City Council Agenda Report
Meeting Date: July 7, 2026
From: Todd Dusenberry, General Manager of Public Utilities Department: Public Utilities
Submitted by: Adriana Ramos, Principal Management 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) for a 2026 Chevrolet Silverado EV for a total amount not-to-exceed $62,460.85; B. Authorize a contingency amount of ten percent (10%) or $6,246.09 for the vehicle purchase from NAFG in case of unforeseen fluctuations in price by inflation or supply chain issues; and C. Authorize the City Administrator to facilitate the bidding and purchase of a comparable vehicle for an amount not-to-exceed $68,706.94 (NAFG price plus contingency amount) from an alternate source/dealership should NAFG vehicle availability be impacted by inventory shortages.
Background
The South Coast Air Quality Management District (SCAQMD) Fleet Rules 1191 and 1196 mandate public fleet operators to procure low-emitting gasoline or alternative-fuel vehicles when adding or replacing vehicles to their vehicle fleet. Vehicles must be replaced with newer lower or zero-emission vehicles, such as electric, compressed natural gas (CNG), hybrid, or gasoline vehicles that meet LEV standards or better. Diesel powered vehicles do not meet fleet rule requirements.
Vernon Public Utilities (VPU) has developed a five-year plan to replace vehicles in its fleet. This plan considers factors such as vehicle age, mileage, usage and compliance with SCAQMD regulations to ensure safety and reduce operating risks. Additionally, it incorporates recommendations from the Public Works Garage staff, who provide insights into the condition of older VPU vehicles. Replacing these vehicles will help address the challenges posed by the scarcity of replacement parts, which has led to increased repair costs and a greater maintenance workload for Public Works staff. In accordance with VPU’s fleet replacement plan, a 2007 Mercury Grand Marquis, with City vehicle ID S200, was identified for replacement. VPU proposes purchasing a 2026 Chevrolet Silverado EV for use by the engineering department as a pool vehicle. This vehicle will be utilized to visit work sites throughout the City, as well as for transportation to any off-site meetings or trainings.
Staff recommends approval of a Purchase Order with NAFG in the amount of $62,460.85 for the purchase of a 2026 Chevrolet Silverado EV. Additionally, staff recommends a contingency amount of ten percent (10%) or $6,246.09, in the event vehicle prices fluctuate due to inflation, supply chain issues that impact vehicle inventory, or if a comparable make and model must be purchased from NAFG or another source/dealership. 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 within the last twelve (12) months, the City has paid or awarded NAFG a total of $198,313.49 in Purchase Orders for various vehicle purchases.
Fiscal Impact
The fiscal impact is estimated at $68,706.94. Sufficient funds are available in the Gas AB-32 Fund, CARB Cap and Trade Program, CARB Natural Gas Rebates for Fiscal Year 2026-27.
Attachments
1. National Auto Fleet - Quote ID 34210-DA