TITLE
Recommendation to adopt resolution authorizing City Manager to execute a contract with Enterprise Rent-A-Car Company of Los Angeles, LLC, dba Enterprise Fleet Management of Los Angeles, CA (not an MBE, WBE, SBE or Local), for the lease of 13 police vehicles per the quote dated October 22, 2010, on the same terms and conditions afforded to the City of Santa Ana, Specification Nos. 02-076 and 08-074, in an amount not to exceed $57,500 annually including tax and fees for a four-year lease period, plus a $27,500 annual contingency, if necessary and if funds are available with an option to lease up to six additional units, pursuant to City Manager approval. (Citywide)
DISCUSSION
City Council approval is being requested to enter into a contract for the lease of 13 police vehicles as part of the City's multi-year vehicle replacement plan. This contract will provide the Police Department vehicles of various models and years for undercover and surveillance operations. The budgeted amount to purchase 13 vehicles is $284,700. By leasing the vehicles in lieu of buying, the City achieves cost savings of $54,700, or 19 percent, over the four-year lease period.
There are approximately 95 vehicles in the undercover fleet and about 14 percent (or 13 vehicles) are replaced on an annual basis. The replacement criteria are based on condition of the vehicle, mileage, or extensive exposure as a police vehicle. The vehicles that are being replaced are, on an average, over ten years old and exceed 100,000 miles.
The City Charter provides an alternative procurement method by permitting the City to purchase or otherwise obtain services, supplies, materials, equipment and labor with other governmental agencies by purchasing under their contracts on a voluntary and selective basis when authorized by a Resolution of the City Council.
The Department of Public Works, Fleet Services Bureau, and the Department of Financial Management, Purchasing Division, investigated procurement opt...
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