HomeMy WebLinkAbout1/19/2004 - STAFF REPORTS (2) 13
DATE: January 19, 2004
TO: City Council
FROM: Director of Public Works/City Engineer and
Procurement and Contracting Manager
RESCIND AWARD OF VEHICLE PURCHASE TO SUNSET AUTO PLAZA VIA MINUTE
ORDER# 7545 AND AUTHORIZE THE PURCHASE OF ONE 2005 DEDICATED CNG
TRUCK FROM CREST CHEVROLET IN THE AMOUNT OF $39, 957.22.
RECOMMENDATION:
That City Council rescind award of dedicated CNG truck purchase from Sunset Auto Plaza
made on September 1, 2004 via Resolution#7545 and authorize the purchase from Crest
Chevrolet of San Bernardino, Ca. for the same price and terms.
SUMMARY:
On September 1, 2004 City Council authorized the purchase of a 2005 dedicated CNG
truck for use by the Public Works Department.The authorized purchase is partially funded
by a Mobile Source Reduction Control (MSRC) grant which is administered by the South
Coast Air Quality Management District. Our approved allocation from the grant is$16,750.
The dealership who won the award did not hold the necessary manufacturer certifications
to sell and service dedicated CNG vehicles and the order was denied by General Motors.
The 2005 Silverado is the only dedicated CNG pick-up truck being produced in the 2005
model year that qualifies for use of the MSRC grant.
BACKGROUND:
This purchase was originally authorized by the Council on September 1, 2004 and the
award made to Sunset Auto Plaza. The dealership was first unable to meet its
commitment due to a lack of necessary certification to sell and service dedicated CNG
vehicles. The factory order was denied by General Motors. The General Manager
explained that his dealership was in the process of certification and would have no
problem delivering the vehicle. Subsequently, the dealership entered escrow for sale and
cannot complete the certification process. Lack of CNG certification also prevented the
award to local dealerships.
The Procurement and Contracting Division has located a dealership who is appropriately
certified and willing to honor the same price and terms awarded to Sunset Auto Plaza. The
total price of the vehicle is$39,957.22 for a net cost to the City after grant reimbursement,
of$23,207.22.
ruce J n n DAVID BARAKIAN
P ent nd Contracting Manager Director, Public Works/ City Engineer
APPROVE �'✓'
City Manager REVIEWED BY DEPT.OF FINANCE',
ATTACHMENT: Minute Order
MINUTE ORDER NO. 7615
RESCINDING MINUTE ORDER 7545, AWARDING
VEHICLE PURCHASE TO SUNSET AUTO
PLAZA, AND AUTHORIZING THE PURCHASE OF
ONE 2005 DEDICATED CNG TRUCK FROM
CREST CHEVROLET, IN THE AMOUNT OF
$39,957.22.
I HEREBY CERTIFY that this Minute Order, rescinding Minute Order 7545,
awarding vehicle purchase to Sunset Auto Plaza, and authorizing the
purchase of one 2005 dedicated CNG truck from Crest Chevrolet, in the
amount of $39,957.22, was adopted by the City Council of the City of Palm
Springs, California, in a meeting thereof held on the 19'h day of January, 2005.
JAMESTHOMPSON
City Clerk
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