Title
Resolution to Authorize the Purchase of Three Vehicles from Lunghamer Ford and Appropriate Revenue for the FY2024 Fleet Services Fund Operations and Maintenance Budget (State of Michigan MiDeal - $254,967.00) (8 Votes Required)
Memorandum
The attached resolution authorizes the purchase of one 2024 Ford F-350 4x2 w/ stake bed body and liftgate at $71,360.00, one 2024 Ford F-250 4x4 w/ service body at $81,195.00, and one 2024 Ford F-450 4x4 w/ service body and snowplow at $102,412.00 for a total cost of $254,967.00 from Lunghamer Ford, Owosso, Michigan, through the State of Michigan MIDeal cooperative purchasing program (contract #071B7700180).
One of the primary objectives of the Fleet and Facilities Unit is to ensure that the City maintains a fleet that is reliable and affordable. One of the ways that we do this is by establishing a replacement schedule for each class of vehicle. This does not mean that once a vehicle hits the preset age it is automatically replaced. When a vehicle comes up on the replacement schedule, we use a two-step evaluation process. The first step looks at five categories, including the vehicle's age, miles/hours of use, type of service, reliability, maintenance and repair cost. The second step consists of the Fleet Service Supervisor's review of the vehicle repair history and general condition. Each category has point values that are assigned as follows:
AGE - one point for each year the vehicle is in service
MILES/HOURS - one point for each 10,000 miles or 330 hours of service
TYPE of SERVICE - one point for light duty use to five points for severe duty use
RELIABILITY - average # of work orders per month (1 <.25, 2 =.25 to .50, 3 =.50 to .75, 4=.75 to 1, and 5 = over 1 per month)
MAINTENANCE COST - repair cost as a percentage of purchase price (1 = 20 to 40%, 2 = 40% to 60%, 3 = 60% to 80%, 4 = 80% to 100%, and 5 = Over 100%)
SUPERVISOR REVIEW - based on a review of work order history and the Supervisor's experience (1 = very g...
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