R2012-12 ACCEPTING THE BID - Laserfiche WebLink

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Mass Transit Memorandum No. 013012-3 January 30, 2012 TO: Honorable Mayor McElroy and City Council Members FROM: Ryan P. McCrady, City Manager Paul McChancy,Mass Transit Administrator SUBJECT: Purchase Order for a Transit Bus Engine Replacement SUMMARY Staff recommends that Council adopt a Resolution awarding a RECOMMENDATION. Purchase Order for a Transit bus engine replacement to Cummins Crosspoint, LLC (Normal, IL). BACKGROUND: Transit's Maintenance Department is not qualified to do overhauls of bus engines ort o replace engines. That work is assigned to private firms that specialize in these repairs. Cummins Crosspointoint recently evaluated the engine failure on bus#9112 and determined that it required a complete engine overhaul. Subsequently City Council approved awarding a Purchase Order for the work to Cummins Crosspoint at the January 17th meeting at the not to exceed price of $21,151.78. As their mechanics were dismantling the engine, they found that a valve had sheared off and had been driven into the engine block, destroying the engine block. Cummins Crosspoint advised staff that the best and least expensive solution is to replace that engine with a reconditioned engine. Attached are three bids for replacing the engine. Two other bidders declined to submit a bid. The attached bid Truck Centers tabulation shows that , Inc. is the lowest bidder, with Cummins Crosspoint second by$218.65. Note that the bid tabulation does not include the cost of towing,which will be arranged separately by staff. Staff recommends that a Purchase Order be awarded to Cummins Crosspoint, and not to the lowest bidder. Staff noted that Cummins Crosspoint offers 2 years warranty on their labor, while Truck Centers offers only a 1 year warranty. Staff also noted that Cummins Crosspoint has done many engine repairs for the Transit System in the past and Maintenance staff is confident that the firm is qualified and capable of doing this work, and very familiar with this particular engine. Therefore staff recommends that a Purchase Order be awarded to Cummins Crosspoint, LLC. in the not to exceed amount of$22,250.00 POTENTIAL No objections are expected. OBJECTION: INPUT FROM Mark Gordon, Maintenance Manager OTHER SOURCES: Decatur Public Transit System STAFF REFERENCE: Paul McChancy, Mass Transit Administrator BUDGET/TIME The cost of the work is a normal operating expense that is part of the IMPLICATIONS: current budget. No additional staff time is required.