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CC - Item 5F - Adopt Resolution No. 2024-37, Authorization to Acquire One New Ford Explorer Vehicle in an Amount Not-to-Exceed $75,000ROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: BEN KIM, CITY MANAGER DATE: JULY 23, 2024 SUBJECT: ADOPT RESOLUTION NO. 2024-37, AUTHORIZATION TO ACQUIRE ONE NEW FORD EXPLORER VEHICLE IN AN AMOUNT NOT -TO -EXCEED $75,000 SUMMARY The City is seeking to acquire one new 2024 Ford Explorer vehicle utilizing Equipment Replacement (Fund 501) Internal Service Funds for Lieutenant Kevin Tiwari of the Los Angeles Sheriffs Department ("LASD"). Due to specialized equipment that needs to be installed in the vehicle, lack of inventory, high mark-ups, and long lead times to acquire new vehicles on the open market, Staff is requesting purchase order authority to acquire the vehicle pursuant to the City Purchasing Policy as outlined in Rosemead Municipal Code Section 3.24.090. Therefore, it is recommended that the City Council adopt Resolution No. 2024-37 amending the City's Fiscal Year 2024-25 Equipment Replacement Fund (Fund 501) to appropriate additional funds in the amount of $75,000, and authorize and direct the City Manager to execute a purchase order in an amount not to exceed $75,000 for the acquisition of one new 2024 Ford Explorer vehicle. The adopted Fiscal Year 2024-25 Budget did include a budget of $100,000 for the purchase of the vehicle with the expectation that AQMD Funds would be utilized. However, law enforcement agencies do not frequently employ hybrid and electrical vehicles (AQMD eligible) due to the overall lack of power and accelerating from a complete stop. Consequently, the decision was made to purchase a gas -powered vehicle. DISCUSSION The current Service Area Lieutenant, Kevin Tiwari, is utilizing a vehicle that has exceeded its use of life and is not equipped with the appropriate equipment, such as emergency lights and sirens. The vehicle is also experiencing electrical issues due wear and tear. To prevent safety and liability issues that may arise with the continued use of the current vehicle, staff is requesting the purchase of a new replacement vehicle to support the City's law enforcement mission. The total availability of new -vehicle inventory in the United States has remained persistently low because of the COVID-19 pandemic. While new vehicles are arriving daily, vehicles that meet the City's requirements for law enforcement needs are in high demand and are quickly purchased in the open market. Should the City attempt to order a vehicle, the lead time to acquire a new vehicle AGENDA ITEM 5.F City Council Meeting July 23, 2024 Page 2 of 3 can take several months. Additionally, because of historically low inventories, dealerships are still marking -up highly sought after vehicles. Furthermore, the City's procurement policy states that any purchase over $30,000 be competitively bid. This process can add several months to the acquisition of a new vehicle, in addition to mark-ups from local dealerships. To find an alternative solution, Staff is requesting purchase order authority in an amount not to exceed $75,000 to buy one new 2024 Ford Explorer vehicle. Staff will work with local dealerships to locate and purchase these vehicles. Because prices from online retailers are open sourced and available on websites, the City can ensure that the vehicles being sought are at the lowest and best possible price. Attachment B lists current market prices for used vehicles of similar make and model that the City is interested in acquiring. Rosemead Municipal Code Section 3.24.090 outlines the use of alternative purchasing procedures which results in a negotiated contract, force account, purchase order or any other procedure that may be used when it has been determined to be in the best interests of the City. Staff is recommending that this alternative procedure be employed for the purchase and acquisition of these vehicles. STAFF RECOMMENDATION It is recommended that the City Council: 1. Adopt Resolution No. 2024-37 amending the City's Fiscal Year 2024-25 Equipment Replacement Fund (Fund 501) to appropriate funds in the amount of $75,000; and, 2. Authorize and direct the City Manager to execute a purchase order in an amount not to exceed $75,000 for the acquisition of one new 2024 Ford Explorer vehicle. ENVIRONMENTAL ANALYSIS The proposed action does not constitute a project under the California Environmental Quality Act ("CEQA"), and it can be seen with certainty that it will have no impact on the environment. As such, this matter is exempt under CEQA. STRATEGIC PLAN IMPACT None. FISCAL IMPACT There is no impact to the General Fund. The cost of the vehicle purchase was not budgeted in the Fiscal Year 2024-25 Equipment Replacement Fund (Fund 501). Consequently, a budget adjustment of $75,000 is necessary. The Equipment Replacement Fund (Fund 501) has sufficient reserves to accommodate the additional $75,000 appropriation. City Council Meeting July 23, 2024 Page 3 of 3 PUBLIC NOTICE PROCESS This item has been noticed through the regular agenda notification process. Submitted by: chard RN Assistant anager Bryan Chua Finance Director Attachment A: Resolution No. 2024-37 Attachment B: Vehicle Quotes Prepared by: /12 t1l Amanda Moreno Senior Management Analyst Attachment A Resolution No. 2024-37 RESOLUTION NO. 2024-37 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD, CALIFORNIA, AMENDING THE FISCAL YEAR 2024-25 BUDGET AND APPROPRIATE FUNDS FOR THE ACQUISITION OF A VEHICLE WHEREAS, the City Council adopted the Fiscal Year 2024-25 Operating and Capital Improvement Program budgets on June 27, 2024; and WHEREAS, amendments must periodically be made to the budget to conform to changed circumstances following the adoption of the budget; and WHEREAS, funding was not allocated in the City's approved 2024-25 Budget thus requiring a revision to add $75,000 to cover the cost of the vehicle purchase; and WHEREAS, the revised appropriation constitutes an update to the Fiscal Year 2024-25 budget approved pursuant to Resolution No. 2024-37. THE ROSEMEAD CITY COUNCIL HEREBY RESOLVES AS FOLLOWS: SECTION 1: The City Council hereby approves an appropriation in the amount of Seventy -Five Thousand Dollars ($75,000) in the Equipment Replacement Fund (Fund 501) to cover the cost of the vehicle acquisition. SECTION 2: The City Clerk shall certify the adoption of this Resolution. PASSED, APPROVED AND ADOPTED this 23`d day of July 2024. Steven Ly, Mayor APPROVED AS TO FORM: ATTEST: Rachel H. Richman, City Attorney Ericka Hernandez, City Clerk CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES) § CITY OF ROSEMEAD ) I, Ericka Hernandez, City Clerk of the City Council of the City of Rosemead, California, do hereby certify that the foregoing City Council Resolution No. 2024-37 was duly adopted by the City Council of the City of Rosemead, California, at a regular meeting thereof held on the 23`d day of July, 2024, by the following vote, to wit: AYES: NOES: ABSENT: ABSTAIN: Ericka Hernandez, City Clerk Attachment B Vehicle Quotes Quotes for 2024 Ford Explorer Dealership Price Auto Nation of Tustin $57,995 Auto Nation of Valencia $58,995 Ford of Upland $62,010 Envision Ford of Duarte $62,290 Quotes are attached for reference. cars.com F Search Results < Previous car New 2024 Ford Explorer ST For Sale $57,995 1 Cars.com A✓ro n/APOdN of r6v'rj Sign In Next car > Call https://www.cars.mm/vehicledetail/3G884ec3-ffb2-4446-9025-7OdG485f381 a/ 1/11 New 2024 Ford Explorer ST For Sale $57,995 1 Cars.com Basics Exterior color Star White Metallic Tri -Coat Interior color Ebony Drivetrain Four-wheel Drive MPG 18-24 O Fuel type Gasoline Transmission 10 -Speed A/T Engine 3.OL V6 CYL VIN 1FM5K8GC6RGA18629 Stock # RGA18629 Mileage 6 mi. Features Convenience Adaptive Cruise Control Heated Seats Heated Steering Wheel Keyless Start Navigation System Power Liftgate Entertainment Apple CarPlay@/Android Auto® Bluetooth® HomeLink Premium Sound System USB Port D Exterior Alloy Wheels CHAT Call https://www.cars.com/vehiciedetail/3c884ec3•ffb2-4446-9025-7OdO485f381 e/ 3/11 Seating View all features Seller's info AutoNation Ford Tustin 4.5 ***** (1,754 reviews) 2 Auto Center Dr Tustin, CA 92782 Visit AutoNation Ford Tustin a Seller's notes about this car Check for recalls 71 Have a question? New 2024 Ford Explorer ST For Sale $57,995 1 Cars.com Backup Camera Blind Spot Monitor Brake Assist LED Headlights Lane Departure Warning Rear Cross Traffic Alert Stability Control Leather Seats Memory Seat Third Row Seating Get answers, see the car, or find a good time for a test drive. Take the next step and contact the seller. Call https://www.cars.com/vehiciedetall/3cB84ec3-ffb2-4446-9025-7OdO485f381 e/ 4111 New 2024 Ford Explorer ST For Sale $58,9951 Cars.com More MAMNAeo vALENcrA 2024 Ford Explorer ST <- Search Results < Previous car Next car > C: Call hftps://www.cars.wm/vehiciedetall/cbec62f8-2674-46c2-bla2-2219a7607b821 1/11 New 2024 Ford Explorer ST For Sale $58,995 i Cars.com 2024 Ford Explorer ST Basics Exterior color Star White Metallic Tri -Coat Interior color Ebony Drivetrain Four-wheel Drive MPG 18-240 Fuel type Gasoline Transmission 10 -Speed A/T Engine 3.OL V6 CYL VIN 1FM5K8GC8RGA09379 Stock # RGA09379 Mileage 10 mi. Features Convenience Adaptive Cruise Control Heated Seats Heated Steering Wheel Keyless Start Navigation System Power Liftgate Entertainment Apple CarPlay®/Android Auto® Bluetooth® Q� HomeLink Premium Sound System C::Call https://www.mm.com/vehicladetaiVct)ec62f8-2674-46c2-bla2-2219a7607b82/ 3/11 New 2024 Ford Explorer ST For Sale $58,995 1 Cars.com 2024 Ford Explorer ST Safety Seating View all features Seller's info Automatic Emergency Braking Backup Camera Blind Spot Monitor Brake Assist LED Headlights Lane Departure Warning Rear Cross Traffic Alert Stability Control Leather Seats Memory Seat Third Row Seating AutoNation Ford Valencia 4.6 ***** (1,876 reviews) 23920 Creekside Rd Santa Clarita, CA 91355 Visit AutoNation Ford Valencia 71 Seller's notes about this car Check for recalls T Have a question? Call Qj https:l/www.cars.com/vehicledetail/ebec62f8-2674-46c2-b1 a2-2219a7607b82/ 4/11 New 2024 Ford Explorer ST For Sale $62.010 i Cars.com FORD OF uM.NNo cars.com Sign In ®° F Search Results < Previous car Next car > COPD OF UPLgNrj .SINCE t9b0 ALMOM, I P A6 Call https://www.cars.com/vehiciedetaiV8bff4dcf-3afc-4cbd-906a-997ce36a8eaa/ 1/12 New 2024 Ford Explorer ST For Sale $62,010 1 Cars.com Interior color Ebony Drivetrain Four-wheel Drive MPG 18-24 0 Fuel type Gasoline Transmission Automatic Engine EcoBoost 3L V-6 gasoline direct injection, DOHC, variable valve VIN 1FM5K8GC2RGA52647 Stock # 240152 Mileage 21 mi. Features Convenience Adaptive Cruise Control Heated Seats Heated Steering Wheel Keyless Start Navigation System Power Liftgate Entertainment Apple CarPlay®/Android Auto® Bluetooth® HomeLink Premium Sound System USB Port Exterior Alloy Wheels Sun roof/Moon roof Tow Hitch Call https://www.cars.com/vehiciedetail/Bbff4dcf-3afc-4cbd-906a-997ce36a8eaa/ 4112 Seating View all features Seller's info Ford of Upland 4.4 ***** (1,209 reviews) 1300 E. 20th Street Upland, CA 91784 Visit Ford of Upland 71 Seller's notes about this car New 2024 Ford Explorer ST For Sale $62,010 1 Cars.com Brake Assist LED Headlights Lane Departure Warning Rear Cross Traffic Alert Stability Control Leather Seats Memory Seat Third Row Seating 2024 Ford ExplorerST 4WD. Star White Metallic Tri -Coat 4WD 10 - Speed Automatic 3.01- EcoBoost V6 I DARE YOU TO FIND A BETTER DEAL if you didn't buy from FORD OF UPLAND chances are you paid too much.FORD OF UPLAND proudly serves Upland, Rancho... View all seller's notes WE OFFER HOME DELIVERY!! Family Owned and Operated Since 1960. We serve the Azusa, Industry, Covina, Ontario, Pomona, Glendora, Upland, La Verne, Monrovia, San Dimas, Claremont, Montclair, Norco, Chino, Chino Hills, Corona, Eastvale, Rancho Cucamonga, Inland Empire, Rialto, Redlands, Moreno Valley, Temecula, Cerritos, Huntington Beach, and Orange County areas. Call https://www.cars.com/vehiciedetail/8bff4def-3afc-4cbd-906a-997ce36a8eaa/ 5/12 New 2024 Ford Explorer ST For Sale $62,2901 Cars.com Enrv<itawu fvRC of 4r9oerV cars.com Sign In F Search Results < Previous car Next car > I-NVISION i ENVISION FORD OFDUARTE ENWS10NfSTHE PZHTDE[!S'�' J do FORDOFDUARTE.COM 626-41 IrJ-3n�� 1031 CENTRAL AVE. DUARTE CA, 91010 ��_, 1a Video (:::i all:: ) haps://www.cars.mm/vehiciedetail/e7ced888-Oe97-4af3-8731c8ela267acdl/ 1/12 New 2024 Ford Explorer ST For Sale $62,290 1 Cars.com Not all customers will qualify. All decisions related to submission of consumer's credit application, assignment of financing agreement, and available lenders are at sole discretion of the dealer. Cars.com is not an automobile dealer or a lender, and will not render a credit decision. Car shopper resources •experian. Get your FICO® Score - Free Stay on top of your credit. Sign up now. Learn more T Basics Exterior color Star White Metallic Tri -Coat Interior color Ebony Drivetrain Four-wheel Drive MPG 18-240 Fuel type Gasoline Transmission Automatic Engine EcoBoost 3L V-6 gasoline direct injection, DOHC, variable valve VIN 1FM5K8GCXRGA12638 Stock # RGA12638 Mileage 5 mi. Call https://www.cars.com/vehicledetaii/e7ced888-Oe97-4af3-8731-c8e 1 a267acd 1 / 3/12 New 2024 Ford Explorer ST For Sale $62,290 1 Cars.com Convenience Adaptive Cruise Control Heated Seats Heated Steering Wheel Keyless Start Navigation System Power Liftgate Entertainment Apple CarPlay@/Android AutoO Bluetooth@ HomeLink Premium Sound System USB Port Exterior Alloy Wheels Sun roof/Moon roof Tow Hitch Safety Automatic Emergency Braking Backup Camera Blind Spot Monitor Brake Assist LED Headlights Lane Departure Warning Rear Cross Traffic Alert Stability Control Seating Leather Seats Memory Seat Third Row Seating View all features Seller's info Envision Ford of Duarte 4.2 ***** (184 reviews) Call https:ltwww.cars.com/vehiciedetall/e7ced888-De974af3-8731c8ol a267acdl/ 4/12