DATE: February 17, 2026
TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager
Marlene Subhashini, Assistant City Manager
FROM: Andrew Brozyna, Public Works Director
Michael Miller, Fleet Supervisor
DEPARTMENT: Public Works
SUBJECT: APPROPRIATION OF $87,179 FROM THE VEHICLE
REPLACEMENT FUND (501) TO ACCOUNT NO. 501-0560-
431-4384 FOR THE PURCHASE OF THIRTEEN (13)
VEHICLES IN THE TOTAL AMOUNT OF $852,183
RECOMMENDATION
It is recommended that City Council approve the attached resolution:
1. Authorizing an appropriation of $87,179 from the Vehicle Replacement Fund (501) to Account No. 501-0560-431-4384; and
2. Authorizing the purchase of thirteen (13) vehicles in the amount of $664,183 with an additional $188,000 necessary for equipment installation for a total amount of $852,183.
EXECUTIVE SUMMARY
The FY 2025–2026 Vehicle Replacement budget has approved and available funding of $512,304 for the replacement of five vehicles, as evaluated by the Vehicle Maintenance Division. Additionally, $745,000 originally approved in FY 2024–2025 was carried over to FY 2025–2026. The total budgeted amount is for the purchase of twenty (20) vehicles. Of the twenty (20) vehicles originally planned for purchase, staff recommends the purchase of thirteen (13) vehicles and the deferment of purchase of seven (7) vehicles. The total purchase price for the thirteen (13) vehicles is $664,183, with an additional $188,000 for equipment installation, for a total project cost of $852,183. The budgeted amount for the replacement of these (13) thirteen vehicles is
$765,004, therefore an appropriation from the Vehicle Replacement Fund (Fund 501) of $87,179 is requested to complete the purchase. Funding budgeted for the seven (7) deferred vehicles will remain in the Vehicle Replacement Fund (Fund 501) for future purchase.
BACKGROUND/ANALYSIS
Staff recommends purchasing the thirteen (13) vehicles from the appropriate lowest responsible bidders that meet the City’s vehicle specifications and delivery requirements.
A request for bid with vehicle specifications and delivery requirements was sent to six (6) dealerships. Four dealerships responded: Serramonte Ford, Towne Ford, San Leandro Ford and Watsonville Ford. The table below lists the vehicle type and the corresponding lowest bid:
Type Lowest Bid Equipment
Installation
Total Lowest Bidder
Maverick 31,795 - 31,795 Serramonte
Interceptor Patrol 55,182 27,000 82,182 Serramonte
Interceptor Patrol 55,182 27,000 82,182 Serramonte
Interceptor Patrol 55,182 27,000 82,182 Serramonte
Interceptor Patrol 55,182 27,000 82,182 Serramonte
Interceptor Patrol 55,182 27,000 82,182 Serramonte
Explorer ST Agate Blk 57,153 6,000 63,153 Serramonte
Explorer Active 4WD 40,745 6,000 46,745 Serramonte
Interceptor Slick Top 56,568 27,000 83,568 Serramonte
Explorer Active 2WD 38,748 - 38,748 Serramonte
Ranger XL 35,806 - 35,806 Serramonte
Explorer ST White 58,233 6,000 64,233 Towne
Expedition 69,225 8,000 77,225 Towne
Totals 664,183 188,000 852,183
Six (6) Ford Police Interceptor Utility vehicles will be used by the Police Department for patrol operations, emergency response, investigative assignments, and specialized enforcement activities requiring both marked and low-profile vehicles. The Ford Expedition will be used to support SWAT training and the transport of personnel and equipment for operational readiness. Two (2) Ford Explorer vehicles will be assigned for Police command staff use in support of administrative response and Department operations. One (1) Ford Explorer will serve as a detective pool vehicle for investigative field work. One (1) Ford Explorer will serve as a pool vehicle for the Community Development Department to support field inspections and site visits. The Ford Maverick will be assigned to the Recreation Division for transportation between facilities and routine operational support. The Ford Ranger will be assigned to the Parks Division to support inspections, site visits, and daily operational oversight of park facilities.
The FY 2024–2025 Vehicle Replacement budget included $745,000 for the replacement vehicles. Due to limited vehicle availability, City Council approved the carryover of these funds at its September 2, 2025 meeting. The FY 2025–2026 Vehicle Replacement budget has approved and available funding of $512,304. Of the twenty (20) vehicles scheduled for replacement, staff recommends the replacement of thirteen (13) vehicles for a total amount of $852,183. Vehicle costs for some of the recommended purchases exceed the originally budgeted amounts.
In particular, Police Interceptor pricing has increased in recent years due to higher base vehicle costs and escalating expenses for required public-safety upfitting, equipment, and onboard technology, including ballistic door panels and updated console and utility box designs. The budgeted amount for the replacement of these vehicles is $765,004, therefore an appropriation from the Vehicle Replacement Fund (Fund 501) of $87,179 is requested to complete the purchase.
Seven (7) additional vehicles originally scheduled for replacement in FY 2024-25 and FY 2025-26 are not recommended for purchase at this time to ensure alignment with the California Advanced Clean Fleets (ACF) regulation for vehicles over 8,500 pounds. These vehicles remain operational and continue to meet current service needs. Funding will remain in the Vehicle Replacement Fund and will be used when the vehicles reach the end of their service life and compliant replacement options are available, and purchase recommendations will be brought forward for City Council consideration.
FISCAL IMPACT
The fiscal impact of proposed replacement of thirteen (13) vehicles is $852,183 including (a) $765,004 previously appropriated in the FY 2025-2026, plus (b) a supplemental appropriation of $87,179 to pay for the actual cost in excess of budget estimates. When the new vehicles are delivered and put into service, the replaced vehicles will be sold at public auction at an estimated sale value of $4,000 to $7,000 per vehicle (or $52,000 to $91,000 in total). Net proceeds from the vehicle sales would be returned to the Vehicle Replacement Fund (501).
CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Staff Empowerment and Operational Excellence
ATTACHMENTS
Attachment 1 – Resolution
Attachment 2 – Quotes – Serramonte Ford and Towne Ford