Item 6-A

Council Meeting: 6/17/97                         Santa Monica, CA

TO:       Mayor and City Council

FROM:     City Staff

SUBJECT:  Recommendation to Award Bid to Furnish and Deliver One
          (1) New All Wheel Drive Vehicle 6x6 Dump Truck, Bid
          #2623

Introduction
This report concerns an award of bid to furnish and deliver one
(1) new all wheel drive 6x6 dump truck for the Beach Maintenance
Division, Environmental and Public Works Management Department,
in the total amount of $140,613.07 including applicable sales
tax.

Background
This unit will be used to pick up debris from the shoreline after
storms and haul trash from the beach to the transfer station.  It
will replace a 1980 10-wheel dump truck and a 1981 6x6 dump truck
which are scheduled for replacement under the vehicle management
program. 

In response to published Notices Inviting Bids published February
18 and 19, 1997 in accordance with City specifications, bids were
received and publicly opened and read on March 11, 1997. Proposal
forms were mailed to seven (7) vendors and notices were
advertised in accordance with City Charter and Municipal Code
provisions.  Two proposals were received as follows:
  
               CNG Powered              CNG/Diesel Powered (Dual)
VENDOR         (Dedicated CNG Engine)   (Optional CNG Engine)

Boerner Truck
Center              No Bid                   $140,613.07*         

Carmenita Truck
Center              $186,054.68*              No Bid

* low bid
     
     City specifications requested bids for an "optional" CNG powered
6x6 dump truck.  A dedicated CNG engine is powered solely by
compressed natural gas.  An "optional" CNG engine is dual fuel
powered and operates on CNG (80%) and diesel (20%).  Staff
recommends a CNG/Diesel powered vehicle due to the high
incremental cost of purchasing a dedicated CNG powered vehicle. 
The purchase of a dedicated CNG vehicle is not warranted because
the incremental purchase price for the CNG option is more than
32% higher than the purchase price for dual fueled vehicle and
the incremental purchase cost of the dedicated CNG cannot be
recovered in the ten year useful life of the vehicle.

The purchase of the dual-powered (CNG/diesel) vehicle is
consistent with the City's reduced emissions fuel policy.

Staff has evaluated the bid submitted by Boerner Truck Center for
a CNG/diesel (dual powered) dump truck and finds that it meets
City specifications and operational needs with a cost savings of
$45,441.61.

Budget/Financial Impact
Appropriation authority for this purchase is in the Capital
Improvement Budget, account number 11-740-521-20096-8900-99233,
"Beach Recreation Fund" in the amount of $115,522 and account
number 54-710-461-20097-8900-99167, "Fleet Vehicle Replacement
Program" in the amount of $25,091.07 .

Recommendation
It is recommended that the award of Bid #2623 be made to Boerner
Truck Center in the total amount of $140,613.07, including
applicable tax, as the most responsible bidder.