HomeMy WebLinkAboutPR 20411: REJECT BID FOR REPLACINT TEN (10) 2008 ORION ISL 280 CUMMINS ENGINES City of Port Arthur
Transit Department
Memorandum
To: Harvey Robinson, Interim City Manager
From: Ivan Mitchell, Transit Manager
Cc: Craig Brown, Maintenance Supervisor
Date: August 9, 2018
Subject: P.R. No 20411 - Reject bid for replacing ten(10) 2008 Orion ISL 280 Cummins
engines
Background:
The City's Purchasing Department advertised for bids in the Port Arthur News on May 23th
and May 30, 2018. The City received and opened one (1) bid on the replacing of ten (10) 2008
Orion ISL 280 Cummins engines with a certified rebuilt Cummins engine (see Bid Tabulation
Attachment"A"). The one (1) bid received was from the following vendor:
Bidder Bid
Complete Coach Works(Riverside, CA) $67,670.59 Per Unit
Port Arthur Transit's (PAT) management has unsuccessfully negotiated with the bidder to
receive lower unit cost. A cost benefit review highlights the feasibility and fleet reliability of
purchasing new vehicles versus extending vehicles that have exceeded their designed useful life
based on Federal Transit Administration(FTA) guidelines. The chart below shows the average
useful life of the Orion ISL fixed route vehicles. As you can see all the vehicles have either
exceeded their useful life or will in the near future. If the bid was accepted, the Orion ISL's will
have new engines, but we are cognizant other components are old such as transmissions,
suspension systems and electrical components. There is a high probability some of those
components will eventually need replacement resulting in additional cost to maintain the
vehicles.
Make Useful Life Years in Service Remaining Useful Life
Orion 12 10.2 1.8
Recommendation:
PAT is recommending the City of Port Arthur's, City Council approve Proposed Resolution No.
20411 to reject the bid received for the replacing of ten (10) 2008 Orion ISL 280 Cummins
engines. In addition PAT will not rebid bid#P18-073.
Budgetary/Fiscal Effect:
Approval of this bid rejection will not affect PAT's budget.
•
Staffmg/Employee Effect:
At this time no anticipated effect on staffing is expected with this action.
Summary:
PAT recommends that the City Council reject the bid received for the replacing of ten(10)
2008 Orion ISL 280 Cummins engines.
•
Ivan itchell
Transit Manager
P.R. 20411
08/10/2018 CB
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE CITY MANAGER TO REJECT THE BID FOR
REPLACING TEN (10) 2008 ORION ISL 280 CUMMINS ENGINES, BID NO.P-18-073
FOR THE TRANSIT DEPARTMENT.
WHEREAS, the Purchasing Department advertised in the Port Arthur News on the
23rd day of May 2018 and the 30th day of May 2018, for bids to the replace ten (10) 2008 Orion
ISL 280 Cummins engines with a certified rebuilt Cummins engine; and
WHEREAS, on the 13th day of June 2018, one (1) bid was received and opened, and has
been evaluated by the Purchasing and Transit Department's, a copy of the bid tabulation is
attached hereto as Exhibit"A"; and
WHEREAS,the Transit Department requests the City Council authorize the rejection of
the single bid submitted. The cost benefit review highlights the feasibility and fleet reliability of
purchasing new vehicles versus extending vehicles that have exceeded their designed useful life
based on Federal Transit Administration(FTA) guidelines.
NOW,THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF PORT ARTHUR:
THAT,the facts and opinions in the preamble are true and correct.
THAT,the City Council authorizes the City Manager to reject the bid for replacing ten
(10) 2008 Orion ISL 280 Cummins engines, Bid No. P-18-073.
THAT, a copy of the caption of this Resolution be spread upon the Minutes of the City
Council.
READ,ADOPTED AND APPROVED this day of August, 2018 at a Regular
Meeting of the City of Port Arthur, Texas by the following vote: AYES:.
AYES: Mayor:
Councilmembers:
NOES:
Derrick Ford Freeman
Mayor
P.R. 20411
08/10/2018 CB
City Secretary
APPROVED AS TO FORM:7Cit Attorney
.1 1.
12.--51 )
APPROVED FOR ADMINISTRATION:
City Manager
Transit Manager
APPROVE
! AS T VAILABILTY OF FUNDS:
v.•Director •f Finance
(Account No.401-1509-561.93-00)
gitieJA,J,7lt
Purchasing Manager
P.R. 20411
08/10/2018 CB
Exhibit "A"
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