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HomeMy WebLinkAbout8 Replace Sport Utility Vehicle Agenda Item # 8 r DONNER Public Utility District CONSENT To: Board of Directors From: Jim Wilson Date: March 19, 2014 Subject: Consideration of the Purchase of one Replacement Sport Utility Vehicle 1. WHY THIS MATTER IS BEFORE THE BOARD Board approval is required for purchases in excess of$15,000 and only the Board can declare vehicles surplus. 2. HISTORY In 2008, the District established Electric and Water Vehicle Replacement Funds to provide a source of funds for periodic vehicle replacement. Funds are added each year by both the Water and Electric Departments as described in the adopted budget. 3. NEW INFORMATION One existing District management vehicle, SUV Unit No. 148, is in need of replacement due to age and high mileage. This vehicle will be replaced with a new Jeep Cherokee SUV which gets equivalent fuel economy to the competitors comparable models. This vehicle will be operated by the Electric Utility Manager and will be utilized to transport District personnel, equipment, and materials to and from meetings, various District projects, facilities, and job sites. The District is able to participate in a competitive procurement from the State of Nevada for the replacement vehicle. Section 3.08.060 of the District's code (Joint Purchasing with the State of California and other public agencies) permits the District to take advantage of other agencies low bids providing that competitive procurement procedures were followed. On September 5, 2013, the State of Nevada awarded the Fleet Vehicle Bid Number 8036, Item Number 5.2F, to Carson Dodge Chrysler Jeep, of Carson City, NV. Carson Dodge has agreed to honor the State of Nevada bid pricing with TDPUD for the purchase of one Jeep Cherokee in amount of$24,816.25 plus tax. The Water Department SUV Unit No. 149 is of the same vintage and has high mileage as well. With the 2013 purchase of the all-electric vehicle on November 20th, no replacement for Unit 149 is necessary. 4. FISCAL IMPACT Sufficient funds exist in the Electric Vehicle Replacement Fund for the purchase of this vehicle. Recovery of some of the initial investment will be made through the sale of the surplus of two vehicles at public auction. Proceeds will be transferred to the Water and Electric Department Vehicle Replacement Funds. 5. RECOMMENDATION a) Award the purchase of one Jeep Cherokee to Carson Dodge Chrysler Jeep of Carson City, Nevada for the amount of$24,816.25 plus applicable tax b) Declare Unit 148 as surplus and apply the sales proceeds to the Electric Vehicle Replacement Fund c) Declare Unit 149 as surplus and apply the sales proceeds to the Water Vehicle Vehicle Replacement Fund d / 2 Stephen Hollabaugh Michael D. Holley Assistant General Manager General Manager