TITLE
Recommendation to adopt Specifications No. RFP FS17-069 and award a contract to Los Angeles Truck Centers, LLC, of Whittier, CA, for the purchase and delivery of two compressed natural gas fueled pot hole patch trucks, for a total amount not to exceed $539,337, inclusive of taxes and fees. (Citywide)
DISCUSSION
City Council approval is requested to enter into a contract with Los Angeles Truck Centers, LLC, for the purchase of two CNG-fueled pot hole patch trucks for use by the Public Works Department. These new vehicles were approved in the FY 15 vehicle replacement plan and are fully funded by a combination of previously collected replacement funds from the Department of Public Works, AB 2766 grant allocation, and 2015 Local Government Match Grant funds. The units to be replaced are six years past their useful life with an average of 142,880 miles driven.
The Request for Proposals (RFP) was advertised in the Long Beach Press-Telegram on July 24, 2017, and 1,413 potential proposers specializing in automobile manufacturing were notified of the RFP opportunity. Of those proposers, 21 downloaded the RFP via the City’s electronic bid system. The RFP 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. An RFP announcement was also included in the Purchasing Division’s weekly update of Open Bid Opportunities, which is sent to 22 local, minority, and women-owned business groups. Two proposals were received on August 29, 2017. Of the two bids received, none were Minority-owned Business Enterprises (MBEs), Women-owned Business Enterprises (WBEs), Small Business Enterprises (SBEs), or Long Beach businesses (Local).
A committee comprised of subject matter experts reviewed the proposals for experience in building equipment of the same type, reasonableness of cost, and conformance with the terms of the RFP, among other criteria. The selection committee determined that Los Angeles Truck Centers, LLC, of Whittier, CA (not an MBE, WBE, SBE or Local), was the most qualified firm to provide the needed equipment.
Local Business Outreach
In an effort to align with the City’s outreach goal, Long Beach businesses are encouraged to submit proposals for City contracts. The Purchasing Division also assists businesses with registering on the PlanetBids online database to download the RFP specifications. Through outreach, 197 Long Beach vendors were notified to submit proposals, of which none downloaded or submitted a proposal. 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 Monica J. Kilaita on January 10, 2018 and by Assistant Finance Director Lea Eriksen on January 8, 2018.
SUSTAINABILITY
The new trucks are in full compliance with California Air Resources Board regulations for mileage and emission standards and will be fueled by less expensive, cleaner burning, and renewable natural gas fuel. In addition, the engine in the new trucks, a Cummins near-zero emission, exceeds the current California emission standards.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. RFP FS17-069 and award a contract concurrently is requested on February 6, 2018, to ensure the contract is in place expeditiously.
FISCAL IMPACT
The total cost of the contract with Los Angeles Truck Centers, LLC, for the CNG-fueled pot hole patch trucks will not exceed $539,337, and is budgeted in the Fleet Services Fund (IS 386) in the Financial Management Department (FM). Vehicle purchase costs have been collected through capital replacement charges to the Public Works Department (PW) through the Fleet MOU billing process. Incremental costs for the CNG fuel system are funded using the City’s share of AB 2766 revenue and a Local Government Match Grant from the South Coast Air Quality Management District, which funds federal and state mandates to reduce air pollution from motor vehicle emissions. AB 2766 funding is budgeted in the Transportation Fund (SR 182) in the Financial Management Department (FM). There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER