Item 8CAGENDA ITEM # 8C
SEPTEMBER 8, 2008
CITY OF ATLANTIC BEACH
CITY COMMISSION MEETING
STAFF REPORT
AGENDA ITEM: Extension of First Vehicle Services Contract to Operate the
City Garage
SUBMITTED BY: Rick Carper, P.E., Public Works Director
DATE: September 2, 2008
BACKGROUND: The City's contract with First Vehicle Services (FVS) to
provide fleet maintenance expires 11/30/08. The contract included the
option for a five year extension upon mutual agreement of both parties.
Staff researched other alternatives to decide whether to rebid the
contract. Only one other Fleet Maintenance provider (Penske Truck
Leasing) expressed interest in bidding on the contract. Penske currently
provides fleet maintenance support for six municipal entities nationwide
(FVS provides support for over 140). At Staff request, Penske provided a
cost estimate based on the current city equipment list. That estimate was
more than 10% higher than the target price in the FVS contract. The City
contacted Mr. Dale Domish, Senior Vice President for First Vehicle
Services, who indicated the company very strongly wishes to extend the
contract. At the City's request, FVS has agreed to two minor
amendments to the existing agreement: 1) to formalize the 10 year /
100,000 mile contract service definition for motor vehicles and 2) to
include the support provided to the City in the Garage Hurricane Plan
requirements under the contract.
RECOMMENDATION: Approve the requested extension of the First Vehicle
Services maintenance contract for a period of approximately five years,
from 12/01/08 through 9/30/13 (expiration date modified to coincide with
City fiscal year), and authorize the City Manager to sign the proposed
contract extension and amendments.
BUDGET: $220,000.00 is budgeted in Fleet Maintenance Account
No. 001-5004-549-34-01 for FY 2009.
ATTACHMENTS: None
REVIEWED BY CITY MANAGER:
September 8, 2008 Regular Meeting