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HomeMy WebLinkAbout8 Reject Bids for Vehicle Purchase 2018CONSENT To: Board of Directors From: Jim Wilson Date: March 07, 2018 Subject: Consideration to Reject All Bids for the Service Truck 2018 Purchase 1. WHY THIS MATTER IS BEFORE THE BOARD Board approval is required for procurements in excess of $15,000 and only the Board can reject bids. 2. HISTORY In 2008, the District established the Electric and Water Vehicle Reserve Funds to provide a source of funds for periodic vehicle replacement. Funds are added each year by both Electric and Water Departments as described in the adopted budget. 3. NEW INFORMATION Two existing service trucks have reached the end of their useful life, due to age and high mileage. These are Unit numbers 350 and 204, which are Electric Department vehicles. With the addition of a new electrician, one additional service truck is needed. Specifications were prepared and a request for bids was advertised, for three 3/4 ton service trucks. Two bids were received, one from Champion Chevrolet of Reno, NV. and one from Towne Ford of Redwood City, CA. At the last minute, just before bid opening, Champion withdrew their bid, because General Motors has stopped producing standard cab trucks until mid 2019. Towne Ford did not meet specifications of the trucks or truck bodies, leaving the District with no responsive bids. S. FISCAL IMPACT Sufficient funds exist within the Electric Vehicle Reserve Fund for the replacement/purchase of two of the trucks and sufficient funds exist within the Electric General fund for the purchase of the additional vehicle. The two vehicles being replaced will be surplussed and sent to public auction. 5. RECOMIInENDA 11UN 1) Reject all bids and authorize the General Manager to request quotes and negotiate with vendors, for the purchase of three 3/4 ton service trucks. 2) Declare Unit 350 and Unit 204 surplus and apply the sales proceeds to the Electric Vehicle Reserve Fund. 'dddd PFFd! Stephen Hollabaugh Assistant General Manager Michael D. Holley General Manager Stephen Hollabaugh Assistant General Manager Michael D. Holley General Manager