REPORT TO THE CITY COUNCIL
January 25, 2018
FROM: JIM SCHAAD, Director
Department of Transportation
BY: RUDY CASTRO, Fleet Manager
Department of Transportation/Maintenance Division
SUBJECT
Title
Award a contract to purchase eleven relief vehicle sedans from Swanson Fahrney Ford Sales, Inc., in the amount of $226,476.64 (Bid File 3576)
Body
RECOMMENDATION
Award contract in the amount of $226,476.64 to Swanson Fahrney Ford Sales, Inc., of Selma, California, to deliver eleven 2018 Ford Fusions.
EXECUTIVE SUMMARY
The Department of Transportation/FAX is in need of eleven mid-sized sedans to replace aging vehicles and support additional needs of the FAX15 and BRT services. The City solicited competitive bids from qualified vendors on November 8, 2017. A single bid was received from Swanson Fahrney Ford Sales, Inc., of Selma, California. Staff researched pricing of comparable vehicles to verify the bid price from Swanson Fahrney was fair and reasonable. Funding for purchase of these sedans was included in the approved FY18 budget. FAX is recommending the Council approve the award of this contract in order to support the ongoing operation of the FAX fixed route system.
BACKGROUND
The FAX relief vehicle fleet supports the fixed route system by allowing drivers to meet buses in route to relieve other drivers at the end of their shifts. This allows the buses to stay on route, minimizing disruptions in service. FAX currently operates twenty relief vehicles. The replacement of vehicles as they reach the end of their useful life is important to maintaining the department’s performance, safety, reliability, cost effectiveness, and positive image.
FTA guidelines require a minimum useful life for sedans of five years. The City has found it can exceed this minimum and sets useful life at seven years or 100,000 miles. The department’s goal is to maintain an average relief vehicle fleet age of 3-4 years. Funding constraints in previous years have required FAX to retain vehicles for longer than the seven-year/100,000 mile target. Twelve of the 20 existing relief vehicles currently exceed useful life benchmarks.
FAX has worked to keep the existing relief fleet operational; however, breakdowns have contributed to relief drivers being delayed, causing service interruptions. The cost to maintain these vehicles has also increased and in some cases expensive repairs have been required due to failures of engines and transmissions. New units will allow more reliable driver reliefs and lower maintenance costs.
FAX has identified funding through California’s Proposition 1-B to replace eleven relief units. The purchase will reduce the average fleet age from nine years to the desired 3-4 years. Ongoing replacement of four units per year will keep the average age within the desired target.
The Purchasing Division released a solicitation for competitive bids from qualified vendors on November 8, 2017. Specifications were subsequently distributed to 280 prospective bidders. The structure of the bid specifications attempted to maximize competition by allowing all manufacturers with a four-door mid-size/medium/intermediate model to bid, with the award based on lowest responsive bid. A public bid opening was held on November 28, 2017, and a single bid was received from Swanson Fahrney Ford Sales, Inc., of Selma, California.
ENVIRONMENTAL FINDING
The approval of this purchase is not a “project” for the purposes of the California Environmental Quality Act.
LOCAL PREFERENCE
Local preference not implemented because of the requirements of the State funding source.
FISCAL IMPACT
This project was included in the department approved FY18 budget. Relief vehicles will be funded through the State Prop 1B funding. This purchase will not impact the General Fund.
Attachments:
1. 3576 Proof of Publication
2. 3576 New Four Door Mid-Size Sedan (Prop 1B) Contract
3. 3576 New Four Door Mid-Size Sedan (Prop 1B) Evaluation Form
4. 3576 New Four Door Mid-Size Sedan (Prop 1B) ICE-Price Analysis
5. 3576 New Four Door Mid-Size Sedan (Prop 1B) Swanson Fahrney Bid Proposal