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HomeMy WebLinkAboutAGENDA REPORT 1994 1116 CC REG ITEM 08CITEM d_i_" AGENDA REPORT CITY OF MOORPARK TO: The Honorable City Council FROM: Baldemar Troche Public Works Management Analysts' DATE: November 1, 1994 (CC Meeting of 11- 16 -94) SUBJECT: Consider Purchase of a 1 -Ton Super Duty Truck and Service Body for Public Works Department OVERVIEW This requests City Council approval of the acquisition of a 1 -Ton Super Duty Truck and Service Body for the Public Works Department. ,BACKGROUND The budget for Fiscal Year 1994/95 includes $28,000 for the acquisition of the subject equipment to support the operation of the Public Works Department. At the September 21, 1994, City Council meeting, staff was authorized to solicit bids for a 1 -Ton super duty truck and service body. The bid package included separate specifications for the Cab & Chassis and the service body. The documents allowed the submittal of bids by agents of either industry for only one item or both items. In order to allow for some flexibility in the bidding and selection process, bidders were permitted to deviate from the stated specifications by noting differences in space provided subject to approval of the City. The bidding instruction also stipulated that the City may reject any bid, may make its selection based on the perceived needs of the City (not merely price) and may select both or only one of the items bid. The bid documents also provided for an add bid - alternate to allow for the submittal of bids for a compressed natural gas (CNG) alternate fuel powered truck. lvehicleslhvydty 2.rpt f.CIION: ry — 00032 Super Duty Truck Page 2 DISCUSSION A. Bid Results Bidding documents were distributed to selected automobile dealers and truck body companies. A total of six bids were received for all or selected items. One qualified bid was received for a 1994 service body, cab and chassis instead of the specified 1995 model. In addition, selected automobile dealers submitted bids for an extended warranty period covering the vehicle power train assembly. A summary of the bid results are attached as Exhibit W. 1. 1995 1 -Ton Super Dutv Truck Five bids were received for the 1995 model. The apparent low bidder, $27,201.01, is Downey (Ford) Auto Center. 2. 1994 1 -Ton Super Duty. Truck One qualified bid ($27,070.00) was received from Prestige Ford Inc. in San Gabriel using a 1994 cab and chassis. Since the vehicle is based on "out of stock" dealers inventory, the bid expires on November 30, 1994 (30 days from the bid opening date of October 31, 1994). The 1994 vehicle frame must be stretched to meet the 185" minimum wheelbase requirement as stated in the specifications. Such frame reconfiguration is authorized by Ford Company, covered by the body dealer, and meets all safety requirements Staff contacted the remaining dealers and requested that they submit a bid for a 1994 1 -Ton Super Duty Truck. No dealer was able to comply with the request. 3. Add Bid Alternate (CNG Conversion) a. Four of the five automobile dealers did not submit a bid for conversion of the 1995 vehicle to CNG. The stated reason was that the California Air Resource Board (CARB) has yet to certify the 1995 1 -Ton Super Duty Truck engines. Only Reynolds Buick /GMC Truck dealership submitted a bid of $5,500.00 for said conversion. In addition, NGV Ecotrans, an alternative fuel conversion company from Los Angeles, submitted a bid of $5,038.39 for conversion of the truck to operate on natural gas. b. Prestige Ford Inc. in San Gabriel submitted a bid of $4,377.72 for conversion of the 1994 vehicle to CNG. CARB has certified the 1994 1 -Ton Super Duty Truck engines. 0 0833 Super Duty Truck Page 3 A. Bid Results (continued) 4. Extended Warranty Downey Ford and Prestige Ford Inc. included a 3 year /36,000 mile bumper to bumper warranty with their respective bids. Staff contacted both dealers and requested bids for an additional 2 year warranty (5 year /60,000 mile). Said bids are shown on Exhibit 'A' and are discussed in the 'Analysis' section of this report. 5. Specification Modifications Bidders were permitted to deviate from the stated specifications by noting where their proposal was different, in the space provided, subject to approval of the City. All of the bidders noted deviations from the stated specifications. Staff determined that none of the deviations were substantive. 6. Delivery The bid package specified delivery of the 1995 vehicle within 70 days (10 weeks) of the purchase order date. Downey Ford, low bidder for the 1995 vehicle, can deliver the vehicle within 90 - 120 days. Prestige Ford Inc., low bidder for the 1994 vehicle, has advised staff that the 1994 vehicle can be delivered within 30 days. B. Analysis 1. Model Year The 1994 model cab and chassis, modified as described above, is virtually identical to the 1995 model cab and chassis. The cost differential between the low bid for the 1994 model ($27,070.00) and the bid for the 1995 model ($27,201.01) is $131.01 2. CNG Conversion At the June 15, 1994 City Council meeting, City Council agreed with staff's recommendation that conversion to CNG is not cost effective at the present time. As shown on Exhibit 'B', the monthly savings of utilizing CNG, when compared to gasoline, is $5.33. If City Council decides to proceed with CNG conversion, the estimated cost is $13,945.49. An itemized list of these costs and revenues are shown on Exhibit 'C'. Costs to facilitate OQ034 Super Duty Truck Page 4 2. CNG Conversion (continued) this project include: vehicle conversion ($4,377.72), refueling station ($4,300.00), construction ($4,000.00), and a ten percent contingency ($1,267.77). Said appropriation will be partially off -set by grant fund revenues in the amount of $12,250.00. The net City cost would be $1,695.49. The figures at the bottom of Exhibit 'C', support the findings that CNG conversion is not cost effective. It will take over 26 years to amortize the $1,695.49 net cost to the City. The only benefits of this program is air quality benefits. 3. Warranty The cost differential between Prestige Ford Inc. ($495.00 with 0 deductible) and Downey Ford ($820.00) is $325.00. The extended warranty covers the engine, transmission, and drive axle. The five year /60,000 mile warranty will reduce future anticipated maintenance costs as a result of the wear and tear of the engine. C. Recommended Purchase Staff has evaluated the 1994 vehicle proposal and determined said vehicle to be comparable to the 1995 vehicle proposal. In addition, since the City retains vehicles for 7 -10 years, the resale value comparison between said vehicles is negligible. The total vehicle cost differential, including the extended warranty, between the low bid for the 1994 model ($27,565.00) and the bid for the 1995 model ($28,021.01) is $456.01. In addition, the 1994 vehicle can be delivered within 30 days as opposed to the 120 day delivery period for the 1995 vehicle. For these reasons, and the reasons stated in the 'Analysis' section described above, Staff recommends purchase of the 1994 Ford vehicle (including the extended warranty). D. Fiscal An amount of $28,000 is included in the Fiscal Year 1994/95 budget for the subject purchase. The purchase price of the recommended item is within budget. RECOMMENDED ACTION Authorize staff to purchase a 1994 super duty truck and service body with an extended warranty, in compliance with the bid specifications as modified and approved, from Prestige Ford Inc. for the amount of $27,565.00 (tax included). GQoss O O O w Q 1 -Ton Super Dutv Truck Description Downey Auto Center Prestige Ford Don Kott Ford Reynolds GMC Vista Ford NGV Cab & Chassis x $20,427.45 x $21,370.00 $21,950.00 No Bid Service Body x $ 51500.00 x $ 7,000.00 $ 6,478.00 No Bid Subtotal $25,362.25 $25,927.45 $27,846.25 $28,370.00 $28,428.00 No Bid CNG No Bid No Bid No Bid $ 5,500.00 No Bid $ 5,038.39 Tax (7.25$) $ 1,838.76 $ 1,879.74 Included Included Included Included Subtotal $27,201.01 $27,807.19 $27,846.25 $33,870.00 $28,428.00 $ 5,038.39 X- Warranty $ 820.100 $ 495.00 $ 495.00* $ 495.00* $ 495.00* No Bid Total MO $28,302.19 $28,341.25 $34,365.00 $28,923.00 $ 5,038.39 Bid $27,070.00 No Bid No Bid *Estimate x v' r• rt Am1 -Ton Super Duty Truck Description Downey Auto Center Prestige Ford Don Kott Ford Reynolds GMC Vista Ford NGV Cab & Chassis No Bid $19,740.09 No Bid No Bid No Bid No Bid Service Body No Bid $ 51500.00 No Bid No Bid No Bid No Bid Subtotal No Bid 525,240.09 No Bid No Bid No Bid No Bid Tax (7.25$) No Bid $ 1,829.91 No Bid No Bid No Bid No Bid Subtotal No Bid $27,070.00 No Bid No Bid No Bid No Bid X- Warranty No Bid $ 495.00 No Bid No Bid No Bid No Bid Vehicle Total No Bid 'Apr No Bid No Bid No Bid No Bid CNG No Bid $ 4,377.72 No Bid No Bid No Bid $ 5,038.39 Total No Bid $31,942.72 No Bid No Bid No Bid $ 5,038.39 *Estimate x v' r• rt ----------------------------------------------------------------------------------------------------------------------------- ----------------------------------------------------------------------------------------------------------------------------- ALTERNATIVE FUEL SAVINGS ANALYSIS Page 1 04- Nov -94 Filename: \pw \alt_fuel.wki II DESCRIPTION Gasoline Propane Methanol CNG Best Alternative Fuel Option ----------------------------------------------------------------------------------------------------------------------- - - - - -- r� x r• cr' r• rr td 1 Annual Miles Driven 10,000.00 10,000.00 10,000.00 I 10,000.00 2 Miles per Gallon 16.00 13.60 8.00 5.60 3 Gallons per Year 625.00 735.29 1,250.00 1,785.71 j (Line 1 / Line 2) 4 Cost of Fuel per Gallon 1.28 1.50 0.87 0.45 .' D Annual Fuei Cost 600.00 1,102.94 1,087.50 809.57 (Line 3 x Line 41 6 Cost of Oil Changes (yr) i20.00 60.00 60.00 90.00 7 Cost of Tune -ups (yr) 150.00 75.00 75.00 112.50 i. ! 8 Total Annual Cost 1,070.00 1,237.94 1,222.50 1,006.07 (Lines 5 +6 +7) 9 Monthly Cost 89.17 103.16 101.88 83.84 j (Line 8 / 12) 10 Total Annual Savings I' When Compared to Gasoline xxxxx (167.94) (152.50) 63.93 Compressed Natural Gas (CNG) 11 Monthly Savings When 0 ! Compared to Gasoline xxxxx (14.00) (12.71) 5.33 cp W r� x r• cr' r• rr td ------------------------------------------------ - - - - -- Compressed Natural Gas (CNG) Amorization Schedule ----------------------------------------------------- DESCRIPTION ----------------------------------------------------- AMOUNT 1 Conversion Cost 4,377.72 2 "Slow -fill" refueling station 4,300.00 3 *Fence (for overnight refueling) 0.00 4 ^Construction of gas & electrical 4,000.00 line to the site --------------------------- - - - - -- ------ - - - - -- Total Capital Cost 12,677.72 10% Contingency --------------------------- - - - -- 1,267.77 - Estimated Total Project Cost --------------------------- - - - - -- ------ - - - - -- 13,945.49 ------ - - - - -- RSTP Grant 10,500.00 City Match (11.47%) of RSTP Grant 1,204.35 i City 491.14 I Southern CA Gas Co Rebate i --------------------------- 1,750.00 - - - - -- Monies Available for Project --------------------------- - - - ------ - - - - -- 13,945.49 - -- Net City Cost ------ - - - - -- 1,695.49 Monthly Savings of Utilizing CNG 5.33 Number of Months to Recover City 318.10 Investment of $1,695.49 Number of Years to Recover City 26.51 Investment of $1,695.49 Exhibit C 04- Nov -94 Filename: \pw \cng_truk.wkl Remarks ---------------------------- - - - - -- *At the Moss Property (Field Yard) ^Estimate See Exhibit 'B' Net City Cost /Monthly CNG Savings 00038