Bids were received by the Street/Traffic Division for the Public Works Department on January 29, 2013, to purchase two, 2013 37,000 GVW Axle Trucks with Dump/Sander Spreaders.  On February 11, 2013, City Council approved an award to I-State in the amount of $288,525. This award included the warranty expense for only one of the trucks.  In order to purchase the second warranty, staff is requesting that the Council  This purchase was approved by the City Council in the FY13 budget for replacement of existing trucks as part of the Equipment Replacement Plan (ERP).  The existing trucks will be traded-in to the company providing the new trucks.

The City Council may:

• Approve the low bid for two, 2013 37,000 GVW Trucks with Dump/Sander spreaders from I-State for $285,940, plus 5-year warranties for two trucks in the amount of $2585 each, or a total of $291,110.
• Reject all bids and do not award the purchase of the trucks.

The City received four bids for these dump trucks.  In reviewing the bids submitted, two bids did not meet the specifications set forth in the bid documents and as such were not considered.  As a result, staff is recommending award to the lowest and most responsive bid to the specifications.  The bids are shown below:

Vendor	Bid	Trade-In	Net Bid	Warranty
Peterbilt	$132,645.00 Ea (x2)	$10,500 Unit 1186 $  9,000 Unit 1187	Does not meet Specs
Motor Power	$155,240.00 Ea (x2)	$10,000 Unit 1186 $10,000 Unit 1187	$290,480.00	$2685.00 Ea (x2)
I-State #1 I-State #2	$153,970.00 Ea (x2) $125,982.00 Ea (x2)	$12,000 Unit 1186 $10,000 Unit 1187 $12,000 Unit 1186 $10,000 Unit 1187	$285,940.00 Does not meet Specs	$2585.00 Ea (x2)

Staff recommends awarding the bid for the purchase of two, 2013 37,000 GVW Single Axle Trucks with Dump/Sander Spreaders in the amount of $285,940 plus warranty cost of $2585 each to I-State for a total of $291,110. Staff also recommends trading the existing dump trucks (Unit 1186 & #1187) to I-State.