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CITY OF COLTON <br />AGENDA REPORT <br />For the City Council Meeting July 1, 2003 <br />Item #9 <br />TO: Honorable Mayor and Council Members ��,t� <br />FROM: Thomas K. Clarke, Electric Utility Director _e <br />SUBJECT: Reject Bids for One New Alternative Fuel Digger -Derrick for the Electric Utility <br />and Authorize Staff to Re -Advertise With New Specifications. <br />DATE: June 24, 2003 <br />BACKGROUND: <br />The Electric Utility has a requirement for the purchase of one new digger derrick line truck with an <br />alternative fuel engine. This unit will replace one of the three units lost by fire in April 2003, and was <br />approved in the FY02/03 budget. <br />DISCUSSION/ANALYSIS : <br />On May 20, 2003, the Electric Utility Department posted a Notice Inviting Bids for the purchase of one <br />new digger -derrick unit with alternative fuel engine. Bid packages were mailed to four vendors known to <br />supply this type of equipment. Bid opening was held at the Electric Department offices on June 5, 2003, <br />at 10:30 A.M. Three bids were received. <br />During the evaluation process, it became apparent that several necessary features were not specifically <br />included in the specifications. Each vendor provided bids on optional equipment they felt the City would <br />need, but there was no consistency in the optional equipment bid. Each vendor provided bids on different <br />equipment and features, making it difficult to evaluate their bids equally. Staff feels that in order to be <br />fair to all parties involved, and in the best interest of the City, the best option would be to reject all bids, <br />modify the specifications, and re -advertise for bids on this requirement. <br />ALTERNATIVES: <br />Council may direct staff to award the bid instead, based on the base value of digger derrick -unit, and <br />negotiate with the lowest responsible bidder for the items that were not include in the specifications. This <br />option, however, will not guarantee that the City will obtain the best price for the complete unit. <br />FISCAL IMPACT: <br />Funds have been approved in the FY02/03 Budget and will need to be carried forward to FY03/04. <br />ENVIRONMENTAL IMPACT: <br />None <br />RECOMMENDATION: <br />Staff recommends that Council reject all bids for one new alternate fuel digger derrick for the Electric <br />Utility and authorize staff to re -advertise for bids with new specifications. <br />Report prepared by Rebecca Gallegos, Executive Assistant <br />REVIEW TEAM <br />City Attorney: <br />City Manager: <br />Page 1 of 1 <br />Finance Director: <br />OTHER: <br />