HomeMy WebLinkAboutAgenda Statement 1985/06/25 Item 8 COUNCIL AGENDA STATEMENT
Item 8
Meeting Date 6/25/85
ITEM TITLE: Resolution /' 5,7 Accepting bids, awarding contract and
appropriating additional funds for purchase of trucks
SUBMITTED BY: Director of Finance
Director of Public orks/City Engineer
REVIEWED BY: City Manager (4/5ths Vote: Yes X No )
Bids were received and opened at 4:00 p.m. on June 10, 1985, for purchase of
the following trucks:
ITEM QTY DESCRIPTION DEPARTMENT
1 2 Cab and chassis with 45 foot aerial lift Public Works-Trees
2 1 Cab and chassis with dump body Public Works-Streets
3 1 Pickup truck with utility body and Parks
roller top
4 1 Pickup truck with utility body less Public Works-Sewers
roller top
RECOMMENDATION:
Item 1 - Cab and chassis with 45 foot aerial lift
That Council award bid to Dion International Trucks and appropriate $12,252.85
from unappropriated General Fund reserves.
Item 2 - Cab and Chassis with dump body
That Council award bid to Dion International Trucks.
Item 3 - Pickup truck with utility body and roller top
That Council award bid to Ball Oldsmobile.
Item 4 - Pickup truck with utility body less roller top
That Council award bid to Ball Oldsmobile.
BOARDS/COMMISSIONS RECOMMENDATION: Not applicable.
I ' /_
by the City Council of
Chula Visa, California
Dated d7 `° s f:-S-
i ,
Page 2, Item 8
Meeting Date 6/25/85
DISCUSSION:
Bid proposal forms were mailed to fifteen (15) vendors. The following bids
were received:
ITEM 1 - Cab and Chassis with 45 foot aerial lift
UNIT PRICE UNIT PRICE
GASOLINE DIESEL TRADE-IN
BIDDER ENGINE ENGINE ALLOWANCE
DeAnza Chevrolet $61 ,044.25 $64,316.00 $13,000.00
Riverside (2 trucks)
D & H Truck Equipment 59,553.00 No bid No bid
San Diego
Dion International Trucks, Inc. , No bid 67,394.20 7,000.00
San Diego (2 trucks)
Miramar Ford Truck Sales, Inc. 62,395.00 68,540.00 500.00
San Diego (1 truck only)
Telelect West 68,583.00 72,283.00 13,000.00
Baldwin Park (2 trucks)
J. L. Enterprises 71 ,520.00 74,520.00 6,000.00
Irvine (2 trucks)
ITEM 2 - Cab and Chassis with dump body
UNIT PRICE
DIESEL TRADE-IN
BIDDER ENGINE ALLOWANCE
DeAnza Chevrolet $31 ,011 .00 $ 600.00
Dion International 33,966.46 2,500.00
Miramar Ford Truck Sales, Inc. 34,050.00 1 ,200.00
ITEM 3 - Pickup truck with utility body and roller top
BIDDER UNIT PRICE
Ball Oldsmobile, National City $10,348.00
DeAnza Chevrolet 10,259.69
Page 3, Item 8
Meeting Date 6/25/85
ITEM 4 - Pickup truck with utility body less roller top
TRADE-IN
BIDDER UNIT PRICE ALLOWANCE
Ball Oldsmobile $9,848.00 $1 ,001 .00
DeAnza Chevrolet 9,884.69 200.00
ITEM 1 DISCUSSION
The FY 1934-85 budget provides for one truck and the approved FY 1985-86
budget provides for an additional one. Since the bid proposals were not due
until June, the quantity was increased from one to two cab and chassis with 45
foot aerial lift to save re-bidding after July 1 , 1985, and take advantage of
a quantity discount.
Bids were requested on both gasoline and diesel operated trucks. On gasoline
engine trucks, bid specifications were requested on a minimum 400 cubic inch
engine which staff considered would be required to handle the load capacity.
The biggest engine bid was a Ford 370 cubic inch engine. California emission
standards restrict engine size according to Ford and General Motors Truck
Divisions and they were unable to submit a bid for the requested 400 cubic
inch engine.
On the diesel engine specifications, a 9 liter engine was specified. Again,
this engine size was specified to handle load capacity. Private and County
tree crews using an 8.2 liter engine have complained that this size engine
will not adequately handle the hydraulic system and load capacity of their
aerial devices.
Diesel operation versus gasoline is also a consideration in the
recommendation. Based on approximately 6,300 road miles per year, and 650
hours power take off (PTO) use, estimated fuel usage is as follows:
MILES PER PTO USAGE
GALLON PER HOUR
370 cubic inch gasoline engine 4.25 4.25 gals
9 liter diesel engine 7.10 2.40 gals
Total gasoline usage is 4,245 gallons and diesel 2,447 gallons for one year
operation. Currently, gasoline costs the City $.96 per gallon and diesel $.94
per gallon. Based on fuel costs, the gasoline operated truck would cost
$4,075.20 and the diesel operated truck $2,300.18. The fuel savings in
purchasing a diesel engine would be $1 ,775.02. If fuel costs didn't increase
over a five-year period, the savings could amount to approximately $8,875.
Diesel engines require less maintenance and due to their running cooler than
gasoline engines, they have double the expected life. Based on the above
factors, the diesel operated truck is recommended for purchase.
Page 4, Item 8
Meeting Date 6/25/85
DeAnza Chevrolet was low bidder on the diesel operated engine but doesn't meet
specifications in engine size. They bid a 8.2 liter engine and specifications
required a minimum 9 liter engine. As explained previously, the engine is not
adequate to handle the load capacity. The number two bid of Dion
International Trucks, Inc. meets specifications and it is the recommendation
of the Director of Public Works/City Engineer that this unit be purchased from
Dion International Trucks, Inc. The cost of purchasing the two vehicles with
trade-in allowances will be $135,875. 70 (includes tax). The City is intending
to trade in a 1957 International Truck with aerial lift and a 1974 GMC truck
with aerial lift for $7,000.
In the FY 1984-85 budget, $55,865 was appropriated for the purchase of one
truck. An additional $12,252.85 appropriation is needed for the total
purchase price of $67,937.85 for one truck. Funds for purchase of the second
truck will come from 1985-86 Vehicle Replacement Fund.
A big advantage of the purchase of these two cab and chassis trucks with 45
foot aerial lifts is that it will enable the City to eliminate and
subsequently auction two dump trucks. In the existing system the dump trucks
are necessary because the aerial tower and chipper box are on separate
chassis. Th new trucks will have both the aerial tower and chipper box on a
single chassis, eliminating the need for the dump trucks.
The elimination of these two dump trucks will provide the City with a capital
replacement savings of approximately $73,000 or an annual cost savings of
$5,250. This savings will be generated by the elimination of the vehicle
replacement charges for these two dump trucks.
ITEM 2 DISCUSSION
On Item 2, the low bidder DeAnza Chevrolet bid on an 8.4 liter diesel engine.
The engine doesn't meet specifications as the City requested a minimum 9 liter
engine. We presently have a 9 liter diesel operated dump truck that has been
in service for two years that has met our requirements, and performed
economically and with minimum maintenance. The number 2 bidder, Dion
International Trucks, Inc. , meets our specifications. The cost of purchasing
this truck from Dion International Trucks, Inc. with a trade-in allowance is
$33,504.45 (includes tax). This is within the amount budgeted for FY 1984-85.
ITEMS 3 and 4 DISCUSSION
On Items 3 and 4, the only difference in the two units is that the Parks
Division requires a roller top for security purposes and the Sewer Division
unit doesn't. It is proposed to purchase the two trucks from one vendor. The
low bidder on the two trucks is Ball Oldsmobile. The cost of purchasing these
two trucks from Ball Oldsmobile with trade-in allowance is $20,406.76. This
is within the amount budgeted for FY 1984-85.
Page 5, Item 8
Meeting Date 6/25/85
FISCAL IMPACT: On Item 1 , the FY 1984-85 budget provides $55,685 in Account
100-1750-5565 for the purchase of one cab and chassis with 45 foot aerial
lift. Funds need to be appropriated from the unappropriated General Fund in
the amount of $12,252.85 to Account 100-1750-5565 for a total of $67,937.85
for the purchase. The funds for the FY 1985-86 budget unit will come from
Account 705-7050-5575, the Vehicle Replacement Fund. The purchase order for
the truck will be placed after July 1 , 1985.
Funds are available for the balance of the trucks as follows:
ITEM ACCOUNT NO. AMOUNT BUDGET APPROPRIATION
2 100-1740-5565 $33,504.45 $35,000
3 100-1520-5565 10,968.88 10,800
4 100-1760-5565 9,437.88 10,800
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