REPORT TO THE CITY COUNCIL FROM: BRIAN BARR, Director General Services Department BY: MELISSA PERALES, Purchasing Manager General Services Department, Purchasing Division SZARINA LOZANO, Senior Management Analyst General Services Department, Purchasing Division SUBJECT ..Title Approve the award of a Cooperative Purchase Agreement (Requirements Contract) to Ford Motor Company, through November 14, 2028, with three optional one-year extensions for the purchase of OEM vehicle parts and supplies in an amount not to exceed $750,000 per year plus annual CPI increases (Bid File 9707) ..Body RECOMMENDATION Approve the award of a Cooperative Purchase Agreement (Requirements Contract) to Ford Motor Company, through November 14, 2028, with three optional one-year extensions for the purchase of original equipment manufacturer (OEM) vehicle parts and supplies in an amount not to exceed $750,000 per year plus annual CPI increases. EXECUTIVE SUMMARY The General Services Department, Purchasing Division, recommends establishing a Cooperative Purchase Agreement (CPA) with Ford Motor Company for the purchase of OEM vehicle parts and supplies. This agreement will provide the General Services Department with access to genuine Ford parts required for the maintenance and repair of City-owned vehicles and equipment. The cooperative agreement streamlines the purchasing process, allowing the General Services Department to obtain parts efficiently, reduce vehicle downtime, and was determined to be the most cost-effective solution. The Cooperative Purchase Agreement will be authorized through a competitively solicited cooperative procurement process administered by Sourcewell (a State of Minnesota local government agency). Ford Motor Company was awarded a contract via Sourcewell RFP# 080124, which went into effect on January 2, 2025. Ford Motor Company maintains multiple retail stores within the City of Fresno. BACKGROUND The General Services Department is responsible for administering the agreement for OEM vehicle parts and supplies. Partnering with the local retailer, Ford Motor Company, through a cooperative agreement, the General Services Department will benefit by providing cost savings, product availability, consistent quality, and sustainable options. The local vendor has a wide range of products and supplies that are essential for City fleet maintenance. A Cooperative Purchase Agreement will ensure that these products are readily available, reducing downtime and increasing productivity. Ford Motor Company was awarded a contract via Sourcewell RFP# 080124, which went into effect on January 2, 2025. Utilizing a cooperative agreement was determined to be the most cost-effective and overall best value for obtaining OEM vehicle parts and supplies. The various local stores within the City of Fresno provide benefits to the City in terms of both employment and tax revenue. The Purchasing Division has approved the Cooperative Purchase Agreement and recommends Council approval. ENVIRONMENTAL FINDINGS By the definition provided in the California Environmental Quality Act (CEQA) Guidelines Section 15378, the award of this contract does not qualify as a "project" as defined by CEQA. LOCAL PREFERENCE Local preference is not applicable. The City is not issuing a request for proposals for the Cooperative Purchase Agreement; however, Ford Motor Company maintains retail stores within the City of Fresno. FISCAL IMPACT The funding has been included in the General Services Department line-item budget as part of the FY2026 adopted budget to cover the cost of OEM vehicle parts and supplies. Attachments: Ford Motor Company CPA Ford Motor Company Contract #080124-FMC Original Request for Proposals #080124 Proof of Publication #080124 Proposal Opening Record #080124 Proposal Evaluation #080124 Comment & Review #080124 Board Resolutions #080124