City’s Cooperative Purchase Agreement No. 500289 and No. 500467 for midsize or heavy-duty vehicles), and Midway Chevrolet Company 1, LLC (City’s Cooperative Purchase Agreement No. 500347 and No. 500550 for midsize or heavy-duty vehicles);
(2) authorize the City Manager to execute the Cooperative Purchase Agreement 500550 with Midway Chevrolet Company 1, LLC, for midsize or heavy-duty vehicles; and
(3) approve the purchase as budgeted and outlined in the attached FY 2024-25 Vehicle Purchasing List, subject to release of an amended manufacturer’s official published pricing and discount off of the manufacturer’s retail price by AZSPO and authorize the City Manager to approve an amended adjustment.