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1988-0232205L NO 49 AN ORDINANCE WITHDRAWING THE AWARD OF A CONTRACT FOR THE PURCHASE OF POLICE SEDANS, AND AWARDING THE CONTRACT FOR SUCH PURCHASES TO DAVE KRAUSE DODGE, PROVIDING FOR THE EXPENDITURE OF FUNDS THERE- FORE, AND PROVIDING FOR AN EFFECTIVE DATE WHEREAS, on January 19, 1988, the City Council, with the adoption of Ordinance No 88-12, awarded a contract for the purchase of police sedans to Guy Laney Chrysler Plymouth, and WHEREAS, on January 20, 1988, Guy Laney Chrysler Plymouth asked to withdraw its bid due to a mistake in the bid submitted, and WHEREAS, the City Manager having recommended that this with- drawal be accepted and that the City Council award the contract for such purchase to the next bidder, Dave Krause Dodge, NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS SECTION I That the numbered items in the following numbered bids or materials, equipment, supplies, or services, shown in the "Bid Proposals" attached hereto, are hereby accepted and approved as being the lowest responsible bids for such items BID ITEM NUMBER NO VENDOR AMOUNT 9808 All Dave Krause Dodge $151,199 88 SECTION II That by the acceptance and approval of the above numbered items of the submitted bids, the City accepts the offer of the persons submitting the bids for such items and agrees to purchase the materials, equipment, supplies or services in accordance with the terms, specifications, standards quantities and for the specified sums contained in the Bid Invitations, Bid Proposals, and related documents SECTION III That should the City and persons submitting approved an accepted items and of the submitted bids wish to enter into a formal written agreement as a result of the acceptance, approval, and awarding of the bids, the City Manager or his designated representative is hereby authorized to execute the written contract which shall be attached hereto, provided that the written contract is in accordance with the terms, condi- tions, specifications, standards, quantities and specified sums contained in the Bid Proposal and related bid documents herein approved and accepted SECTION IV That by the acceptance and approval of the above numbereT-items of the submitted bids the City Council hereby authorizes the expenditure of funds therefor in the amount and in accordance with the approved bids or pursuant to a written contract made pursuant thereto as authorized herein SECTION V That this ordinance shall become effective immediate y upon its passage and approval PASSED AND APPROVED this 2nd day of February, 1988 Y S E ENS, AYOR ATTEST J !.R A TERS, CITY ECRETARY APPROVED AS TO LEGAL FORM DEBRA ADAMI DRAYOVITCH, CITY ATTORNEY BY PAGE TWO DATE FEBRUARY 2, 1988 CITY COUNCIL REPORT TO Mayor and Members of the City Council FROM Lloyd V Harrell, City Manager SUBJECT BID# 9808 POLICE SEDANS RECOMMENDATION Based on the request of Mr Michael Laney to withdraw the bid of Guy Laney Chrsyler Plymouth We recommend this bid be awarded to the next lowest bidder Dave Krause Dodge The price per unit is $12,599 99 each Total bid award is $151,199,88 SUMMARY The bid for 12 police sedans was approved by Council on January 19, 1988 The recommended and approved bidder was Guy Laney Chrsyler Plymouth in the amount of $11,961 86 per unit for a total of $143,542 32 The attached letter from Mr Michael Laney indicates that an error in his bid was discovered on January 20, 1988 and he requested his bid be withdrawn The situation was discussed with John Marshall, John McGrane, Debra Drayovitch and myself Based on my recommendation and in agreement with the other members of the staff, Mr Laney was notified by letter on January 22, 1988 that his bid had been withdrawn The police package option referenced in Mr Laney's letter is a cost to him of near $700 00 per automobile The cost to the City of Denton to go to the next lowest bidder is $638 13 each or $7,657 56 Our policy has been in the past and hopefully continues in the future to work with our vendors when obvious errors occur Goodwill and good business relations tend to offset cost computed in dollars BACKGROUND Tabulation Sheet Letter of 1/20/88 from Michael Laney Letter of 1/22/88 from Tom D Shaw PROGRAMS DEPARTMENTS OR GROUPS AFFECTED Police Department Patrol Division and Vehicle ODerations Motor Pool FISCAL IMPACT Third Party Lease Purchase with payments to be made from 1987/88 Police Department budget funds Respectfully submitted V Harrell ty Manager Page -2- 2-2-88 Prepared by Name Tom 15 Shaw, C P M Title Assistant Purchasing Agent Approved Name / John J Marshall, C P M Title- Purchasing Agent U ~ T T 1 ~Y I 7 J r i I o m ~ ~ 1 -4 rJ I 1 -4 1 w r I m 1 m F) I I ~ I I I i i a i r s w m = t n a) u ) e m ca m d 1 1 v i x i m ~ ~ e s N y rn 1 ra 1 m c x ~ 1- T I m 1 x 9 m o 0 0 1 n l n ro ~ o p n m I m m yl e`F y i-] I 1 p I 1 m I CJ I p I S I 2 1 I S 1 1) I I 1 1 1 I -O I 1 I `q C1 N I m 1 4 T Ip z -t r o F) I z I o z s p) m o C m ul 1 CJ I O C< m Cn 3[ s m m - ~ 1 r i m ni m v I I 1 i I 1 r] ~ m I 1 l-J I I l ! m a m - - N n N ~ ~ m O 1 S m m Ip ~ m p 1 1 n m m T T P 1 1 ~1 -f y I I ti m Y I I I I xf Imo) T 3i F I t I m T R[J Z. t L' J O ~ 1 2 1 O ~1 u a N e V I o l v m r < O D I 1 3f I 1 9 L N O I I m I I I q I 1 Zl z o a 9 1 a 1 s zr m c~ m o .a 1 0 1 o a c x e 1 1 ~ m T I I 1 I 1 I < I I m I I Z I 7 1 I I I I 3 I I ~fu'% VCJ JAN P u 1988 CITY C,- DENTCN PURCHASING DEPT CHRYSLER- PLYMOUTH 931 I-35 E SOUTH January 20, 1988 City of Denton Purchasing Department 901-B Texas St Denton TX 76201 Dear Sirs Due to a pricing error in my bid # 9808 for 12 police sedans, I wish to withdrawl my bid offering at this time The bid did not include the price for the police package Thank Yo i Michael G Laney Vice President 2 rSpN CITY of DENTON, TEXAS PURCHASING DIVISION l 901 B TEXAS STREET l DENTON TEXAS 76201 January 22, 1988 Mr Michael Laney Vice President Guy Laney Chrsyler Plymouth P O Box 50509 Denton, Texas 76206-0509 REF BID// 9808 POLICE SEDANS Dear Mr Laney I have met with Mr John Marshall-Purchasing Agent, Mr John McGrane-Executive Director of Finance and Mrs Debra Drayovitch-City Attorney concerning your request to withdraw your bid We are all in agreement that you be allowed to withdraw your bid and that this Bid Number 9808 is to be awarded to the next lowest bidder We appreciate your interest in the City of Denton and we will be in contact as other needs develop S~cer Tom D Shaw, C P M Assistant Purchasing Agent TDS za 817/5668311 D/FW METRO 2670042