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DATE: April 6, 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: AUTHORIZING A CHANGE TO THE PREVIOUSLY
APPROVED APPROPRIATION FROM THE VEHICLE
MAINTENANCE FUND (501) TO ACCOUNT NO. 501-0560-
431-4384, INCREASING THE AMOUNT FROM $84,687 TO
$88,456 ($3,769 INCREASE), AND AMMENDING THE
AWARD FOR THE 2026 FORD EXPEDITION MAX ACTIVE
4WD BY CHANGING THE VENDOR FROM TOWNE FORD
TO SERRAMONTE FORD AND CORRECTING THE BID
AMOUNT FROM $69,225 TO $72,994
RECOMMENDATION
It is recommended that the City Council approve the attached resolution to (1) authorize a change to the previously approved appropriation from the Vehicle Replacement Fund (501) to Account No. 501-0560-431-4384, increasing the amount from $84,687 to $88,456 ($3,769 increase), and (2) amend the award for the 2026 Ford Expedition Max Active 4WD by changing the vendor from Towne Ford to Serramonte Ford and correcting the bid amount from $69,225 to $72,994 consistent with the lowest responsive and responsible bidder. The purchase is exempt from review under the California Environmental Quality Act (CEQA) 15061(b)(3) Common Sense Exemption because it can be seen with certainty that there is no possibility that this action may have a significant effect on the environment.
EXECUTIVE SUMMARY
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At the February 17, 2026 City Council meeting, the City Council approved the purchase of thirteen (13) vehicles from the respective lowest responsive and responsible bidders. Following Council approval, Towne Ford notified staff that they were unable to supply the 2026 Ford Expedition Max Active 4WD at the submitted bid price and could not honor the original bid.
Towne Ford withdrew their bid. The next lowest responsive and responsible bidder is Serramonte Ford, in the amount of $72,994, replacing Towne Ford at $69,225. This update increases the purchase price by $3,769 and increases the previously approved February 17th, 2026 appropriation of $87,179 which was amended on March 2, 2026 to $84,687 from the Vehicle Replacement Fund (501) to Account No. 501-0560-431-4384 from $84,687 to $88,456.
BACKGROUND/ANALYSIS
At the February 17, 2026 City Council meeting, the City Council approved the purchase of thirteen (13) vehicles from the respective lowest responsible bidders. The purchase and associated equipment installation costs exceeded the budgeted amount for the thirteen (13) vehicles; therefore, an appropriation from the Vehicle Replacement Fund (501) to Account No. 501-0560-431-4384 in the amount of $87,179 was necessary to complete the purchase.
Following Council approval on February 17, 2026, staff determined that the lowest responsible bidder for one of the vehicles, the Explorer ST (White), was incorrectly identified as Towne Ford with a bid amount of $58,233. The correct lowest responsible bidder was Serramonte Ford in the amount of $55,741. On March 2, 2026 Council approved an amendment to the appropriation from the Vehicle Replacement Fund (501) to Account No. 501-0560-431-4384 from $87,179 to $84,687. All other vehicle awards approved on February 17, 2026 remained unchanged.
Following Council approval staff authorized the purchase of the thirteen (13) vehicles. One of the approved vehicles, a 2026 Ford Expedition Max Active 4WD designated for Police Department use was competitively bid and awarded to Towne Ford as the lowest responsible bidder at $69,225. Following award of the bid Towne Ford notified staff that they were unable to supply the 2026 Ford Expedition Max Active 4WD at the submitted bid price and could not honor the original bid. Since the vendor is unable to honor the awarded bid amount, the bid can be awarded to the next lowest responsive and responsible bidder, Serramonte Ford in the amount of $72,994. This amount is greater than Towne Ford’s bid of $69,225 which Council had previously authorized. Staff is therefore requesting Council approval to change the award to Serramonte Ford. This change increases the purchase price by $3,769 and correspondingly increases the required appropriation from the Vehicle Replacement Fund (501) to Account No. 501-0560-431-4384 from $84,687 to $88,456. All other vehicle awards approved on February 17, 2026 and March 2, 2026 remain unchanged.
CEQA
The purchase is exempt from review under the California Environmental Quality Act (CEQA) 15061(b)(3) Common Sense Exemption because it can be seen with certainty that there is no possibility that this action may have a significant effect on the environment. 1 1
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FISCAL IMPACT
The fiscal impact of the award of the purchase of the 2026 Ford Expedition Max Active 4WD to the next lowest responsive and responsible bidder, Serramonte Ford is an increase of $3,769 to the appropriation from the Vehicle Replacement Fund (501) to Account No. 501- 0560-431-4384, increasing the amount from $84,687 to $88,456.
CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Staff Empowerment and Operational Excellence
ATTACHMENTS
Attachment 1 – Resolution
Attachment 2 – Quote for 2026 Expedition Max Active 4WD Serramonte Ford Attachment 3 – Original quote for 2026 Expedition Max Active Towne Ford Attachment 4 – Email from Towne Ford, bid withdrawn