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HomeMy WebLinkAboutReso 2008-144 RESOLUTION NO. 2008-144 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING A PURCHASE AGREEMENT WITH GENUINE PARTS COMPANY TO PROVIDE AUTOMOTIVE AND EQUIPMENT REPAIR PARTS AND SUPPLIES IN ACCORDANCE WITH TERMS AND CONDITIONS OF A CONTRACT BETWEEN GENUINE PARTS COMPANY AND THE CITY OF INDIO FOR A FIVE- YEAR PERIOD BEGINNING JULY 1, 2008 THROUGH JUNE 30,2013, WITH FIVE ONE-YEAR OPTIONS TO EXTEND BY MUTUAL CONSENT THROUGH JUNE 30, 2018 WHEREAS, the Fiscal Year 2008/2009 Fleet Management budget provides for the purchase of parts and supplies necessary for the maintenance and repair of City of Chula Vista vehicles; and WHEREAS, as part of the budget reduction effort for Fiscal Year 2008/2009, the Fleet Management Division reduced its budget for automotive parts and supplies by $20,000; and WHEREAS, City of Chula Vista Municipal Code section 2.56.140 and Council Resolution No. 6132 authorize the Purchasing Agent to participate in cooperative bids with other government agencies for the purchase of materials of cornmon usage; and WHEREAS, staff has determined that it can reduce its annual expenditures for automotive repair parts and supplies by contracting with Genuine Parts Company, aka NAPA, for all its needs in that area; and WHEREAS, Genuine Parts Company will provide all necessary parts and supplies to maintain the City vehicle fleet at a reduced cost to the City, and will provide at least one full-time Parts Manager to manage the inventory on-site in the Central Garage; and WHEREAS, at the beginning of the contract, Genuine Parts Company will purchase the existing automotive parts inventory from the City, which will represent a one-time revenue to the City of approximately $90,000; and WHEREAS, the City will be able to realize lower parts and supplies purchase costs than in the past in exchange for exclusivity with Genuine Parts Company; and WHEREAS, the placement of a full-time staff person on site in the Central Garage by Genuine Parts Company will eliminate a long-standing staffing need to add a Parts Clerk for the Fleet Management Division; and WHEREAS, Genuine Parts Company has similar contract arrangements with many municipalities across the country, including with San Diego County and the City of Indio; and Resolution No. 2008-144 Page 2 WHEREAS, after reviewing those two contracts, staff believes the terms and conditions of the contract with the City of Indio are more beneficial for the City of Chula Vista; and WHEREAS, adoption of the resolution will authorize the Fleet Management Division to enter into a contract under similar terms and conditions as contained in the contract between Genuine Parts Company and the City ofIndio; and WHEREAS, it is anticipated that approximately $450,000 annually will be spent for these materials and services; and WHEREAS, this will have a positive impact on the General Fund by reducing the cost of materials used in the maintenance of City vehicles. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City ofChula Vista does hereby authorize a purchase agreement with Genuine Parts Company to provide automotive and equipment repair parts and supplies in accordance with terms and conditions of a contract between Genuine Parts Company and the City ofIndio for a five (5) year period beginning July 1, 2008, through June 30, 2013, with five (5) one-year options to extend by mutual consent through June 30, 2018. Presented by Approved as to form by s Director ~()X<~%~\1 Bart Miesfeld \ Interim City Attorney Resolution No. 2008-144 Page 3 PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 10th day of June 2008 by the following vote: AYES: Councilmembers: Castaneda, McCann, Ramirez, Rindone, and Cox NAYS: Councilmembers: None ABSENT: Councilmembers: None ATTEST: ~ Cheryl C : M or J~ t! I /J;.;,~hu0 Donna R. Norris; CMC, Interim City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA) I, Donna R. Norris, Interim City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2008-144 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 10th day of June 2008. Executed this 10th day of June 2008. nd.~, t~;V,~ D~nna R. Norris, <6MC, nterim City Clerk