DATE: DECEMBER 13, 2022
DEPARTMENT: SALINAS POLICE DEPARTMENT
FROM: ROBERTO FILICE, CHIEF OF POLICE
BY: TONYA ERICKSON, POLICE SERVICES ADMINISTRATOR
TITLE: DIRECT PURCHASE OF CITYWIDE VEHICLES FY 23 - UPDATED RECOMMENDED MOTION:
A motion to approve a new Resolution amending identified vehicle Not to Exceed amounts previously approved via Resolution 22448 (N.C.S.). This proposed Resolution authorizes the Purchasing Officer to directly purchase thirty-one (31) vehicles for a total cost not to exceed $1,975,322.01.
RECOMMENDATION:
Staff recommends that City Council authorize a new Resolution adjusting vehicle Not to Exceed amounts previously approved via Resolution 22448 (N.C.S.). This proposed Resolution authorizes the Purchasing Officer to directly purchase thirty-one (31) vehicles for a total cost not to exceed $1,975,322.01.
EXECUTIVE SUMMARY:
On August 9, 2022, City Council approved Resolution 22448 for the direct purchase of thirty-one (31) vehicles identified as necessary by various City departments. Ten (10) of the vehicles approved for the Police Department, identified last on the list of vehicles, were Ford Interceptor Pursuit vehicles, and one (1) of the vehicles was a RAV4 Hybrid . The price estimates were based upon base prices for model year 2022 vehicles, along with a 25% contingency to cover any price increases. The 2023 model year price for each vehicle increased between 30-35% and thus the department is asking City Council to amend Not to Exceed total for each of the vehicles identified above, as well as the corresponding total cost for all thirty-one (31) vehicles included on the Resolution.
BACKGROUND:
The FY 2022-23 City Budget provided funding to Departments to purchase new and replacement vehicles for use by City employees and each Department has funding available within their Department Operating and/or Capital Improvement Program (CIP) Budget. The chart contained within the original report identified the Department/Program, target vehicle, and pricing information for each vehicle needing to be purchased. Each vehicle had a Not to Exceed (NTE) total which represents the maximum purchasing authority granted. The 2022 model year state contract rate was utilized as the underlying pricing source for the RAV4 Hybrid and Ford Interceptor Pursuit vehicles. As the State contract price is generally well below the Manufacturers Suggested Retail Price (MSRP) price, or the price available via local dealerships, we requested authorization of a contingency amount to allow for the higher price. To account for an anticipated new model year price increase, as well as local purchasing preference, we had calculated a 25% contingency for each vehicle. Unfortunately, the 2023 model year price for these vehicles increased between 30-35% thus we are asking to adjust the per vehicle NTE amount, as well as the total NTE for all thirty-one (31) vehicles included on the resolution.
The vehicles identified for the Police Departments included one (1) RAV4 Hybrid and ten (10) Ford Interceptor Utility Pursuit vehicles as indicated below. These vehicles were included on the last few lines of vehicles on the original chart.
Previously approved vehicle purchases per Resolution 22448:
Dept/ Prog
Target Vehicle
Pricing Resource
Qty
Per-Vehicle Price
Taxes & Fees
25% Contingency
NTE (Per Vehicle)
Police
RAV 4 Hybrid (or similar sedan)
State Contract
1 27,073.00
3,504.25
7,644.31
38,221.57
Police
Ford Interceptor Pursuit
State Contract
10 36,226.00
4,350.91
10,144.23
50,721.13
The Police Department was unable to locate any 2022 model year vehicles and thus sought quotes for 2023 model year vehicles. For the RAV4 Hybrid, the updated State Contract Price has not yet been released nor has the ordering window opened. We were able to secure a quote from Salinas Toyota for this vehicle, though the base price is approximately 33% more which exceeds the contingency approved via Resolution 22448. For the 2023 Ford Interceptor Pursuit vehicles, we received quotes from both Folsom Lake Ford (State Contract) and Salinas Valley Ford and the quote from the local dealer was not within the 10% purchasing preference limits. The base price via State Contract increased by 35%, which exceeded the contingency approved via Resolution 22448. Given the significant increase in prices, we are requesting to modify the purchasing authorization for the one RAV4 Hybrid and the ten (10) Ford Interceptor Pursuit vehicles to adjust base per-vehicle price per the new quotes. Because we have been able to hold vehicles at the quoted prices, we are removing the contingency. Amended vehicle purchases:
Dept/ Prog
Target Vehicle
Pricing Resource
Qty
Per-Vehicle Price
Taxes & Fees
25% Contingency
NTE (Per Vehicle)
Police
RAV 4 Hybrid (or similar sedan)
Quote
1 36,049.00
3,512.15
0.00 39,561.15
Police
Ford Interceptor Pursuit
Quote
10 48,931.00
6,526.12
0.00 55,457.12
The NTE price for the one (1) RAV4 Hybrid increased by $1,339.58 and the NTE price for the ten (10) Ford Interceptor Pursuit vehicles increased by $4,735.99 each, or a total of $47,359.86. Correspondingly, the total NTE for all thirty-one (31) vehicles increased by $48,699.45 to a new total NTE of $1,975,322.01 as shown in the chart below. (Updated vehicles are italicized.) Dept/Prog
Target Vehicle
Pricing Resource
Qty
Per-Vehicle Price
Taxes & Fees
25% Contingency
NTE (Per Vehicle)
Code Enforcement
Rav 4 Hybrid
State Contract
2 27,073.00
3,504.25
7,644.31
38,221.57
Facilities
F250 Utility Body
Quote
2 42,948.00
3,980.55
11,732.14
58,660.69
Parks
Tacoma SR
State Contract
2 30,027.00
3,777.50
8,451.12
42,255.62
NPDES
Tacoma SR
State Contract
1 30,027.00
3,777.50
8,451.12
42,255.62
Public Works
F150 Standard
State Contract
2 32,490.00
4,005.33
9,123.83
45,619.16
Street Maintenance
F150 Standard
State Contract
1 32,490.00
4,005.33
9,123.83
45,619.16
Street Maintenance
F550 Flatbed
Quote
1 77,121.00
7,860.84
21,245.46
106,227.30
Street Maintenance
F650 Ford Dump
Quote
1 94,075.99
9,589.01
25,916.25
129,581.25
Street Maintenance
John Deere 310 Backhoe Loader
Quote
1 136,954.99
12,668.34
37,405.83
187,029.16
Street Maintenance
Catapiller - model CB4.4 - Asphalt Roller
Quote
1 100,827.14
9,326.51
27,538.41
137,692.06
Airport
Ford F150 Lightning (Electric)
State Contract
1 41,637.00
4,851.42
11,622.11
58,110.53
Fire
Ford F250 Utility Body
Quote
1 43,440.00
4,026.06
11,866.52
59,332.58
Fire
Chevrolet Tahoe SUV
State Contract
1 44,000.00
5,070.00
12,267.50
61,337.50
Police
Chevrolet Tahoe SUV (or alt truck)
State Contract
2 44,000.00
5,070.00
12,267.50
61,337.50
Police
RAV 4 Hybrid (or alt sedan)
State Contract
1 36,049.00
3,512.15
0 39,561.15
Police
Dodge Charger Pursuit
State Contract
1 44,350.00
5,102.38
12,363.09
61,815.47
Police
Ford Interceptor Pursuit
Quote
10 48,931.00
6,526.12
0 55,457.12
TOTAL VEHICLES
31 NOT TO EXCEED (NTE) TOTAL
1,975,322.01
Based upon the information provided within this report, the City Council has the authority to approve this direct purchase under Salinas Municipal code Section12-27 and Salinas Municipal Code Section 12-28.080.
CEQA CONSIDERATION:
Not a Project. The City of Salinas has determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines Section 15378).
STRATEGIC PLAN INITIATIVE:
Approving the proposed resolution will support the City Council’s Strategic Plan Goals related to Public Safety and Effective and Culturally Responsive Government.
DEPARTMENTAL COORDINATION:
Public Works and all identified Departments were contacted and collaborated on this updated Staff Report. We will continue to coordinate with the Finance Departments during the purchasing process.
FISCAL AND SUSTAINABILITY IMPACT:
No additional funds are requested to support these purchases. Funds are appropriated and available within individual Department’s FY 2022-23 Budgets and purchases may not exceed the total fleet-related appropriations within the FY 2022-23 City Budget. Specific accounts to be utilized include:
Police Vehicle Replacement, 5800.40.9579.
CDD Vehicle Replacement, 5800.30.9045
Sanitary Sewer, 5800.50.9126
Fleet Consolidation Replacement, 5800.50.9226
Parks Vehicle Replacement, 5800.55.9270
Fire Command & Staff Vehicles, 5800.45.9210
Municipal Airport, 6100.50.5340-66.5500
ATTACHMENTS:
Resolution
Quotes
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