Item Coversheet
City of Independence
AGENDA ITEM COVER SHEET
Reported

Agenda Title:

Purchase order 22000316, in the amount of $74,218.00 was issued to Freeland Chevrolet for a 2021 Chevrolet Medium Duty Silverado with an 11’ Dump Bed for the Water Department.

Recommendations:

Staff is providing notification to the City Council of this purchase.

Background:

City Council approved the purchase of a 2021 Chevrolet Silverado 5500 through Roberts Auto Plaza Inc. for $60,906.64 for the Water Department on August 2, 2021. A dump bed was also needed, to be installed on the Silverado, for which bids were requested separately by the department. The low bid for the dump bed was $14,580.00, resulting in a total cost of $75,486.64 for the truck and bed. The Water Department was recently informed by the lowest and second lowest bidders that the dump bed had been discontinued and was no longer available. The department was informed that the Silverado has a 7-10 month lead time, and multiple vendors indicated that bidding a different dump bed would likely result in a total lead time of 10 months or more to get the vehicle. The vehicle being replaced has been used for hauling equipment, cold asphalt mix and salt. The planned replacement was due to rising maintenance costs and the risk of a break down that could result in an expensive repair.

The Water Department conducted a search and located a new truck with a dump bed that met specifications. The truck was located in Antioch, Tennessee. The dealership, Freeland Chevrolet, provided a quote of $74,218.00 for the truck and dump bed, delivered. The Water Department requested and received a Purchase Order via Limited Source Justification due to the discontinuance of the dump beds, the significant lead times, and the available vehicle being a lower cost than the packaged previous low bidders. The Water Department purchased the vehicle from Freeland Chevrolet upon receipt of the approved Purchase Order.



Fiscal Impact:

Fiscal Impact. The fiscal impact to the City is $74,218.00. Funding is included in the fiscal year 2021/22 adopted budget, page 195, project string E(422111 -W), account number E(4840-5404) Mobile Equipment.



Department:          Water DepartmentContact Person:          Dan Montgomery


REVIEWERS:
DepartmentAction
Purchasing Division (Finance Department)Approved
City Clerk DepartmentApproved

Council Action:          Council Action:         

ATTACHMENTS:
DescriptionType
Freeland Chevrolet QuoteExhibit
Limited Source Justification Form - 2021 Chevy Silverado with dump bed Additional Explanation