City Council Agenda Report
Meeting Date: October 6, 2026
From: Todd Dusenberry, General Manager of Public Utilities Department: Public Utilities
Submitted by: Adriana Ramos, Principal Management Analyst Subject
Purchase Order with Jessup Auto Plaza
Recommendation
A. Approve and authorize the issuance of a Purchase Order with Jessup Auto Plaza for a 2026 Chevrolet Blazer EV for a total amount not-to-exceed amount of $52,879.33; B. Authorize a contingency amount of ten percent (10%) or $5,287.93 for the vehicle purchase from Jessup Auto Plaza in case of unforeseen circumstances, including, but not limited to, price, supply chain issues, or tariffs; and
C. Authorize the City Administrator to facilitate the bidding and purchase of a comparable vehicle for an amount not-to-exceed $58,167.26 (Jessup Auto Plaza price plus contingency amount) from an alternate source/dealership should Jessup Auto Plaza vehicle availability be impacted by inventory shortages or vehicle availability.
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 fleet 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 and costs. 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 increased repair costs and the maintenance workload for Public Works staff. In accordance with VPU’s fleet replacement plan, a 2001 Ford Crown Victoria, with City vehicle ID L233, was identified for replacement. VPU proposes purchasing a 2026 Chevrolet Blazer EV All Wheel Drive (AWD) for use by VPU 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.
VPU staff recommends approval of a Purchase Order with Jessup Auto Plaza in the amount of $52,879.33 for the purchase of a 2026 Chevrolet Blazer EV. Additionally, VPU staff recommends a contingency amount of ten percent (10%) or $5,287.93, in the event vehicle prices fluctuate due to price, supply chain issues, or tariffs that impact vehicle inventory or availability, or if a comparable make and model must be purchased from another source or dealership.
The City is a member of Sourcewell, a cooperative procurement organization that offers participating agencies competitively solicited contracts. Historically, the City has purchased vehicles through National Auto Fleet Group, a Sourcewell contracted vendor. However, National Auto Fleet Group does not carry the Chevrolet Blazer EV in AWD, LT trim, or the color white, and the City will not be able to secure a vehicle from them for this specific purchase.
The City is currently experiencing challenges in purchasing vehicles from dealerships. Vehicle inventory is low, and vehicles are selling quickly, making it difficult for the City to obtain approval to purchase specific vehicles while they are in stock. Overall, dealerships are offering very few options in terms of vehicle make and models due to the sparse vehicle inventory.
In an effort to attain a competitive price for the City, staff searched online inventory of all local dealerships within a 100-mile radius. Jessup Auto Plaza is the sole dealership that fulfills VPU’s fleet criteria and has offered the most competitive quote.
City Council approval for the proposed purchase is required pursuant to VMC Section
3.32.030(B), as, within the last twelve (12) months, the City has paid or awarded Jessup Auto Plaza a total of $66,394.63. With this proposed purchase of $52,879.33, total payments and awards to Jessup Auto Plaza will reach $119,273.96.
Strategic Plan Goals
Goal 6: Optimize Public Utility Operations to Ensure Affordable Services Fiscal Impact
The fiscal impact is estimated at $58,167.26. Sufficient funds are available in the Electric Fund, Administration, Capital Outlay, Account Number 055-050-580-660000 for the current fiscal year.
Attachments
1. Jessup Auto Plaza – Quote