S40-E25757 - Approve spending authority to purchase auto parts for light duty vehicles through the Education Service Center Region 19 Allied States Cooperative in an amount not to exceed $8,000,000.00 for the Fleet Management Department.
Specific Explanation:
The Director of the Fleet Management Department and the Chief Procurement Officer recommend that City Council approve spending authority to purchase original equipment manufacturer and aftermarket auto parts through the Interlocal Agreement for Cooperative Purchasing with the Education Service Center Region 19 Allied States Cooperative (ASC) in an amount not to exceed $8,000,000.00 for the Fleet Management Department and that authorization be given to make purchases using purchase orders and/or the City's purchasing card, as needed, from the ASC contract supplier, IEH Auto Parts Holding, LLC dba Auto Plus Auto Parts for a four month term with one (1) three-year option and two (2) one-year options to extend. This contract will be used by the Department to purchase auto parts for light duty vehicles. The parts are necessary for the preventive maintenance and the maintenance and repair of thousands of City vehicles and rolling stock at the Departments' 25 maintenance facilities located throughout the city.
The list of new and remanufactured parts, includes but is not limited to, alternators, air filters, ac compressors, batteries, belts, brake pads, brake shoes, brake lines, bearings, clutch kits, cylinder heads & kits, chassis parts, engine blocks, exhaust manifolds, EGR valves, fuel pumps, fuel injectors, gasket kits, gears, heater cores, hoses, liner kits, hardware, modules, oil filters, oil pumps, piston kits, push rods, radiators, relays, sensors, struts, spark plugs, starters, struts, shocks, seals & O-rings, transfer pumps, turbochargers, thermostats, u-joints and windshield wipers. A comparative analysis was conducted comparing the previous NAPA contract pricing against pricing available from the ASC contractor and the new contract prices are approximately 23% lower, resulting in potential cost savings of $1,825,600.00 over the term of the contract.
Sections 271.081 through 271.083 of the Texas Local Government Code provide the legal authority for local governments to participate in the Allied States Cooperative.
Hire Houston First:
The procurement is exempt from the City's Hire Houston First Ordinance. Bids/proposals were not solicited because the department is utilizing an Intergovernmental Cooperative Purchasing Agreement for this purchase.
______________________________________ _____________________________________
John J. Gillespie, Chief Procurement Officer Departmental Approval Authority Signature
Finance/Strategic Procurement Division
| Estimated Spending Authority |
| Department |
FY 16 |
Out Years |
Total |
| Fleet Management |
$400,000.00 |
$7,600,000.00 |
$8,000,000.00 |