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Home My WebLink AboutPD Police - 3 Replacement Motorcycles $85,173.09 CITY OF PALM DESERT COMMUNITY SERVICES DEPARTMENT STAFF REPORT REQUEST: APPROVAL OF PURCHASE ORDER SUBMITTED BY: Pat Scully, CFEE, Senior Management Analyst DATE: March 12, 2009 CONTENTS: Memorandum from Palm Desert Police Lt. Andrew Shouse Recommendation: By Minute Motion, approve of a purchase order in the amount of $85,173.09, contingent on Public Safety Commission approvat at its meeting of March 11, 2009, to Huntington Beach Honda for the purchase of three replacement motorcycles for use by the Palm Desert Police Department. Background: At its meeting of March 11, 2009, the Public Safety Commission will be asked to recommend that the City Council approve a purchase order in the amount of$85,173.09 to Huntington Beach Honda of three replacement motorcycles for use by the Palm Desert Police Department Traffic Team. Per the attached memorandum from Lt. Andrew Shouse, $117,756 was encumbered in fiscal year 2007/08 via four purchase orders to Desert Cities Honda and three additional sole source vendors. However, Desert Cities Honda has not been able to provide the needed equipment or a delivery schedule as to when it may become available as production has been delayed by Honda to a date uncertain. Given this information, the Police Department obtained three new bids as required. The low bidder, Honda/Yamaha of Redlands does not provide radio equipment and its installation will raise their bid by another $1,500 for a total of $29, 416.15. Desert Cities Honda does not have the equipment in stock nor can it provide a delivery date. Huntington Beach Honda has the needed equipment in stock and available for purchase at this time. While that bid exceeds the next lower bidder by $454.72, per motorcycle, the equipment has been reserved and is available for immediate purchase and delivery. Staff Report— Approval of Purchase Order March 12, 2009 Page 2 of 2 Therefore, staff recommends that the City Council approve a purchase order with Huntington Beach Honda in the amount of $85,173.09 to purchase three replacement motorcycles for use by the Palm Desert Police Department Traffic Team, contingent upon approval of the Public Safety Commission at its meeting of March 11, 2009. � PATRICIA SCULLY PA GIBSON SEN OR MANAGEMENT A YST DIRECTOR OF FINANCE/CITY TREASURER �. ,�SHEILA R. G LI AN J M. WOHL UT ASSISTANT CITY MANAGE I MANAGER CITY COUNCILA�iT`I�N APPROVED � DENtED RECEIVED OTHER MEET D�TE — AYE5: ' - NOES: ABSENT: ABSTAIN: VERIFIED BY: Original on File with Ci erk's Ot�'ics Staff Report— Approval of Purchase Order March 12, 2009 Page 2 of 2 Therefore, staff recommends that the City Council approve a purchase order with Huntington Beach Honda in the amount of $85,173.09 to purchase three replacement motorcyctes for use by the Palm Desert Police Department Traffic Team, contingent upon approval of the Public Safety Commission at its meeting of March 11, 2009. PATRICIA SCULLY PA GIBSON SEN OR MANAGEMENT A YST DIRECTOR OF FINANCE/CITY TREASURER �. SHEILA R. G LI AN J M. WOHL UT ASSISTANT CITY MANAGE I MANAGER PALM DESERT POLICE DEPARTMENT �, Served by the Riverside County Sheriffs Department � =' Stanley Sniff, Sheriff- Coroner TO: John Wohlmuth, City Manager DATE: February 25, 2009 FROM: Lieutenant Andrew Shouse � SUBJECT: Purchase Order for three (3)New Honda Police Motorcycles and Ancillary Equipment ATTACHMENTS: l. Quotes for three (3) 2009 Honda ST1300 Police Motorcycles 2. Letter from Huntington Beach Honda dated February 23, 2009 3. Quotes for Sole Source Additional Equipment 4. Purchase Orders#015161-015164 5. Staff Report from Lt. Frank Taylor dated June 26, 2008 6. Honda Request Form RECOMMENDATION The Palm Desert Police Department is requesting that Purchase Order #015161, dated June 20, 2008, and issued to Desert Cities Honda in the amount of $80,907.73, be cancelled and a new Purchase Order be issued for three (3) new Honda Police Motorcycles and ancillary equipment. The amount of the new Purchase Order is $85,173.09 and will be issued to Huntington Beach Honda. The revised amount is based upon updated bids and specifications. No additional allocation of funds is necessary as funds for this purchase have been encumbered since FY 2007/2008. Additionally, during FY 2008/2009 funds in the amount of $73,765.54 were budgeted for purchase of two (2) replacement Police Motorcycles. It is anticipated that a request to purchase these replacement Police Motorcycles will not be made until FY 2009/2010. This purchase will be made from the General Police Budget account#110-4210-422-4045. PROGRAM OVERVIEW � During the 2007/2008 budgetary process, the Palm Desert Police Department was authorized to convert four (4) Traffic Officer positions to four (4) Motorcycle Enforcement Officer positions and purchase new Police Motorcycles, along with ancillary equipment. This would create a motorcycle enforcement team that consists of eight (8) Motorcycle Enforcement Officers and one (1) Motorcycle Enforcement Sergeant (nine Officers total). As of this date, there remains one (1) vacant Motorcycle Enforcement Officer position. 1 Since that time, the Police Department has added three (3) Honda Police l�lotorcycles to its fleet of five (5) aging BMW Motorcycles (including one motorcycle that is out of service, stripped for parts and awaiting surplus). This brings our current inventory of serviceable Police Motorcycles to seven(7). The current goal of the Palm Desert Police Department is to maintain a Motorcycle Enforcement Officer team that consists of the above dedicated personnel (eight Officers & one Sergeant). This will require an inventory of nine (9) Police Motorcycles, plus one (1) back up motorcycle (10 total). The back up motorcycle is intended to be a serviceable, fully equipped motorcycle, albeit an older model with high miles. The back up motorcycle will be used to train newly assigned Motorcycle Enforcement Officers and be available for use should an Officer's regularly assigned motorcycle be out of service for an extended period of time. Our plan also includes a replacement program by which we rotate two (2) older model motorcycles out of our inventory per year. This plan will provide for approximately five (5) years of service per motorcycle. However, our plan will remain flexible and is subject to change based upon the performance of the equipment. The five (5) year rotation plan is well beyond Honda's current warranty of 3 yeaxs/unlimited miles. At this time, it is unknown exactly how long our Honda Police Motorcycles will perform without requiring major maintenance or replacement. Rider style, environmental factors, highway conditions and deployment (highway miles vs. city miles) are some factors that will affect the motorcycles perfortnance and reliability over time. DISCUSSION On June 26, 2008, the Palm Desert City Council approved a request to expend $116,964.04 in funds to purchase three (3) new Honda Police Motorcycles (Attachment #5). Desert Cities Honda provided the lowest bid of three dealers at that time and was approved as the vendor for the purchase. Based upon the above, Purchase Orders were created in the following amounts: 1. Desert Cities Honda (3) Honda ST1300 Police Motorcycles $80,907.73 2. County of Riverside (3) Mobile Radios $14,317.10 3. Kustom Signals (3) Radar& (3) Lidar Units $20,271.65 4. All State Police Equip. (3) Marine Magnum Shotguns $2,259.52 5. PVP Communications (3) Wireless Helmet Systems $1,467.56 As of this date, we have yet to receive delivery of the motorcycles from Desert Cities � Honda. The owner has indicated that Honda delayed production of police motorcycles for several months in 2008 and they have been unable to provide a firm delivery date. In an effort to move forward with our plans, we have contacted other vendors and obtained three fresh quotes. We have learned that Huntington Beach Honda currently has three (3) Honda ST1300 motorcycles in their inventory. The quotes we received are as follows: 1. Huntington Beach Honda (3) Motorcycles in Stock $28,391.03 2. Desert Cities Honda Delivery Date Unknown $27,936.31* � 3. Honda Yamaha of Redlands Delivery Date Unknown $27,916.15** 2 *Desert Cities Honda has been unable to produce the three motorcycles ordered from them in June 2008. **The quote from Honda Yama.ha of Redlands does not include installation of the radio and radar units which is estimated to be $1,000.00 - $1,500.00. The only dealer in the Southern California area we were able to locate that has Honda ST1300 Police Motorcycles in stock and will also outfit them with all necessary ancillary police equipment is Huntington Beach Honda. On February 23, 2009, the Police Department received a letter from Huntington Beach Honda indicating that they would hold three Honda ST1300 Police Motorcycles for the Palm Desert Police Department (VIN numbers included) until March 18, 2009. This was done at our request as this will give Council an opportunity to consider this recommendation at the March 12, 2009, meeting. The cost of each new motorcycle and ancillary equipment, which will be provided by the vendor, is as follows: Description Cost 2009 Honda ST1300 $14,204.00 Parts $7,352.74 Labor $4,734.00 Doc Fee $55.00 Tire T� $3.50 Sales Tax $2,041.79 TOTAL (Motorcycle & Ancillary Equipment) $28,391.03 (ea.) The following items are additional equipment required to completely outfit each Police Motorcycle, but must be purchased separately from sole source vendors: Descriution Cost 7100M Motorola Fixed Radio $3,952.95 LIDAR Hand held radar unit $3,153.75 Mounted Radar Unit $2,620.38 Wireless Helmet Communications Kit $306.01 Remington Marine Magnum Shotgun $743.48 TOTAL (Additional Equipment) $10,776.57 TOTAL (Complete Police Motorcycle) $39,167.60 (ea.) TOTAL REQUESTED APPROPRIATION $117,502.80 (3) The Palm Desert Police Department currently has $117,756.00 encumbered for the purchase of three (3) Honda Police Motorcycles and ancillary equipment. The funds are encumbered in the form of the following Purchase Orders: 3 . R 1. Desert Cities Honda P.O. #015161 $80,907.73 2. County of Riverside P.O. #015162 $14,317.10 3. Kustom Signals P.O. #015163 $20,271.65 4. All State Police Equipment P.O. #015164 $2,259.52 TOTAL ENCUMBERED FiJNDS $117,756.00 It is the recommendation of the Police Department that the requested Police Motorcycles be purchased from Huntington Beach Honda. A check of other local agencies revealed that Huntington Beach Honda has a reputation for customer service and producing a quality Police Motorcycle. Huntington Beach Honda also is the only dealer in the Southern California area that has Honda ST1300 Police Motorcycles in stock and will outfit the motorcycles with all the ancillary police equipment. Desert Cities Honda has been unable to produce the requested motorcycles since our order was placed in June 2008. Honda Yamaha of Redlands' bid was incomplete and significantly higher than Huntington Beach Honda. COST ANALYSIS The amount of the new Purchase Order is $85,173.09 and will be issued to Huntington Beach Honda. The remaining open Purchase Orders for required additional equipment are sufficient and require no modification. No additional allocation of funds will be necessary as sufficient funding has been encumbered for these purchases. This purchase will be made from the General Police Budget account#110-4210-422-4045. 4