REPORT TO THE CITY COUNCIL
March 19, 2020
FROM: GREGORY A. BARFIELD, Director
Department of Transportation
BY: BRIAN BARR, Assistant Director
Department of Transportation
DUANE MYERS, Fleet Manager
Department of Transportation, Municipal Fleet Division
SUBJECT
Title
Award a requirements contract for retreading of commercial truck tires to Delray Tire and Retreading of Fresno, California, in the amount of $243,915.53 (Bid File 9532)
Body
RECOMMENDATION
Staff recommends Council approve the award of a requirements contract for retreading of commercial truck tires to Delray Tire and Retreading of Fresno, California, in the amount of $243,915.53.
EXECUTIVE SUMMARY
The Department of Transportation, Municipal Fleet Division maintains the City of Fresno municipal fleet of 2,100 vehicles and equipment. This contract will supply retreaded commercial truck tires as needed for the next two years. Retreading commercial truck tires are used tires, which receive a new tread. The worn tread is buffed away, and a new tread is bonded to the casing similar to how a new tire is manufactured.
BACKGROUND
The Municipal Fleet Division is responsible for purchasing and maintaining tires for the City’s fleet of vehicles. Retreading commercial truck tires are used tires (i.e., casings), which receive a new tread; however, casings are first inspected to ensure they are in suitable condition. The worn tread is buffed away, and a new tread is bonded to the casing in a manner similar to how a new tire is made. Tire retreading practices have improved to the point where retread tires perform similar to new tires. The proven safety and reliability of retreads, along with their favorable economics compared to new tires, is spurring continued retreading growth. Moreover, Federal Executive Order 13149 mandates the use of retreads on government vehicles whenever possible.
Last year the Municipal Fleet Division purchased over 1,000 retread tires, ranging from $175 to $200 each. Establishing a competitively bid multi-year contract for the retread tires needed will keep prices stable and allow for consistent budgeting for the term of the contract.
Competitive bids were solicited for retreading of commercial truck tires on December 20, 2019; four bids were received on January 14, 2020. Delray Tire and Retreading of Fresno, California, was determined to be the lowest responsive and responsible bidder with a bid price of $243,915.53. The Purchasing Division has approved this contract and recommends Council approve.
The City Attorney has approved the contract as to form.
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
Local preference is applicable to this award and Delray Tire and Retreading is a local business pursuant to FMC 4-108.
FISCAL IMPACT
No general funds will be used to purchase these items. The funding to cover the purchase cost of retreading of commercial truck tires has been included in the Department of Transportation FY20 adopted budget under the operations of the Municipal Fleet Division.
Attachments:
Retreading of Commercial Truck Tires Bid File 9532
Bid Evaluation 9532