R2004-88 AUTHORIZING EXECUTION OF A TIRE LEASE AGREEMENT

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Mass Transit Memorandum No. 060204-1 June 2,2004 ' TO: Honorable Mayor Osborne and City Council Members FROM: Steve Garman, City Manager Paul McChancy, Mass Transit Administrato�� I SUBJECT: Tire Lease Agreement with Bridgestone/Firestone North American Tire, LLC. I SUMMARY Staff recommends that Council adopt a Resolution awarding a RECOMMENDATION: tire lease agreement to the low bidder, Bridgestone/Firestone North American Tire, LLC. BACKGROUND: The current lease agreement with Bridgestone/Firestone expires on July 1st. All of the major tire manufacturers were contacted concerning submitting a bid for a new five year contract. Bids were received from Bridgestone/Firestone and Goodyear by the June 1st bidding deadline. Michelin declined the invitation to bid. Both bidders submitted all of the information required by the bidding deadline. Since Transit uses different tire sizes for its 3 types of transit coaches, and the miles billed per tire size per year varies significantly, a scoring system was devised that weighted the bids proportionately. (See attached Bid Summary.) Bridgestone/ Firestone was the lowest bidder for each year, and was the lowest bidder over the five year term of the contract. Because the City currently has a contract with the firm, Bridgestone/Firestone is known to be a responsible �rm, willing and capable of providing service under this Agreement. POTENTIAL No known objection to this Agreement. OBJECTION: INPUT FROM Janet Bragg, Contract Administrator, Bridgestone/Firestone OTHER SOURCES: Richard Foiles, General Manager, DPTS STAFF REFERENCE: Paul McChancy, Mass Transit Administrator BUDGET/TIME The lease of tues is a normal Transit operating cost. The proposed IMPLICATIONS: Agreement will cost the City about 35% ($6,300)over the amount now paid annually for leased tires.