Subject:
Title
Purchase authorization with Genuine Parts Company D/B/A National Automotive Parts Association (NAPA) for the Vehicle and Equipment Parts Management System
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Recommended Action:
Recommended Action
Approval and execution by the County Administrator of the purchase authorization with Genuine Parts Company D/B/A National Automotive Parts Association (NAPA) for the Vehicle and Equipment Parts Management System
Contract 134-0296-PB (PF) in the amount of $1,300,000.00 for a term of twelve (12) months through November 17, 2017.
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Strategic Plan:
Deliver First Class Services to the Public and Our Customers
5.2 Be responsible stewards of the public’s resources
5.3 Ensure effective and efficient delivery of county services and support
5.4 Strive to exceed customer expectations
Summary:
Approval of this purchase authorization provides a continuation of the utilization of the Parts, Services and Inventory Management System (Management System) provided by NAPA. The Management System is an all-encompassing outsourcing of Fleet Management’s parts inventory operations including; staffing, parts delivery to sub-shops and responsibility for the inventory control.
Background/Explanation:
The Board of County Commissioners approved this purchase authorization on November 18, 2014. The contract was competitively solicited by the National Joint Powers Alliance, a public agency serving as a national municipal contracting organization under the laws of the State of Minnesota. The First Amendment to the purchase authorization was approved on April 28, 2015 by the County Administrator to provide NAPA the authority to purchase obsolete County inventory.
For FY15, utilization of the system has produced a combined total cost savings/avoidance of $109,000. The cost savings/avoidance include; reduced overall price of parts ($11,000), a reduction in the number of contracts requiring Purchasing Department support, which reduced their allocation to Fleet Management ($11,000), and a corresponding reduction in the Clerk of the Circuit Court’s allocation to Fleet Management, based on the reduced number of processed invoices ($87,000).
The vendor’s services have been satisfactory; therefore, it is recommended that the term extension to the purchase authorization be exercised at the terms and conditions as awarded.
Fiscal Impact:
Twenty-four (24) month expenditure to date: $2,600,000.00
Twelve (12) month expenditure not to exceed: $1,300,000.00
Total expenditure not to exceed: $3,900,000.00
Funding is derived through Fleet Management’s operating funds.
Delegated Authority:
Authority for the County Administrator to approve and execute this term extensions is granted under Code Section 2-176.
Staff Member Responsible:
Andrew W. Pupke, Director, Real Estate Management
Joe Lauro, Director, Purchasing
Partners:
N/A
Attachments:
Second Amendment