Metro. Board Report. SYSTEM SAFETY, SECURITY AND OPERATIONS COMMITTEE MAY 21, 2015 SUBJECT: PURCHASE OF MID-SIZE SUVs

Transcription

1 34 Metro Board Report Los Angeles County Metropolitan Transportation Authority One Gateway Plaza 3rd Floor Board Room Los Angeles, CA File #: , SYSTEM SAFETY, SECURITY AND OPERATIONS COMMITTEE MAY 21, 2015 SUBJECT: PURCHASE OF MID-SIZE SUVs ACTION: RECOMMENDATION FOR AWARD RECOMMENDATION Authorize the Chief Executive Officer to award a firm fixed price contract under IFB OP A to Wondries Fleet Group the lowest responsive and responsible bidder for 40 Mid-Size Sports Utility Vehicles (SUVs) for a firm fixed price of $1,519,429 inclusive of sales tax and environmental fees. DISCUSSION This procurement is for the replacement of 40 Metro Field Operations Supervisor Vehicles that have exceeded Metro's policy requirement of six years and/or 150,000 miles. The vehicles identified for retirement are in excess of 6 to 9 years of age and range in mileage between 133,676 to 222,301 miles. Metro has extended their replacement life for over 3 years to defer costs. Bus and Rail Operations personnel use these vehicles to supervise field operations to ensure timely and safe service. The current condition of these vehicles renders them no longer cost effective to maintain and replacements are now required. The replaced vehicles will be transferred to a contractor and sold at a public auction. DETERMINATION OF SAFETY IMPACT The safe operation of the vehicles is paramount to the safety of the Metro employees that operate them. Excessive age and mileage leads to wear of the major systems of the vehicle such as drive train, suspension and engine resulting in potentially significant repair costs. Replacement vehicles will minimize vehicle related safety issues. FINANCIAL IMPACT The recommendation for award is $1,519,429. These funds are included in Cost Center 3790, Maintenance Administration; Capital Projects and (Non-Revenue Vehicles) account acquisition of service vehicles. The delivery of all 40 vehicles is scheduled for 120 days after the contract is awarded. Metro Page 1 of 3 Printed on 5/7/2015 ower~d by Legis*,ar'`~'

2 File #: Impact to Budget This acquisition is funded with Transit Development Act (TDA) local funds. Initially, there will be a modest positive impact to the Operating budget as these vehicles will replace existing vehicles with similar preventative maintenance schedules; however, savings are anticipated due to the cost avoidance of unscheduled repairs of the current aged fleet. Further, savings are anticipated as unscheduled repairs will be covered under the manufacturer warranty. As the manufacturer's warranty expires the Operating budget will begin to incur costs. These costs will increase as vehicle age and mileage increases. ALTERNATIVES CONSIDERED The alternative is to not purchase these vehicles and continue to use the existing vehicles. This option is not desirable due to the high cost associated with maintaining older vehicles, the availability of repair parts and higher fuel costs. Additionally, they will continue to decrease in reliability. The reliability of the vehicles affects field operations effectiveness and may impact bus and rail service. NEXT STEPS Following the execution of the contract, the vendor will place an order for the vehicles and commence delivery upon receipt from the manufacturer. Delivery of all 40 vehicles is scheduled 120 days after the contract is awarded. ATTACHMENTS A. Procurement Summary B. Bid Tabulation Prepared by: Daniel Ramirez, Maintenance Operations Manager Nathan Jones III, Director Contract Administration (Interim) Questions: Christopher Reyes, Senior Administrative Analyst, Operations (213) Metro Page 2 of 3 Printed on 5/7/2015 ;;ovrerft3 by L.ecis±ar'"

3 File #: Ivan Page Interim ecutive Director Ve dor/contract nagement Rob olland terim Chief Operations Offic P ill as ingt hief xecutive Officer Metro Page 3 of 3 Printed on 5/7/2015 No,.+:erect by l_ei is ar

4 ATTACHMENT A PROCUREMENT SUMMARY MID-SIZE SUV REPLACEMENT 1. Contract Number: OP A 2. Recommended Vendor: Wondries Fleet Grou 3. Type of Procurement (check one): ~ IFB RFP RFP A&E Non-Com etitive Modification Task Order 4. Procurement Dates: A. Issued: 11/18/14 B. Advertised/Publicized: 11/20/14, 11/22/14 C. Pre- ro osal/pre-bid Conference: N/A D. Pro osals/bids Due: 12/16/14 E. Pre-Qualification Com leted: 04/06/15 F. Conflict of Interest Form Submitted to Ethics: 01/12/15 G. Protest Period End Date: 5/18/15 5. Solicitations Picked up/downloaded: Contract Administrator: Mona Ismail 7. Project Manager: Daniel Ramirez A. Procurement Background Bids/Proposals Received: 3 Telephone Number: Telephone Number: This Board Action is to approve Contract No. OP A issued in support of 40 mid-size SUVs to replace aging Metro non-revenue vehicles. IFB No. OP A was issued in accordance with Metro's Acquisition Policy and the contract type is a Firm Fixed Price (FFP). One amendment was issued during the solicitation phase of this IFB: Amendment No. 1, issued on December 8, 2014, deleted the running board requirement from the technical specification and it extended the Bid due date to December 16, A total of three bids were received on December 16, One bid was formally withdrawn presumably due to closure of the bidder's vehicle source production-line, thereby, disabling the bidder's ability to meet the bid requirements. The bid that was withdrawn was initially the lowest bid. Based on the lowest being withdrawn, and also its bid has expired, staff elected to go to the next lowest bidder which was deemed responsive and responsible. The recommended awardee has agreed to extend its original bid price for the purposes of entering into a contract. Mid-Size SUV Purchase Page 4

5 In the course of conducting our required responsibility analyses the bidders' had to provide supplemental data to support their formally provided financial statements, for pre-qualification which resulted in the validity date being extended to complete this evaluation. B. Evaluation of Bids A total of three bidders responded to this solicitation. The firm recommended for award, Wondries Fleet Group, was found to be in full compliance with the bid requirements. Bidder's Name Bid Amount 1. Le ac Ford $1,645, Theodore Robins Ford N/A 3. Wondries Fleet Grou $1,519, C. Price Analysis The recommended bid price has been determined to be fair and reasonable based upon adequate price competition. Bidder's Name Bid Amount Metro ICE 1. Le ac Ford $1,645, $1,568, Theodore Robins Ford N/A 3. Wondries Fleet Grou $1,519, $1,568, D. Background on Recommended Contractor The recommended firm, Wondries Fleet Group, located in Alhambra, California has been in business for 65 years. Wondries Fleet Group is one the largest fleet vehicle providers that furnishes standard/modified vehicles to various federal, state, county, and municipal government agencies nationwide. Over the past 3 years Wondries has delivered to Metro multiple vehicle types that have included utility trucks, police interceptor utility vehicles and SUVs. On these past vehicle contracts with Metro Wondries has met the contract requirements and delivered the required vehicles. Mid-Size SUV Purchase Page 5

6 E. Small Business Participation The Diversity and Economic Opportunity Department (DEOD) established a 5% Small Business Enterprise (SBE) goal for this solicitation. Wondries Fleet Group did not make an SBE commitment. Meeting the SBE goal is neither a condition of award nor an issue of responsiveness. Offerors are strongly encouraged to subcontract with small businesses; this message was also communicated in the solicitation document and was reiterated by DEOD representatives during pre-bid/proposal conferences. For outreach assistance, DEOD prepared and included in the solicitation, a listing of available SBE subcontractors identified by North American Industry Classification Standards (NAILS) codes, for available subcontract opportunities. Offerors are directed to contact DEOD representatives for assistance with identifying small businesses interested in pursuing contracting opportunities. Metro's SBE program is race neutral. F. All Subcontractors Included with Recommended Contractor's Proposal Subcontractor Services Provided 1. None N/A G. Living Wage and Service Contract Worker Retention Policy The Living Wage and Service Contract Worker Retention Policy is not applicable to this contract. H. Prevailing Wage Applicability The prevailing wage payment and reporting requirements are not applicable to the purchase of Metro's Field Operations Supervisor Vehicles. Mid-Size SUV Purchase Page 6

7 ATTACHMENT B LOS ANGELES COUNTY METROPOLITAN TRANSPORTATION AUTHORITY BID TABULATION Bid No: OP A Mid-Size SUV Replacement Bids Out: 11/18/14 Total 11 Bids Opened: 12/14/14 Total 2 Advertisement Date(s): 11/18/14 Wondries Fleet Group Legacy Ford Newspaper: L.A. Daily News, Eastside Sun, Southwest Wave and Chinese Daily News Item No. Description Qty Unit Extended Price Extended Price 1 Sport Utility Vehicles 10 EA $34, $347, $37, $376, Sport Utility Vehicles 10 EA $34, $347, $37, $376, Sport Utility Vehicles 10 EA $34, $347, $37, $376, Sport Utility Vehicles 10 EA $34, $347, $37, $376, Hard copy and CD of the maintenance, repair, and parts manuals (3 paper copies and 2 CDs) 5 EA $ $1, $ $1, Hard copy and CD of the electrical schematics (3 paper copies and 2 CDs) 5 EA $ $1, $ $1, Subtotal, including all work listed under the items above $1,393, $1,509, Sales Tax 9% $125, $135, California Tire Fee $ $ Total Price $1,519, $1,645,388.90