DATE: June 15, 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
REPLACEMENT FUND (501) TO ACCOUNT NO. 501-0560-
431-4384, DECREASING THE AMOUNT FROM $88,456 TO
$78,126 ($10,330 DECREASE) AND AMENDING THE
AWARD FOR THE 2026 FORD EXPEDITION MAX ACTIVE
4WD VEHICLE BY CHANGING VEHICLE TO THE 2027
FORD EXPEDITION XL SSV 4WD
RECOMMENDATION
It is recommended that City Council approve the attached resolution authorizing a change to the previously approved appropriation from the Vehicle Replacement Fund (501) to Account No. 501- 0560-431-4384, decreasing the amount from $88,456 to $78,126 ($10,330 decrease) and amending the award for the 2026 Ford Expedition Max Active 4WD vehicle by changing vehicle to the 2027 Ford Expedition XL SSV 4WD in the amount of $62,664 and $8,000 for equipment installation for a total of $70,664 and finding the purchase exempt from review under California Environmental Quality Act 15061(b)(3).
EXECUTIVE SUMMARY
On April 6, 2026, City Council approved the purchase of a 2026 Ford Expedition from Serramonte Ford and equipment installation for a total of $80,994 after the original low bidder was unable to honor its bid. Due to timing issues, the 2026 purchase window closed, and staff
issued a new request for bids for a 2027 model. Staff recommends awarding the purchase of the 2027 Ford Expedition XL SSV to Serramonte Ford, the lowest responsive bidder, for a total of $70,664, including equipment installation. This is $10,330 less than the previously approved amount, reducing the total supplemental appropriation for all thirteen (13) vehicles approved for purchase for FY 25-26 from $88,456 to $78,126.
BACKGROUND/ANALYSIS
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 it was unable to supply the 2026 Ford Expedition Max Active 4WD at the submitted bid price and could not honor its bid. On April 6, 2026, the City Council approved award of the purchase to the next lowest responsive and responsible bidder, Serramonte Ford, in the amount of $72,994, plus $8,000 for equipment installation, for a total of $80,994. The total additional appropriation approved for the thirteen (13) vehicles was $88,456, reflecting the amount needed above the budgeted amount to complete the vehicle purchases.
Due to timing issues, Serramonte Ford was unable to fulfill the order as Ford’s purchase window for the 2026 Expedition had closed. Staff issued an updated request for bids updating the vehicle year from 2026 to 2027 and various corresponding details.
A request for bid with the corresponding vehicle specifications and delivery requirements was published on the City’s website and sent to dealerships in accordance with the requirements of California Public Contract Code section 20125 and Government Code section 6062. Four (4) dealerships responded: Serramonte Ford, Downtown Ford of Sacramento, Ford Store San Leandro and Envision Ford Lincoln of Duarte.
Staff recommends purchasing one (1) vehicle from the appropriate lowest responsible bidder that meets the City’s vehicle specifications and delivery requirements.
The table below lists the vehicle type and the corresponding lowest bid:
Type Lowest Bid Equipment
Installation
Total Lowest Bidder
Ford Expedition XL SSV 62,664 8,000 70,664 Serramonte
Totals 62,664 8,000 70,664
The Ford Expedition will be used to support Police Department SWAT training and the transport of personnel and equipment for operational readiness.
The new bid from Serramonte reflects a decrease of $10,330 from the previously approved purchase amount. At the April 6, 2026 City Council meeting, the City Council approved the purchase of this vehicle from Serramonte Ford in the amount of $72,994, plus $8,000 for equipment installation, for a total of $80,994. The updated bid is $62,664, plus $8,000 for equipment installation, for a total of $70,664.
Additionally, on April 6, 2026, the City Council approved a supplemental appropriation of $88,456 to fund the amount needed above the original budget for the purchase of all thirteen (13) vehicles. This vehicle was originally budgeted at $60,000, and since the previous bid was a total of $80,994, $20,994 of the approved supplemental appropriation was attributable to this vehicle. With the updated purchase price now decreasing by $10,330, the previously approved supplemental appropriation can be reduced from $88,456 to $78,126 for the purchase of all thirteen vehicles.
FISCAL IMPACT
The fiscal impact of purchasing one (1) 2027 Ford Expedition XL SSV 4WD instead of one (1) 2026 Ford Expedition Max Active 4WD is a savings of $10,330. The unused appropriation will fall to fund balance of the Vehicle Replacement Fund (501) at the end of the fiscal year. When the new vehicle is delivered and put into service, the replaced vehicle will be sold at public auction at an estimated sale value of $4,000 to $7,000, the proceeds from which will also return to fund balance of the Vehicle Replacement Fund (501).
CALIFORNIA ENVIRONMENTAL QUALITY ACT
The purchase is exempt from review under the California Environmental Quality Act 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.
CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Staff Empowerment and Operational Excellence
ATTACHMENTS
Attachment 1 – Resolution
Attachment 2 – Quotes – Serramonte Ford