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HomeMy WebLinkAboutID# 15-840 Acquisition City Fleet Replacement VehiclesCITY OF LADE ( LS1110 jE DREAM EXTREMEW REPORT TO CITY COUNCIL TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: GRANT M. YATES CITY MANAGER DATE: DECEMBER 8, 2015 SUBJECT: ACQUISITION CITY FLEET REPLACEMENT VEHICLES Recommendations Authorize the purchase of one (1) four wheel drive SUV and three (3) two wheel drive SUV vehicles, from National Auto Fleet Group (Contract Number 102811) in the total amount of $110,890.42. Background The City of Lake Elsinore has an inventory of 125 pieces of equipment, which includes vehicles, off -road equipment, multiple water crafts, and other various machinery. Presently, the City has a need for staff fleet vehicles in Code Enforcement and Public Works. Staff has researched the purchase of these vehicles from local dealerships as well as government vehicle purchase contracts. The result has yielded the most favorable pricing is from National Auto Fleet Group, Contract Number 102811. These contracts are nationally solicited, competitively bid and awarded on behalf of National Joint Powers Authorities (NJPA) current and potential government and education member agencies. This national contract has been assigned to area Dealerships for vehicle sale and delivery at the competitive contracted price. The State statute authorizes "public agencies" to participate in cooperative purchasing agreements like those established by NJPA. Therefore, all City's and Governmental agencies may take advantage of this pricing when it is determined to be cost effective. Discussion Staff engaged Lake Elsinore Ford for fleet pricing but was only able to obtain an out the door quote of $32,742.79 for the four wheel drive Ford Explore. Other local dealerships were sent the vehicle requirements and were solicited by staff but they did not provide a vehicle quote. The below chart lists the results of the purchase outcome: PAGE 4 ACQUISITION CITY FLEET VEHICLES DECEMBER 8, 2015 3 Ford Ex lorer 2WD Vehicles Dealership Vehicle Price Extended Amount National Auto Fleet Group 3 @ $27,213.63 $81,640.89 1 For Ex lorer 4WD Vehicle National Auto Fleet Group 1 P $29,249.43 $29,249.43 Lake Elsinore Ford 1 @ $32,287.18 $32,287.18 Fiscal Impact Vehicle and equipment replacement is funded in the Internal Service Fund with sufficient funds for Fiscal Year 2015 -016. In addition, the City is receiving approximately $46,000 from the County of Riverside Abandoned Vehicle funds to offset up to 50% of the cost of the vehicles. Prepared by: Jason Simpson Director of Administrative Services Approved by: Jason Simpson Director of Administrative Services Approved by: Grant M. Yates City Manager