DATE: June 12,2007 CONSTRUCTION AND MAINTENANCE CONTRACTS AND PURCHASING
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1 , ,-. Execibve D~rector's Report to the Board of Harbor Commissioners DATE: June 12, REYNOLDS BUICK/PONTIAC/GMC TRUCKS, INC. SUMMARY Award of contracts to Wondries Fleet Group for the purchase of five 1-ton vans and for four %- ton, utility body trucks, each with ladder rack; and to Reynolds Buick~PontiacIGMC Trucks, Inc. for two 15,000 lb. weld body trucks, each with welder and crane - all powered by compressed natural gas (CNG). RECOMMENDATION It is recommended that the Board of Harbor Commissioners award the following three (3) contracts and authorize the Executive Director to execute them on behalf of the Board: 1. Contract No for the purchase of five 1-ton, CNG powered vans to Wondries Fleet Group, 1247 W. Main St., Alharnbra, CA 91801, in a total amount including sales tax of $247,607.63; and 2. Contract No for the purchase of four %-ton, CNG powered utility body trucks, each with ladder rack, to Wondries Fleet Group, 1247 W. Main -St., Alhambra, CA 91801, in a total amount including sales tax of $2 19,696.85; and 3. Contract No for the purchase of two 15,000 lb., CNG powered, weld body trucks, each with welder and crane, to Reynolds BuicWPontiaclGMC, 675 S. Citrus Avenue, Covina, CA 91723, in a total amount including sales tax of $208, DISCUSSION 1. The Construction & Maintenance Division submitted requisitions for the following equipment: a. Five 1-ton vans with a Gross Vehicle Weight Rating (GVWR) of 9,600 Ibs. The vans, will replace a like number of vehicles under the Port's 10-year vehicle replacement program. Four of the vans replace vehicles assigned to the Construction Division's Survey Section and one van replaces a vehicle assigned to the Construction &
2 June 12, Page 2 of 5 AWARD OF CONTRACT NOS FOR FIVE VANS, BID F-524, TO REYNOLDS BUICKIPONTIACIGMC TRUCKS, INC. Maintenance Division's Painting Section. These purchases were authorized in the Fiscal Year budget, Equipment Priority Item Nos. 4 and 1 1. b. Four %-ton. utility body trucks, each with ladder rack. The trucks supplement the current fleet and will be assigned to the Construction and Maintenance Division for use by craft crews composed primarily of hiring hall employees. These purchases were authorized in the Fiscal Year budget, Equipment Priority Item No. 44 as 1-ton trucks. However, %-ton versions of the trucks were judged to be functionally equivalent and that is what is proposed for purchase. c. Two 15,000 lb; weld body trucks. each with welder and crane. Both vehicles will be assigned to the Construction and Maintenance Division. One of the vehicles will replace a similar vehicle under the Port's 10-year vehicle replacement program for use by the Mechanical Repair Section. The second vehicle is supplemental to the existing fleet and will be assigned to the same section where there is a demonstrated need for greater flexibility in the deployment of staff. These purchases were authorized in the Fiscal Year budget, Equipment Priority Item Nos. 5 and 25 as 1-ton trucks. The versions purchased are ton trucks which represent the common standard currently prevalent for these types of trucks. 2. In keeping with the Port's Environmental Management Policy, the Construction & Maintenance Division requested that bids provide the opportunity for vendors to offer an alternative fuel version of the equipment being requested. Bids were consequently requested for both vehicles powered by gasoline and by compressed natural gas (CNG) for comparison purposes. 3. For each of the three bids covered in this report, advertisements were placed in publications as required by the City Charter. Requests for bids were mailed to potential bidders as follows with the number of responsive bids received also indicated:
3 June 12, Page 3 of 5 REYNOLDS BUICIUPONTIACIGMC TRUCKS, INC. Bid No. F-524 F-533 F-534 Bid Item Van, 1- ton (5) Utility Body, %- ton (4) Weld Body, ton (2) Total Mailings & Date 22 on on on Total Bids Returned & Opening Date 7 on ' on on 3-8- No. of Responsive Gasoline Bids 7 of 7 8 of9 5 of 5 No. of Responsive CNG Bids 3 of7 2of9 1 of5 4. The cost differential between gasoline and CNG powered versions of the vehicles is significant. The table below identifies the lowest bidder and bid submitted for gasoline and CNG powered versions of the respective vehicles (excluding sales tax): Bid No. Bid Item/ Quantity Van, 1- ton (5) Wondries Fleet Group (CNG) $229, $203, Reynolds Buick/Pontiacl Chevy (CNG) Villa Ford (Gasoline) $1 19, Clippinger Chevy (Gasoline) $10 1, Difference Body, %-" ton (4) Weld Body, ton $192, $138,711.10
4 June 12, Page 4 of 5 REYNOLDS BUICK/PONTIAC/GMC TRUCKS, INC. 5. The Port is committed to achieving the goals of its Clean Air Action Plan and the opportunity to purchase alternative powered vehicles and equipment is consistent with the plan. Consequently, for Bid No. F-524, award is recommended to Wondries Fleet Group; for Bid No. F-533, award is recommended to Wondries Fleet Group; and for Bid No. F-534, award is recommended to Reynolds Buick/Pontiac/Chevy, the bidders submitting' the lowest responsible quotes for CNG powered vehicles. 6. It should be noted that when the equipment budget for Fiscal Year was originally developed by the Construction & Maintenance Division, availability and prices for alternative fuel versions of the full range of vehicles and equipment was unknown. Alternative fuel versions of heavier vehicles have not been consistently available. The estimates included in the budget largely reflected price estimates for gasoline powered versions of vehicles and equipment. Estimates used for the Fiscal Year budget have been modified to account for anticipated cost differentials. The estimates, however, may prove to be more speculative as the market for alternative fuel vehicles and equipment continues to evolve. For the purchases being presented to the Board in this report, funds have been included in the Fiscal Year budget. Future purchases may be brought to the Board on an as-needed basis with requests for supplemental funds to pay for alternative fuel powered vehicles and equipment to the extent that such vehicles and equipment are available and supplemental funds are necessary. 7. Approved Affirmative Action Plans for the vendors are on file in the Contracts and Purchasing Division and a copy of the approved contracts will be forwarded to Contract Compliance for monitoring. ENVIRONMENTAL ASSESSMENT The Director of the Environmental Management Division has determined that the proposed activity has been evaluated pursuant to the requirements of the California Environmental Quality Act (CEQA) in accordance with Article 11, Section 2(f) of the Los Angeles City CEQA Guidelines.
5 June 12, Page 5 of 5 REYNOLDS BUICIUPONTIACIGMC TRUCKS, INC. FINANCIAL IMPACT The vehicles being ordered will be delivered in Fiscal Year Funds for these purchases are budgeted in the Construction and Maintenance Division budget (Center No. 051 O), Program No. 000 (Base Budget) in Account No (Equipment Acquisitions), Item No. 36. CITY ATTORNEY The City Attorney's Office has approved the proposed contract as to form. TRANSMITTALS I 1. Contract Nos ,39376 and Bid Recaps - F-524, F-533 and F-534 /I Port Construction and Maintenance L R. CHRISTENSEN ecutive Director Director of Contracts and Purchasing / Deputy Executive Director File Nos. HAR-9-1 MGT-3-3 PUR-5
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