City Council Agenda Report
Meeting Date: June 20, 2023
From: Todd Dusenberry, General Manager of Public Utilities Department: Public Utilities
Submitted by: Adriana Ramos, Administrative Analyst
Subject
Purchase Order with National Auto Fleet Group
Recommendation
A. Approve and authorize the issuance of a Purchase Order with National Auto Fleet Group (NAFG) to purchase a Ford F-150 Lightning XLT and a Ford F-150 Lightning Pro for a total amount not-to-exceed $135,440.88; and
B. Authorize a contingency amount of ten percent (10%) or $13,544 should the purchase of a comparable vehicle be necessary due to limited vehicle inventory, and grant authority to the City Administrator to issue a Supplemental to the Purchase Order to NAFG for an amount up to the contingency amount.
Background
On February 1, 2022, City Council approved the purchase of one 2022 Ford F-150 Lightning XLT for the quoted price of $73,770.41 and one 2022 Ford F-150 Lighting Pro quoted at $49,824.11, for a total combined cost of $123,594.52 from NAFG.
Due to the high demand and limited supply of these vehicles, staff could not purchase the desired vehicles from NAFG. Accordingly, staff obtained new quotes for one 2023 Ford F-150 Lightning XLT and one 2023 Ford F-150 Lighting Pro. The new quote for one 2023 Ford F-150 Lightning XLT is priced at $80,010.56 (attachment 1), and one 2023 Ford F-150 Lightning Pro is priced at $55,430.32 (attachment 2), for a total combined cost of $135,440.88.
Staff recommends approval of a Purchase Order with NAFG in the amount of $135,440.88 for the purchase of one 2023 Ford F-150 Lightning XLT and one 2023 Ford F-150 Lighting Pro.
Additionally, staff recommends a contingency amount of 10% or $13,544, in the event vehicle prices fluctuate due to inflation, supply chain issues, and/or if VPU must purchase comparable vehicles that are different makes and models.
Pursuant to Vernon Municipal Code (VMC) Section 3.32.110(A)(5), the proposed purchase is exempt from competitive bidding, as the purchase is through Sourcewell, which offers participating agencies cooperative, competitively solicited buying contracts. The quote secured from NAFG for this potential purchase is based on Sourcewell contract (contract 091521-NAF) pricing.
City Council approval for this purchase is required pursuant to VMC Section 3.32.030(B), as during the last 12 months, the City has awarded the vendor NAFG more than $100,000 in contracts.
Fiscal Impact
The fiscal impact is $135,440.88 and is not-to-exceed $148,984.88, which includes the contingency of $13,544. Sufficient funds have been budgeted in Fiscal Year 2023–24 Electric Fund, Field Operations, Capital Equipment-Auto Account No. 055-050-550-660010 and Water Fund, Capital Equipment – Auto Account No. 058-070-700-660010.
Attachments
1. National Auto Fleet - Quote ID 21773
2. National Auto Fleet - Quote ID 21774