TITLE
Recommendation to adopt Specifications No. ITB FS20-062 and award a contract to Los Angeles Truck Centers, LLC, dba Velocity Truck Center, of Whittier, CA, for furnishing and delivering a Ford F-650 flatbed tow truck, for a total contract amount not to exceed $171,189, inclusive of taxes and fees; and, authorize City Manager, or designee, to execute all documents necessary to enter into the contract, including any necessary amendments. (Citywide)
DISCUSSION
City Council approval is requested to enter into a contract with Los Angeles Truck Center, LLC, dba Velocity Truck Center, for the purchase of a Ford F-650 flatbed tow truck, for a total contract amount not to exceed $171,189, inclusive of taxes and fees. The truck will replace the current unit in the Fleet Services Bureau, Towing Division in the Financial Management Department. Purchase of this vehicle was approved by the City Manager in the FY 18 Fleet Replacement Plan.
The current vehicle is five years past its useful life, has over 195,000 miles of use, and replacement parts are becoming increasingly difficult to obtain, resulting in increased maintenance costs and downtime. The replacement vehicle will be outfitted with backup cameras, lighting, tow bars and chains, wheel lift system, tool box, and steel slide back carrier bed.
The bid was advertised in the Long Beach Press-Telegram on July 17, 2020, and 35 potential bidders specializing in heavy duty vehicles were notified of the bid opportunity. Of those bidders, eight downloaded the bid via the City’s electronic bid system. The bid document was made available from the Purchasing Division, located on the 6th floor of City Hall, and the Division’s website at www.longeach.gov/purchasing. A bid announcement was also included in the Purchasing Division’s weekly update of Open Bid Opportunities, which is sent to 35 local, minority-owned and women-owned business groups. One bid was received on August 19, 2020, and the bidder was not a Minority-owned Business Enterprise (MBE), Woman-owned Business Enterprise (WBE), certified Small Business Enterprise (SBE), or Long Beach business (Local). Los Angeles Truck Center, LLC, dba Velocity Truck Center, of Whittier, CA (not a MBE, WBE, SBE, or Local), was the sole responsive bidder.
Local Business Outreach
In an effort to align with the City’s outreach goal, Long Beach businesses are encouraged to submit bids for City contracts. The Purchasing Division also assists businesses with registering on the PlanetBids database to download the bid specifications. Through outreach, four Long Beach vendors were notified to submit bids, of which none downloaded or 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 Taylor M. Anderson on September 21, 2020, by Deputy Finance Director Sandy Tsang-Palmer on September 14, 2020, and by Budget Management Officer Rhutu Amin Gharib on September 16, 2020.
SUSTAINABILITY
The new truck is compliant with the State of California and local district air quality regulations to reduce air toxins and pollutant emissions.
TIMING CONSIDERATIONS
City Council action is requested on October 6, 2020, to ensure a contract is in place expeditiously. Delay in replacement will result in higher expense in maintaining the old unit as well as possible service delays for tow requests from the Police and Public Works Departments.
FISCAL IMPACT
The total contract amount will not exceed $171,189, inclusive of taxes and fees, and is budgeted in the Fleet Services Fund Group in the Financial Management Department. Ongoing maintenance costs are estimated at $5,071 annually and capital replacement charges based on an asset life of six years are estimated at $34,078 annually. These costs will be collected through the Fleet Services Memorandum of Understanding (MOU) regular monthly charges to the Towing Fund Group in the Financial Management Department starting when the vehicle is delivered and in use. This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities. The award of this contract will provide continued support to our local economy by assisting in the preservation of employment for ten employees residing in Long Beach.
SUGGESTED ACTION
Approve recommendation.
BODY
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Respectfully Submitted,
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
THOMAS B. MODICA
CITY MANAGER