2023-020 Fleet Vehicle Purchase March 3,2023 Report No. 2023-020
INFORMAL STAFF REPORT
TO MAYOR AND CITY COUNCIL
SUBJECT:
Fleet Purchase Using Delegation of Authority Ordinance 22-1269
EXECUTIVE SUMMARY:
Fleet Services recently purchased a 15-passenger van in the amount of$55,111.35 for the Denton
Fire Department under the delegation of authority approved by Ordinance 22-1269. The van was
budgeted under the American Rescue Plan Act— State and Local Fiscal Recovery Fund (SLFRF)
in FY 21-22 as part of a mobile vaccination program. The van will be outfitted with medical
equipment and will allow the Fire Department to enhance its level of preparedness in responding
to public health emergencies.
BACKGROUND:
In late 2019, the City began experiencing challenges in securing materials and supplies due to
supply chain issues. Conditions worsened and began to affect several operational areas including
Fleet Services. Vehicle lead times grew close to a year under the organization's normal
acquisition process. At times, vehicles and equipment become available through other avenues
such as dealer inventory, lease-to-own opportunities, and unclaimed allocations from non-
contract Original Equipment Manufacturers (OEM).
Staff requested a Delegation of Authority for Fleet Services allowing the City to move quickly
when opportunities present to procure vehicles or equipment outside the organization's normal
acquisition process. On June 28, 2022, City Council adopted Ordinance 22-1269 providing for
the delegation under the following conditions:
1) City Manager, or their designee, will be allowed to sign contracts or other required
documentation with OEM suppliers to purchase a vehicle for a city utility or public safety
department (which cost that has been approved through the budget process) through the
following means:
a) Fleet Services will review any available procured contracts (i.e. City of Denton contracts,
cooperative contracts, and other City contracts with piggyback options). Fleet Services
will use such a contract if available. Once a contract is located, City Manager, or their
designee, will be able to execute the appropriate documentation to purchase under the
contract.
b) In the event there is not a procured contract that can be used for the purchase, and the
purchase is required to protect the health and safety of City of Denton residents, Fleet
Services will work with the utility or public safety department to prepare a declaration of
emergency that details the need for the vehicle and justification for the emergency purchase
for review and approval by Purchasing and Legal.
March 3,2023 Report No. 2023-020
c) This process deviates from the City's standard process due to City Council approval required
for purchases of $50,000 or greater. Under this delegated authority, as long as the vehicle
cost is part of a budgeted item, City Council would not approve of these contracts.
d) Fleet Services will provide a report to City Council in the Friday Report, or another
appropriate method, regarding any vehicles purchased with this authority, the cost, any
markup or discounts received, and a running total of each department's vehicle budget as the
funds are used.
2) This delegation of authority is time limited to the earlier of three years or when market conditions
return to normal.
As part of a mobile COVID-19 vaccination project, a van was identified for funding under
SLFRF and approved with the FY 21-22 budget. With the widespread availability of the
COVID-19 vaccine, the urgency for vaccinations was addressed but the need for continued
preparedness efforts for public health emergencies remained. Medical storage equipment was
purchased, and the Fire Department continued to work with Fleet Services to purchase a van,
however, efforts were hampered by supply chain issues.
A 15-passenger van was recently located at Caldwell County Ford dealership. The dealership is
under contract with Tarrant County for the purchase of Pickup Trucks, Vans, and Utility
Vehicles. The City of Denton has an interlocal agreement with Tarrant County by Ordinance
1998-175 for the purchase of various goods and services. Chapter 791 of the Texas Government
Code authorizes respective participating governments to enter into agreements for the purchase
of goods and services. The Agreement allows both entities to utilize contracts for goods and
services competitively solicited by the other party to the contract. The solicitation process
followed by both entities meets all statutory procurement requirements per Local Government
Code 271.102.
The vehicle's cost of $55,111.35 was within the budgeted amount. Meeting the criteria of the
delegation, the van was purchased. The van was delivered on Monday, February 27, 2023. The
vehicle will allow the Fire Department to enhance preparedness efforts in responding to public
health emergencies.
EXHIBITS
Exhibit 1 Sales Quote
STAFF CONTACT:
Dustin Rolfe
Fleet Superintendent
Dustin.Rolfe@cityofdenton.com
(940) 349-8438
CALDWELL COUNTRY FORD
ROCKDALE COUNTRY FORD
BUYBOARD 601-19 QUOTE#CC234113
End User: CITY OF DENTON Caldwell Rep: CHRIS COLLINS
Contact: GABBY LEEPER 940-349-7615 Phone/fax: 979-567-6129
Phone/email: GABBY.LEEPER(a�CITYO0MENTON.COM Date: Friday,February 10,2023
Product Description: FORD TRANSIT VAN X2Y email: chris(a7caldwellcountry.com
A. Bid Series: 141 A.Base Price: $ 46,330.00
B. Published Options[Itemize each below]
Code Options Bid Price Code Options Bid Price
X2C 2023 TRANSIT PASSENGER WAGON $ 3,930.00 SPLIT SWING OUT REAR DOORS INCL
T-350 148"MED ROOF XL RWD INCL BLUETOOTH INCL
301A ORDER CODE 301A INCL POWER WINDOWS INCL
99G 3.51,ECOBOOST V6 FLEX FUEL $ 1,775.00 VINYL FLOOR INCL
44U 10-SPEED AUTOMATIC INCL REVERSE BACKUP CAMERA INCL
21G VINYL BUCKET SEATS INCL FORD CO-PILOT 360 INCL
60C CRUISE CONTROL $ 325.00 KEYLESS ENTRY INCL
96P 15 PASSENGER SEATING $ 1,495.00 POWER LOCKS INCL
57B MANUAL AIR CONDITIONING $ 325.00 REAR HVAC INCL
235/65R16C ALL SEASON $ - 9400 GVWR INCL
3.73 AXLE RATIO INCL
Total of B.Published Options: $ 7,850.00
C. Unpublished Options[Itemize each below,not to exceed 25%] $_ -0.1 %
Options Bid Price Options Bid Price
19X-START STOP REMOVAL CREDIT $ (50.00) YZ OXFORD WHITE EXT COLOR
19Z-WIFI 4G DELETE CREDIT $ (20.00) VK-EBONY,VINYL FRONT BUCKET INT COLOR
STOCK 1FBAX2CGOPKA57483 DELIVERY
Total of C.Unpublished Options: $ (70.00)
D. Registration,Inspection,Paperwork,Postage cost,Courthouse time,&Runner time: INCLUDED $E. UPFITTERS $F. Manufacturer Destination/Delivery:
G. Floor Plan Interest(for in-stock and/or equipped vehicles): $ -
H Lot Insurance(for in-stock and/or equipped vehicles): $ -
I. Contract Price Adjustment: $ -
J. Additional Delivery Charge: 211 miles DENTON,TX $ 601.35
K. Subtotal: $ 54,711.35
L. Quantity Ordered 1 x K= $ 54,711.35
M. Trade in: $ -
N. BUYBOARD FEE PER PURCHASE ORDER: $ 400.00
O. TOTAL PURCHASE PRICE INCLUDING BUYBOARD FEE:: $ 55,111.35
**PRICES ARE SUBJECT TO CHANGE DUE TO SUPPLY CHAIN CHALLENGES. RE-VERIFY PRICING BEFORE ISSUING A
PURCHASE ORDER. COMMODITY SURCHARGES MAY APPLY AFTER P.O.IS ISSUED.FINAL PRICE IS NOT CONFIRMED UNTIL
VEHICLE ORDER IS ACCEPTED BY MANUFACTURER. PRICE WILL BE CONFIRMED AT TIME OF ORDER ENTRY,BE ADVISED
PRICE CAN CHANGE DUE TO MANUFATURER. ENSURE CONFIRMATION OF RECIEPT BY EMAIL WHEN P.O.IS SENT.**DUE
TO SEMICONDUCTOR SUPPLY SHORTAGES,FEATURE AVAILABILITY WILL CHANGE THROUGHOUT THE MODEL YEAR.SEE
THE WINDOW LABEL OF A SPECIFIC VEHICLE TO DETERMINE ITS CONTENT.