TITLE
Recommendation to adopt Specifications No. ITB FS22-052 and award contracts to Battery Systems, Inc., of Long Beach, CA, H & H Auto Parts Wholesale., of Pacoima, CA, Hanson Distributing Company, Inc., of Azusa, CA, Hubb Filters, Inc., of Albany, OR, Los Angeles Truck Centers, LLC, of Whittier, CA, Parts Authority, LLC, of Lake Success, NY, and SoCal Auto & Truck Parts, Inc., of Long Beach, CA, for purchase and delivery of general automotive parts, in an annual aggregate amount of $1,500,000, with a 15 percent annual contingency amount of $225,000, for a total annual aggregate amount not to exceed $1,725,000 for a period of two years, with the option to renew for three additional one-year periods, at the discretion of the City Manager; and, authorize City Manager, or designee, to execute all documents necessary to enter into the contracts, including any necessary subsequent amendments; and
Increase appropriation in the Fleet Services Fund Group in the Financial Management Department by $400,000, offset by funds available generated by revenue collected from user departments through the Fleet Memorandum of Understanding (MOU). (Citywide)
DISCUSSION
City Council approval is requested to enter into contracts with Battery Systems, H & H Auto Parts, Hanson Distributing, Hubb Filters, Los Angeles Truck Centers, Parts Authority and SoCal Auto & Truck Parts for the furnishing and delivery of general automotive parts for a wide variety of vehicles and equipment used by City of Long Beach (City) departments.
The Fleet Services Bureau provides parts and maintenance services for 2,204 vehicles and pieces of equipment that use the general automotive parts contracts. General automotive parts furnished under these contracts include, but are not limited to, brake pads and drums, batteries, air, oil and fuel filters, headlights, wiper blades, and suspension parts. Due to the variety of vehicles and equipment in the City’s fleet, and the urgency under which maintenance and repairs must be made, it is necessary to have multiple vendors available to meet the needs of the various user departments and minimize the downtime of their assigned vehicles.
The bid was advertised in the Long Beach Press-Telegram on May 3, 2022, and 192 potential bidders specializing in automotive parts were notified of the bid opportunity. Of those bidders, 30 downloaded the bid via the City’s electronic bid system. The bid document was made available from the Purchasing Division, located on the sixth 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 39 local, minority-owned, and women-owned business groups. There were 11 bids received on July 21, 2022. Of those 11 bidders, 2 were Minority-owned Business Enterprises (MBEs), 1 was a Women-owned Business Enterprise (WBE), none were certified Small Business Enterprises (SBEs), and 2 were Long Beach vendors (Local). Battery Systems (Local) and SoCal Auto & Truck Parts, of Long Beach, CA (MBE, WBE and Local), H & H Auto Parts of Pacoima, CA (MBE), Hanson Distributing Company of Azusa, CA (not an MBE, WBE, SBE or Local), Hubb Filters of Albany, OR (not an MBE, WBE, SBE, or Local), Los Angeles Truck Centers of Whittier, CA, (not an MBE, WBE, SBE or Local), and Parts Authority (not an MBE, WBE, SBE or Local) were the lowest responsible bidders.
Vendors were chosen based on the price and scope of items listed in the bid, the inventory available, and delivery and shipping capabilities.
Local Business Outreach
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 (now Long Beach Buys) database to download bid specifications. Through outreach, 11 Long Beach vendors were notified to submit bids, of which 2 downloaded, 2 submitted a bid, and both are part of this contract award. 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 Anita Lakhani on September 13, 2022, Purchasing Agent Michelle Wilson on September 8, 2022, and by Revenue Management Officer Geraldine Alejo on September 19, 2022.
SUSTAINABILITY
Whenever possible, the Fleet Services Bureau purchases items such as reusable oil and air filters, some recycled materials, and biodegradable cleaners. Use of these products reduces cost and the carbon footprint for the City.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. ITB FS22-052 and award contracts concurrently is requested on October 4, 2022, to ensure that essential vehicle and equipment parts are available expeditiously.
FISCAL IMPACT
The total annual aggregate amount of the contracts will not exceed $1,725,000, including a 15 percent contingency. An appropriation increase of $400,000 is requested in the Fleet Services Fund Group in the Financial Management Department to support costs during the first year, offset by funds available generated from revenue collected from departments through the Fleet Memorandum of Understanding (MOU). If needed, the Financial Management Department will request for subsequent years’ appropriation as part of the annual budget process. This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with City Council priorities. This recommendation will provide continued support to our local economy by assisting in the preservation of employment for 35 full-time employees residing in Long Beach.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
KEVIN RIPER
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
THOMAS B. MODICA
CITY MANAGER