CITY OF SAN MATEO
CITY OF SAN MATEO
Agenda Report
City Hall
330 W. 20th Avenue
San Mateo CA 94403
www.cityofsanmateo.org
Agenda Number: 5 Section Name: {{section.name}} Account Number: 82-4683 File ID: {{item.tracking_number}} TO: City Council
FROM: Alex Khojikian, City Manager
PREPARED BY: Public Works Department
MEETING DATE: June 3, 2024
SUBJECT:
Fleet Maintenance Services – Amendment
RECOMMENDATION:
Approve Amendment No. 6 to the agreement with First Vehicle Services, Inc. for vehicle maintenance and repair services to extend the term through June 30, 2025 and increase the agreement by $1,119,903.23 for a new not-to-exceed total agreement amount of $8,083,421.04; establish a contingency reserve in the amount of $100,000.00; and authorize the Public Works Director to execute the amendment in substantially the form presented and issue amendments within the contingency amount.
BACKGROUND:
The Facilities and Fleet Services Division of Public Works contracts with First Vehicle Services, Inc. (FVS) to perform maintenance and repairs for the City’s fleet.
In September 2017, Council approved a three-year agreement with FVS for fleet maintenance services that also allowed for five (5) optional annual extensions, provisions for annual adjustment based on the Bay Area Cost Consumer Price Index, and the establishment of an annual $100,000 contingency reserve.
Since the execution of the 2017 agreement, Amendments 1 through 5 were approved and executed to extend the term, add annual funding to the agreement, include additional provisions for vehicle expenses outside the scope of the contract, and add CPI-based annual increases. The current total agreement amount is $6,963,517.81.
Staff recommends approval of Amendment No. 6 to extend the agreement through June 30, 2025, and increase the agreement by $1,119,903.23 for a new agreement amount not to exceed $8,083,421.04. This amendment will execute the last annual optional term extension. To address any unanticipated costs, and consistent with the original agreement approval action by Council, staff recommend establishing a contingency reserve in the amount of $100,000.
BUDGET IMPACT:
Funding for fleet maintenance and repair services is budgeted in the Fleet Services operating budget. No supplemental budget appropriation is necessary.
ENVIRONMENTAL DETERMINATION:
This Amendment is not a project subject to CEQA, because it is an organizational or administrative activity that will not result in direct or indirect physical changes in the environment. (CEQA Guidelines Section 15378(b)(5).)
NOTICE PROVIDED
All meeting noticing requirements were met.
CITY OF SAN MATEO
ATTACHMENTS
Att 1 - Amendment No. 6
STAFF CONTACT
Daniel Heffelfinger, Fleet Services Supervisor
[email protected]
650-522-7366