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HomeMy WebLinkAbout08/17/1993, C-2 - SURPLUS CITY PROPERTY MEERNG DATE: City of San L OBI SPO 5r- t -7 - 93 Nia; COUNCIL AGENDA REPORT MEM NUMBER: _ FROM: William C. Statler, Director of Finance Prepared By: Carolyn Dominguez, Accounting Manager C(% SUBJECT: SURPLUS CITY PROPERTY CAO-RECOMMENDATION Adopt a resolution declaring equipment as surplus property. DISCUSSION Section 906 of the City Charter requires that the City Council approve the sale or disposal of surplus property with an estimated value greater than $100. The Public Works Director has identified the following equipment as surplus to the needs of the Transit program: Estimated Equipment Sales Price 3 Detroit Diesel 6v53 bus engines $1,000 each 4 Automatic bus transmissions $ 500 each The engines have been replaced with new smoke-free diesel engines pursuant to CAO approval for bus rehabilitation. The old transmissions were not compatible with the new engines and also required replacement. This equipment proposed for sale as surplus property will be disposed of at public auction. FISCAL IMPACT It is anticipated that the City will receive $5,000 in proceeds from the sale of the equipment which will be conducted by West Coast Auctioneers. ATTACHMENTS 1. Resolution declaring equipment as surplus property. 2. CAO Special Report on bus rehabilitation REbOLUTION NO. (1993 Sciies) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO DECLARING EQUIPMENT AS SURPLUS PROPERTY BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. That the City Council hereby declares that 3 diesel bus engines and 4 automatic bus transmissions are surplus property. SECTION 2. Disposal of the property shall be made as determined by sale at public auction or by another method of disposal in accordance with the City's surplus property policy as determined by the Director of Finance to be in the best interest of the City. On motion of , seconded by , and on the following roll call vote: AYES: NOES: ABSENT- the-foregoing Resolution was passed and adopted the day of ,1993. Mayor Peg Pinard ATTEST: Diane Gladwell, City Clerk APPROVED AS TO FORM: Ali �iuiu� City of Y� tins ompo C.A.O. SPECIAL REPORT FROM: Ken Hampian, Assistant City Administrative Officer Prepared by: Harry Watson, Transit Manager SUBJECT: Bus Rehabilitation RECOMMENDATION: 1. Authorize the Transit Manager to issue the attached Request for Proposals for the repower of three San Luis Obispo Transit coaches. 2. Authorize the Transit Manager to acquire the best value in goods and services for the balance of the rehabilitation process. DISCUSSION: Background Through the budget process and indirectly through the Short Range Transit Plan (rehabilitation substituted for replacement due to budget constraints),the rehabilitation of three buses was approved by the City Council. It will most likely be split up among as many as seven different vendors due to the variety of tasks involved. The per bus cost per task contained in the scope of work will range from an estimated $1000 for a brake system overhaul to $45,000 for a repower with a new engine/transmission. With an approved Transit Capital Improvement Grant (50%) as soon as the State budget is approved, staff would plan to issue the RFP. We will be working with Caltrans in the implementation and review process. It is proposed that the major per bus expense of repowering be subject to a formal RFP process issued and controlled by the City Clerk's Office. This could amount to $45,000 per bus. The balance of the incidental items are proposed to be handled by the Transit Manager through the Purchasing Control Procedures. These goods and service purchases would be made under conditions which foster competition among a sufficient number of potential vendors. Examples of these lessor purchases are brake system overhaul at an estimated cost of$1,000, reupholstery of the seat inserts at an estimated $2,000 per bus. The concept of competition presumes the existence of a marketplace in which there are more than one vendor supplying like commodities or services. Due to factors such as environmental constraints such as requiring a spray booth for vehicle paint work, we may find only one vendor with the capability of working on our buses. Should we find this to be the case, we would comply with PC 201-1, elements and Waivers of Competitive Purchasing. ��3 a city of Sw I tins OBISp0 C.A.O. SPECIAL REPORT Page 2 Bus Rehabilitation APPROVED: ohn Duno, City Administrative Officer Bill Statler, Finance Director wenGy Ueorge, Personnel x'02"�