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Legislative Public Meetings

File #: 23-593    Version: 1 Name:
Type: Consent Calendar Status: Agenda Ready
File created: 4/27/2023 In control: Council and Authorities Concurrent Meeting
On agenda: 6/6/2023 Final action: 6/6/2023
Title: Action on the Award of Purchase Orders Greater than $250,000, with an Aggregate Amount of $4,275,000, for Vehicles and Equipment for the Fire, Silicon Valley Power, Public Works and Water and Sewer Utilities Departments to be Funded by Amounts Previously Approved in the Vehicle Replacement Fund in the City's Operating Budget for Fiscal Year 2022/23.
REPORT TO COUNCIL
SUBJECT
Title
Action on the Award of Purchase Orders Greater than $250,000, with an Aggregate Amount of $4,275,000, for Vehicles and Equipment for the Fire, Silicon Valley Power, Public Works and Water and Sewer Utilities Departments to be Funded by Amounts Previously Approved in the Vehicle Replacement Fund in the City's Operating Budget for Fiscal Year 2022/23.

Report
COUNCIL PILLAR
Deliver and Enhance High Quality Efficient Services and Infrastructure

BACKGROUND
The Department of Public Works (DPW) maintains approximately 760 fleet assets citywide with an original acquisition value of approximately $45,000,000. In addition, DPW is responsible for purchasing replacement vehicles to support mission critical operations performed by City departments. DPW procures replacement vehicles through either cooperative purchase agreements established by another public agency (pursuant to Santa Clara City Code Section 2.105.270) or by conducting its own competitive solicitation utilizing vehicle specifications developed with the City departments (pursuant to Santa Clara City Code Section 2.140).

Section 2.105.300(a) of the Santa Clara City Code authorizes the City Manager to execute purchase orders and agreements on behalf of the City in amounts up to and including $250,000. Purchases of vehicles and equipment from a single vendor over $250,000 require approval by the City Council.

DISCUSSION
Vehicle purchase costs are included in the approved Fiscal Year 2022/23 budget and each department has confirmed the need to acquire them to either replace aged vehicles with increased maintenance costs or new demands. Purchase orders for the vehicles listed below need to be opened to secure the purchase price of each asset. Purchase prices for vehicles and equipment have significantly outpaced previous inflation projections so it is important to secure pricing quickly to avoid potential increases. Each will result in a purchase price of over $250,000 to specifi...

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