Item 40/2025
Final
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
To:
Lisa L. Kim From: William E. Murray
Dept:
City Manager Dept: Public Works
Date: 2/11/2025
Subject: Authorization of purchase order issuance to multiple auto dealerships for eight (8) new Police Department Administration vehicles. (Cost: $338,115.30) (Action Item)
OBJECTIVE
To secure City Council authorization to purchase eight (8) new Police Department Administration vehicles from multiple auto dealerships with a total amount of $338,115.30.
BACKGROUND
Public Works is responsible for providing safe and reliable City fleet for all City departments.
The Police Department currently has eight (8) Administration vehicles that meet the City’s - guidelines for replacement and were approved through the FY 2024-25 budget process. The eight (8) vehicle descriptions, VIN #’s, and mileages are listed on a separate attachment.
DISCUSSION
Specifications were prepared and sent to bidders in the Southern California area. Only one (1) vehicle, a Chevy Traverse, received qualifying bids with Selman Chevrolet being the winning bid. No qualifying bids were received for the other seven (7) vehicles. Per Section 5.5 of the Purchasing Manual: “If no bids or proposals are received through the formal or informal bidding procedure, the goods or services may be secured by negotiated contract”. The City has a local Nissan dealer, Hyundai dealer, and Kia dealer who we have negotiated contracts, in addition to a contract with a Honda dealer, OC Honda World Westminster. Staff has negotiated contracts with the results being:
Garden Grove Nissan
(Nissan Pathfinder SL SUV) $49,707.50* **
(Nissan Frontier SV Pickup) $38,267.00* **
Garden Grove Kia
(Kia K5 EX) $39,612.69*
(Kia Sorento SX) $48,595.44*
Item 40/2025
OC Honda World Westminster
(Honda Accord SE) $33,939.50*
(Honda Pilot EX-L) $49,943.38*
Garden Grove Hyundai
(Hyundai Tucson SEL) $36,872.35*
IFB: No. S-1345 Winning Bid
Selman Chevrolet
(Chevy Traverse LT) $41,177.44*
*This price includes all tax and destination charges.
**This price may also be lower due to rebates, discounts and dealer incentives.
FINANCIAL IMPACT
The total cost to replace all eight vehicles is $338,115.30. Funds will be paid from the Fleet Management Fund as budgeted. The vehicles being replaced will be sold at public auction , and proceeds will be recorded in the Fleet Management internal service fund.
RECOMMENDATION
It is recommended that the City Council:
Authorize the Finance Director to issue purchase orders as follows for the purchase of eight (8) new Police Department Administration vehicles:
Garden Grove Nissan Nissan Pathfinder SL SUV;
Nissan Frontier SV Pickup
$87,974.50
Garden Grove Kia Kia K5 EX; Kia Sorento SX $88,208.13
OC Honda World Westminster Honda Accord SE;
Honda Pilot EX-L
$83,882.88
Garden Grove Hyundai Hyundai Tucson SEL $36,872.35
Selman Chevrolet Chevy Traverse LT $41,177.44
Total: $338,115.30
By: Steve Sudduth, Equipment Maintenance Supervisor
ATTACHMENT(S)
1. Police Department vehicles dispose
Item 40/2025
2. Bid results IFB-1345
3. Bid #1345 Chevy Traverse LT
4. Hyundai Tucson Quote
5. Honda Pilot Quote
6. Honda Accord Quote
7. Kia Sorento Quote
8. Kia K5 quote
9. Nissan Pathfinder quote
10. Nissan Frontier quote