Title
Bid Award - Repair/Overhaul of ZF Automatic Transmissions (B)
This item involves a request for the City Commission to authorize a bid award to Precision Transmission, Inc. for the Repair/Overhaul of ZF Automatic Transmissions.
Explanation
RTS utilizes ZF Automatic Transmissions in approximately 50% of the Fixed Route Transit Fleet. Warranties on most of these transmissions have expired, making it essential to have a contract in place to provide these services. On July 5, 2006, the City's Purchasing Department solicited bids for the Repair/Overhaul of ZF automatic transmissions. One (1) response was received on July 19, 2006. Staff evaluated the bid, and with authorization entered into negotiations with Precision Transmission. A revised scope of work and bid has been negotiated. The revised bid resulted in a 51% reduction in the average cost for the overhaul of the transmissions included in the bid. The term of the contract will be one year with an option of two (2) one-year extensions, subject to funding and written consent of both parties.
Fiscal Note
Funding for this contract has been included in the FY 07/08 expense budget. The anticipated annual expenditures are $75,000.
Recommendation
The City Commission: 1) authorize the bid award to Precision Transmission, Inc. for Repair/Overhaul of ZF Automatic Transmissions; and 2) authorize the City Manager to execute any and all related documents.
Alternative Recommendation:
The City Commission deny the request for the bid award to Precision Transmission Inc., and direct the City Manager to reissue an Invitation to Bid.