REPORT TO THE CITY COUNCIL
October 11, 2018
FROM: GREGORY A. BARFIELD, Interim Director
Department of Transportation
BY: DUANE MYERS, Fleet Manager
Department of Transportation, Fleet Management Division
SUBJECT
Title
Approve the award of a one-year contract to Van De Pol Enterprises, Inc., of Fresno, California in the amount of $188,779.45, for the supply of motor oils and lubricants - Bid File 9458
Body
RECOMMENDATION
Staff recommends Council approve the award of a one-year contract to Van De Pol Enterprises, Inc., of Fresno, California, for the supply of motor oil and lubricants in the amount of $188,779.45.
EXECUTIVE SUMMARY
The Department of Transportation maintains the City fleet of 2,200 vehicles and equipment. The purpose of this contract is to supply motor oils and lubricants on an as needed basis to the fleet for the next year. The Department of Transportation intends to purchase the needed products through a competitively bid requirements contract approved by the Purchasing Division.
BACKGROUND
The Department of Transportation is responsible for purchasing and maintaining approximately 2,200 vehicles owned and operated by City departments. These include Department of Public Utilities, Department of Public Works, PARCS, and others. Departments utilize a wide-range of vehicles such as refuse trucks, street sweepers, sedans, and pickups. Annually, the Department of Transportation performs 4,800 preventive maintenance jobs, 36,000 repairs, and maintains a 94 percent vehicle availability rate.
The Department of Transportation is in need of a contract for the purchase of motor oils and lubricants for the City fleet. A requirements contract is required due to the dollar amount of the product purchased during the fiscal year. Last year the Municipal Fleet Division purchased over 24,000 gallons of oil equaling approximately $180,000, this includes engine oil, automatic transmission fluid, and hydraulic oil. Establishing a competitively bid multiple-year contract for the complete range of needed motor oils and lubricants will keep prices stable and allow for consistent budgeting for the term of the contract.
Competitive bids were solicited for motor oil and lubricants on June 22, 2018; eight bids were received on July 17, 2018. Van De Pol Enterprises, Inc., of Fresno, California, was determined to be the lowest responsive bidder with a bid price of $188,779.45. The Purchasing Division has approved this contract and recommends Council approval.
ENVIRONMENTAL FINDING
By the definition provided in the California Environmental Quality Act (CEQA) Guidelines Section 15378, the award of this contract does not qualify as a project as defined by CEQA.
LOCAL PREFERENCE
Van De Pol Enterprises, Inc., is a local business pursuant to FMC 4-108.
FISCAL IMPACT
Funding for these purchases have been appropriated into the Municipal and Public Safety Fleet Management Division budgets as part of the FY2019 budgeting process
Attachment:
Bid File 9458