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AGENDA ITEM REVIEW FORM |
5.D.
Regular City Council Meeting
- Meeting Date:
- 12/14/2016
- Department Head:
- Olivia Jenkins
- Submitted By:
- Olivia Jenkins, Utilities Director, Utilities Department
Action Requested:
Motion
ITEM:
Discussion and possible action on any and all matters regarding the previously approved purchase of a 2016 Chevrolet Colorado two-wheel drive extended cab truck for the Utilities Department to allow for waiver of formal procurement procedures as allowed by the San Luis Purchasing Code Section 36.01(H). (Olivia Jenkins, Utilities Director)
SUMMARY:
On November 9, 2016, City Council approved the purchase of a 2016 Chevrolet Colorado two-wheel drive extended cab truck for the Utilities Department. At that time it appeared that the 3 quotes obtained were comparable. The item is returning to the City Council Agenda in order to request that the formal purchasing procedure of obtaining three (3) quotes be waived as is permitted under the San Luis Purchasing Code due to an incomplete quote. The waiver is justified because the item was bid through a State Contract, the vendor's price was lower than the state contract price, and it is not likely that a lower price will be found.
Pursuant to the San Luis Purchasing Code Section 36.01(D) for purchases between $15,000.00 and $34,999.99 three (3) written quotes are required. Three (3) quotes were obtained but one of the quotes was not complete with details and cannot be used properly for comparison. Therefore, the Utilities department is requesting that the City's Purchasing Code be waived and the purchase of a 2016 Chevrolet Colorado two-wheel drive (2WD) extended cab truck be approved.
A vehicle for the Utilities Department was approved in the Fiscal Year 2016-2017 budget. The Utilities Department is opting to make the purchase through a local dealership in Yuma and not though the State Contract. The reason for purchase through the local vendor is that it will generate a savings. If procurement is waived and purchase is approved as recommended, the new and additional vehicle will be used by field personnel in daily operations. Mainly to provide customer service in the delivery, retrieval, and repairs of residential garbage containers. Staff recommends purchase of new truck in the amount of $25,279.51.
Pursuant to the San Luis Purchasing Code Section 36.01(D) for purchases between $15,000.00 and $34,999.99 three (3) written quotes are required. Three (3) quotes were obtained but one of the quotes was not complete with details and cannot be used properly for comparison. Therefore, the Utilities department is requesting that the City's Purchasing Code be waived and the purchase of a 2016 Chevrolet Colorado two-wheel drive (2WD) extended cab truck be approved.
A vehicle for the Utilities Department was approved in the Fiscal Year 2016-2017 budget. The Utilities Department is opting to make the purchase through a local dealership in Yuma and not though the State Contract. The reason for purchase through the local vendor is that it will generate a savings. If procurement is waived and purchase is approved as recommended, the new and additional vehicle will be used by field personnel in daily operations. Mainly to provide customer service in the delivery, retrieval, and repairs of residential garbage containers. Staff recommends purchase of new truck in the amount of $25,279.51.
RECOMMENDATION / SUGGESTED MOTION:
I MOVE TO APPROVE THE PURCHASE OF A 2016 CHEVROLET COLORADO TWO-WHEEL DRIVE EXTENDED CAB TRUCK FOR THE UTILITIES DEPARTMENT IN THE AMOUNT OF $25,279.51 AND I MOVE TO WAIVE FORMAL PURCHASING PROCEDURES UNDER PURCHASING CODE SECTION 36.01(H) BECAUSE OBTAINING THREE WRITTEN QUOTES IS NOT LIKELY TO RESULT IN A BETTER PRICE.
Fiscal Impact
- IS THERE FISCAL IMPACT ASSOCIATED WITH THIS ITEM:
- Yes
- CITY/STATE/FEDERAL FUNDS:
- City
- TOTAL:
- $25,279.51
- BUDGETED:
- $27,430.00
- AVAILABLE TO TRANSFER:
- N/A
- GL ACCT # & NAME/REMAINING BALANCE BEFORE PURCHASE:
- 300-301-90000 - Capital Outlay - Equipment $27,430.00
FISCAL IMPACT STATEMENT (IF THIS IS A BUDGET TRANSFER, YOU MUST ATTACH THE BUDGET ADJUSTMENT FORM):
Purchase/expense will be have a savings of approximately $2,020.49 and the purchase price is less than State Contract.