Approval is requested for the award of a contract to S & C Ford, Inc., of San Francisco for two compressed natural gas (CNG) powered pickup trucks for the Public Works Department Fleet Maintenance Division.

Fleet Maintenance staff has received notification that a request for a $24,000 grant from the Bay Area Air Quality Management District (BAAQMD) has been approved. This grant funding is the result of a new program offered by BAAQMD called the Vehicle Incentive Program (VIP). The purpose of this program is to provide grant assistance for the purchase of alternative fuel vehicles.

Staff proposes to apply $12,000 of the grant amount toward the purchase price of two CNG powered pickup trucks. The new vehicles will replace existing vehicles which are experiencing significant downtime and high maintenance costs and which are on the FY 1999/2000 replacement schedule. The vehicles will be used regularly to transport personnel and materials on City streets and highways.

Bid specifications were prepared by Public Works and Purchasing staff; and Invitation for Bids #F9909-30 was distributed to twenty-three dealers, four of which are Sunnyvale firms.

Two bids were received:

*Includes sales tax and delivery to the Sunnyvale Corporation Yard.

Staff recommends award of contract to the low bidder.

Total net cost to the City will be $29,892 (bid price of $41,892 minus grant funding of $12,000). Funds for the amount not funded by the grant are available in Public Works Account #020700-5135.

It is recommended that Council award a contract in the amount of $41,892 to S & C Ford, Inc., of San Francisco for two compressed natural gas powered pickup trucks and authorize the Purchasing Officer to issue a purchase order to that effect.

Prepared by:

Elaine Wesely
Purchasing Officer

Reviewed by:

Mary Bradley
Director of Finance

Reviewed by:

Marvin A. Rose
Director of Public Works

Approved by:

Robert S. LaSala
City Manager