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HomeMy WebLinkAbout10 Replacement Vehicle Agenda Item # 10 TRUCKEE DONNER PuLhc UGty D'strlct CONSENT To: Board of Directors From: Jim Wilson Date: January 04, 2012 Subject: Consideration of 2012 Purchase of a Replacement 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 The Electric Superintendent's vehicle (Unit 4) is now in need of replacement due to high mileage. Unit 4 will be replaced a with new mid-size Ford SUV which gets slightly better fuel economy than the competitors comparable model. The mid-size vehicle is required to allow the superintendent to transport personnel, equipment, and materials to and from job sites. Unit 20 (currently a Pool Vehicle) has a failed transmission and is no longer operable. Present value of this vehicle does not warrant repairing the transmission, and would not sufficiently extend the vehicle life, enhance reliability, or increase future resale value to justify this repair. Unit 4 will be utilized as a pool vehicle in place of Unit 20 which will be surplused. 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 (Joins 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 August 19, 2011, the State of Nevada awarded the Fleet Vehicle Bid Number 7662 to Jones West Ford, of Reno, NV. Jones West Ford has agreed to honor the State of Nevada bid pricing with TDPUD for the purchase of one Ford Explorer in amount of $24,362 plus tax. 4. FISCAL IMPACT Sufficient funds exist in the Electric Vehicle Replacement Fund for the purchase of the vehicle. Recovery of some of the initial investment will be made through the sale of the surplus vehicle at public auction. Proceeds will be transferred to the Electric Department Vehicle Replacement Fund. 5. RECOMMENDATION a) Award the purchase of one Ford Explorer to Jones West Ford of Reno, Nevada for the amount of$24,362 plus applicable tax. b) Declare Unit 20 surplus and apply the sales proceeds to the Electric Vehicle Replacement Fund. Stephen Hollabaugh Michael D. Holley Assistant General Manager General Manager