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Home My WebLink About22-Public Services CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION From: Lynn Merrill, Director Date: February 10, 2000 ORIGINAL Subject: Resolution authorizing the execution of a purchase order to Fairview Ford for twenty-eight (28) Year 2000 Ford Crown Victoria Police Interceptors; and authorizing the Purchasing Manager to solicit lease- purchase rate quotes and award a lease-purchase to the lowest responsible leasing company. Dept: Public Services Council Meeting Date: February 22, 2000 Synopsis of Previous Council Action None Recommended Motion: \ Approve the Resolution t'~M=ill Contact person: Don Johnson, Acting Fleet Manager Phone: 384-5220 Supporting data attached: Ward: All FUNDING REQUIREMENTS: Amount: $653,844.24 plus lease costs Lease Payments to be Budgeted over a three (3) year period Source: FY 2000101, 200112002 & 2002/2003 Lease Payments 635-341-5803 ~k~/f(~- Council Notes: Agenda Item No. .2JJ.; .;t/d.d./ 00 CITY OF SAN BERNARDINO - IU'.QUEST FOR COUNCIL ACTION STAFF REPORT SUBJECT Resolution authorizing the execution of a purchase order to Fairview Ford for twenty-eight (28) Year 2000 Ford Crown Victoria Police Interceptors; and authorizing the Purchasing Manager to solicit lease-purchase rate quotes and award a lease-purchase to the lowest responsible leasing company. BACKGROUND It is requested that the Mayor and Common Council approve the procurement and three-year lease- purchase of twenty-eight (28) Year 2000 Ford Crown Victoria Police Interceptors for the Police Department. Twenty-seven (27) of the vehicles are part of the annual vehicle replacement program, while one (1) vehicle will be used to replace any black and white units that are totaled during the next twelve (12) months. Ford Motor Company established a new vehicle order deadline of March 8, 2000. Orders received after this deadline date will not be accepted by the Ford Motor Company. The next opportunity the City will have to place such orders will be in November 2000 for the new Year 2001 model. ANALYSIS Due to the nature of their use, patrol vehicles have a service life of approximately 85,000 miles. Once this level of mileage is reached, it becomes cost-prohibitive to maintain the units as patrol vehicles. The twenty-seven (27) vehicles scheduled for replacement will have exceeded their service life of 85,000+miles by the delivery date of these units, October 2000. During the year and as a result of accidents that result in vehicles being prematurely removed from service, the Department is recommending acquiring one (1) additional replacement unit. Ford Motor Company is the only producer of the Crown Victoria Police Interceptor model, which has been the specified standard for the Police Department for over eight years. In August, 1999 the State of California, Department of General Services awarded a contract to Downtown Ford of Sacramento for Crown Victoria Police Interceptors for use by the Highway Patrol. The Fleet Division reviewed the State GS contract and determined that the cost per vehicle according to City specifications is $22,037.30 plus tax and unspecified delivery charges. Fairview Ford was the previous selected vendor for purchase of these vehicles in March 1999 (Resolution 99-60). The Purchasing Manager requested a quote from Fairview Ford, who submitted a price of $21,672.00 plus tax; this is the same price as last year and is $365.30 less than the price available through the State GS contract without including the 1% local vendor preference evaluation or including delivery charges. Staff is therefore recommending an award of a purchase order to Fairview Ford in the amount of $23,351.58 including tax for each vehicle, for a total of $653,844.24 plus lease costs pursuant to Municipal Code Chapter 3.04.010 Section B.3. FINANCIAL IMPACT: Funds for the lease payment of twenty-eight (28) replacement vehicles will be budgeted in the Police Department budget as an internal service charge for Fleet. In turn, Fleet Services will budget and pay the actual lease payments for these vehicles. While the vehicles must be ordered now, they will not be delivered until next Fiscal year. The lease payments will be structured so they will not begin until after the vehicles are delivered. All of the above will be included in the FY2000/2001 budget. RECOMMENDATION It is recommended that the Mayor and Common Council authorize the Purchasing Manager to: 1) award a purchase order for lease-purchase of twenty-eight (28) Year 2000 Ford Crown Victoria Police Interceptor vehicles to Fairview Ford in the amount of $653,844.24; and, 2) solicit as needed, lease-purchase rate quotes under existing Master Lease Agreements and to award a lease- purchase to the lowest responsible leasing company. Falrvlew Ford Sales, Inc. !toO. Ia....e UN 1UNAIalII0, CALIP.1I412 ,.,. r '-... ... _1 - CITV OF SAN BERNARDINO PuRCHASINr:; DEPT. SnN 8€RNARDIiIIO,CA. 9.?/t10 DEAR MR. BAS rON, FORD MOTOR ~ANV HA~ BROUSHT TO OUR ATTENTION T~ CUI OFF lIlHE FOR ~FcODUCnON OF 0:!1Il1ll0 MOlIEL POLICE INTERCEPTOR CROWN UIC AUTOMOBILES 16 SUING TO 9E MAHCH 8,20~d. FAIFcVIEW ~~~ FEELa TillS INFOfllllATION IS CRITlCAL TO THE CITV [I' THEV WISH TO ORDER PlA..ICE UNITS DURING THf. 2Ne MODEL VEAR. WE APOl..0612E FOR l'!ii. blilJRT NonCE AND HNV INl:ll\IUIENCE THIS "'~V CAUSE, HlJWE:VER WE WERE JUl:;I MAD~ AljARE (J' THIS WI OFf' DATE. SHClULll YOUN DEP~RTMENl OR. THE CITV COUNCIL I1AUE HNY QUESTIONS RE6IlRDING THIS SIlUATION PLEASE FER FREE TO CON I ACT VAL EFF OUR FLEET PlAN<<:iER AT Yll&JH CONVENIENCE. SINCERELY, g;,~ NICK DE~E ~RAL MANAGER .J3/'I.3J3b 6C :IIWV '1-83300 S3~O!S/9NISyH6~nd ONIOMVN>:!38 NVS :10 All:! COpy .' -.... ..... , ~2/a1/?666 ,14:26 9693656292 VfJL EFF PAGE 61 CIItOF SAN BERNARDINC. I'AJRVlEWIl'OBD '-'.>IUIII:.> FLEET '" TRUCKCENTEKOO JAN 32 Pi1 2: S7 .. W. 2IId 5I1tEEI' .; -~ p.o. Bos 551' SoUf BERNARDINO. CA. n412 (909) 386-0181 or Fax: <_> 386-029% PAX COntP DATE: 1.;'/00 TIME: . PAGES': Covcrplua- DIJE- ~G-e- - DOM: VAL nrP ~ "rack "~eet M...ftr ATrN:J)AV( D .BA-TSoN FA-x*' 3gtf .5b<+3 COMPANY: QrT'f 0 p. 5'. B. Pu~c#~/c/G.. HE: QcJoT7rT( ON Fd~ 2000 Fb~1J ('~owAl VIe.. PcLrc..e IAJTr;;:l<.eeP70I<.~ COMMENTS; Pc ~HoN e Co~ u e~~ ft-77(')N. .B1t-~O eN A-~7nCWcD SPecJ FI C/t-TfON.f', we;:: r ?-vILL 8e /TBLe- 70 P/<oVllH:'=' tleHfcur=:r A-T' Tf.re- S)J-H8- P/(rc:.e A-d' Llt-vr J/~,<' ~ '* 2/'72 ~o ~y {, ? 9 g TOT,f-U4 23 35"1 rl THANK YOU!! V.. :If!' ~ Pleet" lase M... r e+CJ.../ & COpy a2/al/2aaa 14:28 9093860292 PAGE 02 Vt>L EFF " FAlRVIEW FORD FLEET" TRUCK CENTER _ W.WSTllDT P.o. Boa 551' SAN BDNA1lDINO, CA. 9%412 (909) 3~1 or Fu: (909) 386-0291 2000 C~OWN VICTORIA Ord FIN: QC414 CITY OF S.B. 02/01/00 16:58:37 Oealer: F71156 Page: 1 of 2 Order Type: 56 Price ,Level: 019 PO Number: Order No: Ord PEP: 0001 VEHICLE OROER CONFIRMATION Prioriey: Cust/Flt Name: RETAIL 1'71 POLICE INTERCEP $22520 AI M6640A B: M6373L C: H CLTH BUCKETS/RR R DK DENIM BLUE 99W .4.6L OHC EFI VB 44U .ELEC AOO TRANS T23 .P225/60VR16 BSW Cl'.L. BOARD FEES HD FLOOR COVE~ FRT LIC BRACKET PWR DRIVER SEAT CJ>.L EM NOT REQD C/LAMPS DISAllLE DUAL SPOTLAMPS NOISE SUSPRES 127 153 21A 423 478 SlY 53M NC NC NC NC 25 NC 360 552 61H 76A 794 936 RETAIL $600 60 NC ANTI-LOCK BIU<S DECKLD REL IpID BLACK BUMPERS PRICE CONCESSN CAL SER VEH EXp NC TOTAL TOTAL TOTAL BASE AND OPTIONS DSO/SPO OPTIONS 24620 819 25439 15 340 70 VEHICLE O~ER CONFIRMATION Order ~o: 0001 Ord PEP: FLH PBA PLP PRl PW7 PW8 Sp213 13 B4A C09 Prioriey: Cust/Flt Nallle: RETAIL 2000 CROWN VICTORIA Ord. FIN: QC414 CITY OF S.B. 02/01/00 17:00:01 Dealer: F71156 l'..ge: 2 of 2 Order Type: 56 Price Level: 019 PO Number: DSO/SpO OPTIONS UNITS KEYED-ALIK CODE-WEIGHT ADJU RR DOOR LCKS/HAN DELETE ELEC AM/F WIRING PREP (FRO PWR WINDOWS-DRIV PAINT CHARGE S1' DLR ACCT ADJ US GAL GAS NET INV FLT OPT PRICED DORA ** FLT MKTG CR DEST AND DELIV 41 NC 22 (1)0) 74 22 720 TOTAL TOTAL TOTAL RETAIL BASE AND OPTIONS$24620 DSO/SpO OPTIONS 819 25439 NC NC COpy 630 CITY OF SAN BERNARDINO ESTIMATED AMORTIZATION FOR 28 POLICE CAR LEASE Three Year term, semI-annual payments IEatimated Interest Rate: 1 5.5%1 Total Amount Flnanced:1 281Unlts CD: I $ 23,351.581 $853,844.241 Payment Interest Princioal Balance 653,844.24 03/01/2000 $119,699.81 17,980.72 101,719.09 552,125.15 09/0112000 119,699.81 15,183.44 104,516.37 447,608.79 03/0112001 119,699.81 12,309.24 107,390.57 340,218.22 09/0112001 119,699.81 9,356.00 110,343.81 229,874.42 0310112002 119,699.81 6,321.55 113,378.26 116,496.16 09/01/2002 119,699.81 3,203.64 116,496.17 (0.00) 64,354.59 653,844.24 Payment ($119,699.81) NOTE: This payment schedule Is an estimation, and may be dramatically affected by market conditions and Interest rates at the time rate quotes are solicited. o o o 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 (G(Q)~W Resolution No. RESOLUTION AUTHORIZING THE EXECUTION OF A PURCHASE ORDER TO FAIR VIEW FORD FOR TWENTY-EIGHT (28) YEAR 2000 FORD CROWN VICTORIA POllCE INTERCEPTORS; AND AUTHORIZING THE PURCHASING MANAGER TO SOllCIT LEASE-PURCHASE RATE QUOTES AND AWARD A LEASE-PURCHASE TO THE LOWEST RESPONSIBLE LEASING COMPANY_ BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. That Fairview Ford was the previous selected vendor for purchase of these vehicles in March 1999 and submitted the same price for the furnishing and deliveIy of twenty-eight (28) Year 2000 Ford Crown Victoria Police Interceptors; pursuant to this determination, the Purchasing Manager is hereby authorized and directed to: 1) issue a purchase order in the amount of $653,844.24, which will facilitate the procurement of the twenty-eight (28) vehicles; 2) authorize the Purchasing Manager to solicit as needed, lease-purchase rate quotes under existing Master Lease Agreements and to award a lease-purchase to the lowest responsible leasing company. SECTION 2. The authorization to execute the above referenced is rescinded if it is not issued within sixty (60) days of the passage of this resolution. I I I I I IIIII I I I I I IIIII I I I I I I I I I I IIIII IIIII Febnwy 10, 2000 o o o 17 18 19 20 21 22 23 24 25 26 27 28 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 RESOLUTION AUffiORIZING THE EXECUTION OF A PURCHASE ORDER TO FAIRVIEW FORD FOR TWENTY-EIGHT (28) YEAR 2000 FORD CROWN VICTORIA POLICE INTERCEPTORS; AND AUffiORIZING THE PURCHASING MANAGER TO SOLICIT LEASE-PURCHASE RATE QUOTES AND AWARD A LEASE-PURCHASE TO THE LOWEST RESPONSIBLE LEASING COMPANY. I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at a meeting thereof, held on the day of , 2000, by the following vote, to wit: Council Members: Ayes Nm Abstain Absent ESTRADA LIEN McGINNIS SCHNETZ SUAREZ 16 ANDERSON MILLER . City Oem. The foregoing resolution is hereby approved this day of ,2000. Approved as to form and Legal content; James F. Penman, City Attorney BY: r-P~ ]. ;~ U Judith Valles, Mayor City of San Bernardino February 10, 2000 2