REPORT TO THE CITY COUNCIL FROM: BRIAN BARR, Director General Services Department BY: MELISSA PERALES, Purchasing Manager General Services Department, Purchasing Division SUBJECT ..Title Reject all bids received for the purchase of two Intermediate, Mid-size, Four-door Unleaded Sedans on behalf of the Department of Transportation/Fresno Area Express (FAX) (Bid File 3879) ..Body RECOMMENDATION Staff recommends Council reject all bids received for the purchase of two Intermediate, Mid-size, Four-door Unleaded Sedans. EXECUTIVE SUMMARY The General Services Department, Purchasing Division, seeks to reject the sole bid proposal for the purchase of two unleaded sedans. The Purchasing Division solicited bids on behalf of the Department of Transportation, Fresno Area Express (FAX) from qualified vendors to provide two sedans to replace aging bus operator relief vehicles. The City solicited competitive bids from qualified vendors on September 6, 2022. Only one bid was received and was determined to be well above the reasonable market value of the vehicles, therefore Staff seeks to reject all bids. BACKGROUND FAX maintains relief vehicles which are utilized to transport bus operators to and from the field of operation. Numerous vehicles have reached their useful life and require replacement to ensure bus operators can safely and effectively be transported to and from the field of operation. To address the aging fleet issue, FAX developed a replacement plan to forecast the purchase of vehicles. FAX also utilizes a Transit Asset Management (TAM) plan to monitor fleet health and adhere to a State of Good Repair (SGR). The Purchasing Division released a solicitation for bids from qualified vendors on July 20, 2022. The City received a single bid for intermediate, unleaded sedans, with the official bid opening date on September 6, 2022. The only bid was in the amount of $65,641.60. The bid exceeds the Independent Cost Estimate of $57,128.14 by nearly 15%. This figure was determined by examining the fair market value of all vehicles according to appraisals for this specific class. ENVIRONMENTAL FINDINGS Pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15378, this procurement action does not constitute a project for the purposes of CEQA. LOCAL PREFERENCE Local preference was not implemented because of the requirements of the Federal funding source. FISCAL IMPACT This request to reject all bids will have no fiscal impact. Attachments: 3879 Bid Evaluation 3879 Price Analysis