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Home My WebLink About4.8 Purchase Unmarked Police Vehicles STAFF REPORT CITY CLERK File #350-20 CITY COUNCIL DATE:March 18, 2014 TO: Honorable Mayor and City Councilmembers FROM: Christopher L. Foss, Acting City Manager SUBJECT: Authorization of Staff to Purchase Unmarked Police Vehicles Directly from Vendor Prepared by Nate Schmidt, Operations Lieutenant EXECUTIVE SUMMARY: In order to ensure reliability and to minimize repair expense, the City routinely reviews fleet vehicles for potential replacement. Staff has scheduled four unmarked police vehicles for replacement during Fiscal Year 2013-2014 based upon general vehicle condition and history of maintenance and repair expenses. Staff conducted research to determine which available vehicle(s) would best suit the upcoming needs of Dublin Police Services and is recommending a 2014 Ford Fusion SE, a 2014 Ford Taurus SEL, a 2014 Ford Taurus SE, and a 2014 Ford Interceptor Utility AWD. FINANCIAL IMPACT: Adequate funding exists in the adopted Fiscal Year 2013-14 Internal Service Funds Budget for the purchase of four unmarked vehicles including the emergency equipment installation costs. The necessary emergency equipment will be purchased and installed separately. Any revenue generated from the auction of the retired vehicles is also deposited into the Internal Service Fund to offset future replacement costs. RECOMMENDATION: Staff recommends that the City Council adopt the Resolution Authorizing Staff to Procure Four Unmarked Police Vehicles from Livermore Auto Group and Declaring Vehicles Replaced as Surplus Property. (Note: The City Purchasing Ordinance will require this item to be approved by a four-fifths vote, as the pricing was negotiated and not obtained from a sealed bid.) Submitted By Reviewed By Reviewed By Police Chief Administrative Acting Assistant City Manager Services Director ITEM NO. 4.8 Page 1 of 3 DESCRIPTION: Currently, the City’s fleet includes six unmarked police vehicles which are used by Dublin Police Services investigations and administrative personnel. In order to assure reliability and to minimize repair expense, the City reviews replacement of these vehicles for potential replacement after seven years of service and/or 75,000 miles. Based upon general vehicle condition and the age of units currently in the fleet, Staff has identified four existing unmarked vehicles for replacement during Fiscal Year 2013-2014: a 2006 Ford Taurus (#D32) with 59,921 miles and an inoperable engine, a 2007 Ford Taurus (#D33) with 52,026 miles, a 2007 Ford Taurus (#D38) with 62,421 miles, and a 2008 Ford Taurus (#D30) with 108,825 miles. Sufficient funds have been budgeted in the Internal Services Funds to replace all four vehicles, including the installation of emergency equipment. Staff conducted research to determine which available vehicle(s) would best suit the upcoming needs for Staff to replace the aforementioned vehicles. The research determined that a 2014 Ford Fusion SE, a 2014 Ford Taurus SEL, a 2014 Ford Taurus SE, and a 2014 Ford Interceptor Utility AWD would best suit the investigative and administrative units. The vehicles were researched with functionality, durability, performance, and cost in mind. Staff obtained competitive pricing from multiple Ford vendors for the purchase of these four vehicles. Each vendor was provided a group of specifications for each particular vehicle and submitted quotes based on these specifications. The City Municipal Code establishes the procedures for making purchases and requires that major purchases for items in excess of $45,000 be awarded by the City Council. The award is to be made based on formal sealed bids unless one of the allowed exceptions is utilized. The Municipal Code contains a specific exception to the formal bid process when the purchase is for vehicles. The exception is shown below: Section 2.36.100(B)(10) Dublin Municipal Code: When the City Council specifically waives the competitive bid process and authorizes staff to negotiate the purchase of vehicles by a four-fifths (4/5) vote. (Ord. 12-12 § 2 (part). Staff has determined that solicitation of formal bids from car dealerships for the purchase of vehicles is neither feasible nor practical and therefore requests the City Council authorize the purchase through negotiation for the replacement of four unmarked vehicles based on negotiated pricing from Livermore Auto Group. The lowest cost presented for the four unmarked vehicles was from Livermore Auto Group. The competitive pricing obtained shown in the tables below reflects the total purchase price for all four vehicles including sales tax, documentation fee, and tire fee: Page 2 of 3 COMPARISON PRICING FOR PURCHASE OF A 2014 FORD TAURUS FWD SE, 2014 FORD TAURUS SEL, 2014 FORD FUSION SE, 2014 FORD INTERCEPTOR AWD (Includes Purchase Price, Sales Tax, Documentation Fee, and Tire Fee) VENDOR COST FOR ALL VEHICLES Livermore Auto Group $97,727.34 The San Leandro Ford Store $98,966.67 National Auto Fleet $103,764.48 Upon delivery of the vehicles, Staff will arrange for them to be equipped with emergency police equipment. At this time, Staff is also requesting City Council authorization to dispose of the 2006 Ford Taurus (#D32), 2007 Ford Taurus (#D33), 2007 Ford Taurus (#D38), and 2008 Ford Taurus (#D30), once the new units are in service. The retired vehicles will be transferred to a professional auction company for sale. Staff has prepared a Resolution (Attachment 1) to record the two actions being requested. The first is the authorization to purchase the vehicles through direct negotiation instead of using a formal bid. The City’s purchasing regulations require approval of this process by a four-fifths vote. The second element addressed by the Resolution is the authorization for the Purchasing Agent to dispose of the 2006 Ford Taurus (#D32), 2007 Ford Taurus (#D33), 2007 Ford Taurus (#D38), and 2008 Ford Taurus (#D30) at public auction, once the replacement vehicles are in service. NOTICING REQUIREMENTS/PUBLIC OUTREACH: None. ATTACHMENTS: 1. Resolution Authorizing Staff to Purchase Unmarked Police Vehicles Directly from Livermore Auto Group and Declaring Vehicles Replaced as Surplus Property Page 3 of 3 RESOLUTION NO. xx - 14 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN * * * * * * * * * AUTHORIZING STAFF TO PROCURE FOUR UNMARKED VEHICLES FROM LIVERMORE AUTO GROUP AND DECLARING VEHICLES REPLACED AS SURPLUS PROPERTY WHEREAS , the City requires the purchase of unmarked vehicles for Dublin Police Services investigative and administrative units; and WHEREAS , the City follows a process of periodically replacing unmarked vehicles based upon the age of the vehicle and its condition; and WHEREAS , in the Fiscal Year 2013/2014 Internal Service Funds Budget funding was included for the replacement of four unmarked vehicles; and WHEREAS, Section 2.36.100(B)(10) of the Dublin Municipal Code allows for exceptions to the typical public bidding process when the City Council specifically waives the competitive bid process and authorizes staff to negotiate the purchase of vehicles by a four-fifths vote; and WHEREAS, Section 2.36.150 of the Dublin Municipal Code provides for the purchasing agent to recommend the sale or disposal of all supplies and equipment which cannot be used by the city, or which have become unsuitable for city use; and WHEREAS, Staff has obtained competitive pricing from three Ford dealers for comparably equipped vehicles and it is recommended that the City Council authorize the purchase of four vehicles from Livermore Auto Group at a cost of $97,727.34 as allowed under Chapter 2.36 of the Dublin Municipal Code. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin hereby authorizes the City Manager as Purchasing Agent to procure in Fiscal Year 2013/2014 four replacement unmarked vehicles from Livermore Auto Group as described to the City Council on March 18, 2014. BE IT FURTHER RESOLVED that, upon placing the new vehicles in service, the replaced vehicles are declared surplus property to be sold at auction. BE IT FURTHER RESOLVED that the City Manager and/or his designee shall be authorized to arrange for the auction of surplus City property in accordance with state and local laws and regulations. PASSED, APPROVED AND ADOPTED this 18th day of March 2014, by the following vote: AYES : NOES : ABSENT : ABSTAIN : ______________________________________ Mayor ATTEST : ATTACHMENT 1 _______________________________________ City Clerk ATTACHMENT 1