TITLE
Recommendation to adopt Specifications No. PA-01611 and award contracts to Worthington Ford (SBE and Local) and Boulevard Cadillac (SBE and Local), for furnishing and delivering Ford and Chevrolet/GMC automotive parts and service, in an amount not to exceed $405,000, for a period of one year, with the option to renew for two additional one-year periods, at the discretion of the City Manager. (Citywide)
DISCUSSION
City Council approval is being requested to enter into annual Citywide contracts with Worthington Ford and Boulevard Cadillac to furnish and deliver Ford and Chevrolet/GMC automotive parts and service to support the Department of Public Works, Fleet Services Bureau, Water Department and Harbor Department for the City's ongoing vehicle preventative and repair maintenance program. These contracts provide for the parts requirements for the City's Police black and white sedans, Fire command staff units, utility vehicles, light-duty pick-up trucks, as well as a variety of other light-duty vehicles. The City's fleet consists of 989 Ford vehicles and 126 Chevy vehicles.
The bid was advertised in the Press-Telegram on June 27, 2011, and 171 potential bidders specializing in OEM (Original Equipment Manufacture) Ford and Chevrolet/GMC parts and service were notified of the bid opportunity. Of those bidders, 18 downloaded the bid via our electronic bid system. The bid document was made available from the Purchasing Division, located on the seventh floor of City Hall, and the Division's website at www.longbeach.gov/purchasing <http://www.longbeach.gov/purchasing>. A bid announcement was also included in the Purchasing Division's weekly update of Open Bid Opportunities, which is sent to 30 local, minority, and women's business groups. Three bids were received on July 13, 2011. Of those three bidders, none were Minority-owned Business Enterprises (MBEs), none were a Women-owned Business Enterprises (WBEs), three were certified Small Business Enterprises (SBEs), and two were Long Beach Businesses (Local). Worthington Ford, of Long Beach, CA (SBE and Local), and Boulevard Cadillac, of Long Beach, CA (SBE and Local), are the lowest responsible bidders.
Local Business Outreach
Our outreach goal is to encourage Long Beach businesses to participate in City procurement processes and submit proposals for City contracts. We assist businesses with registering on our Bids Online database to download the bid specifications. Eight Long Beach vendors were contacted to offer local outreach, of which two downloaded and submitted a bid. The Purchasing Division is committed to continuing to perform outreach to local vendors to expand the bidder pool.
This matter was reviewed by Deputy City Attorney Amy R. Burton on August 2, 2011 and Budget Management Officer Victoria Bell on August 8, 2011.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. PA-01611 and award contracts is requested on September 6, 2011 to ensure that the contract is in place expeditiously.
FISCAL IMPACT
The cost of this contract is $405,000 annually. Of that amount, $325,000 is budgeted in the Fleet Services Fund (IS 386) in the Department of Public Works (PW); $45,000 in the Water Fund (EF 310) in the Water Department (WA); and $35,000 in the Harbor Fund (HA 430) in the Harbor Department (HA). The award of this contract will provide continued support to our local economy by assisting in the preservation of ten full-time employees residing in Long Beach with employment.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT/CFO
APPROVED:
PATRICK H. WEST
CITY MANAGER