ITEM:		CONSENT CALENDAR
7.	AUTHORIZE EXPENDITURE OF BUDGETED FUNDS FOR PURCHASE OF VEHICLE FOR WATER DEMAND DIVISION
Meeting Date:			October 18, 2004	Budgeted:	Yes
From:			David A. Berger,	Program/
			General Manager	Line Item No.: Fixed Assets
Prepared By:			Rick Dickhaut	Cost Estimate:	$17,583
General Counsel Approval: N/A
Committee Recommendation: The Administrative Committee reviewed this item on October 6, 2004, and recommended approval.
CEQA Compliance: N/A

SUMMARY: In response to a Call for Bids, the District has received two bids for a 5-passenger mid-size sedan. The bids are summarized in the following table:

Budgeted Amount	Cypress Coast Ford (Ford Taurus LX)	Cardinal Automotive Group (Suzuki Verona EX)
$20,000.00	$17,582.63	$16,249.51

As the table indicates, Cardinal Automotive Group was the low bidder, however, the bid was determined to be non-responsive as it was not submitted in an envelope clearly marked “Mid-Size Sedan Bid” as required, and was consequently opened upon receipt rather than at the time specified in the Call for Bids. More importantly, the bid did not meet all of the specifications in the Call for Bids. Most notably, the vehicle bid did not have anti-lock brakes. The bid from Cypress Coast Ford did meet all specifications and is approximately $2,400 less the budgeted amount of $20,000. A portion of these excess funds will be required to equip the vehicle with a radio, etc.

RECOMMENDATION: District staff recommends that the Board authorize expenditure of budgeted funds to purchase one 5-passenger mid-size sedan from Cypress Coast Ford at a total cost of approximately $17,583. The Administrative Committee considered this matter on October 6, 2004 and voted 3 to 0 to recommend approval.

BACKGROUND: The Fiscal Year 2004-2005 Budget includes $20,000 for the purchase of an additional vehicle for the Water Demand Division. In August 2004, a Call for Bids was mailed to six dealerships in the area. A bid notice was also published twice in the Monterey County Herald.

The Water Demand Division presently has one vehicle that is used by three inspectors. This limits staff’s ability to respond to requests for inspections, as well as to respond to complaints of water waste or to promote water conservation. Staff must regularly use their private vehicles for transportation when the one vehicle is in the field. The District’s liability insurance carrier, SDRMA, discourages use of employee-owned vehicles in the conduct of District business. Thus, staff members are reluctant to use a private vehicle to conduct inspections, and the inspection schedule is maintained at a limited level to accommodate the Division’s single vehicle availability. The addition of a second vehicle for inspections will allow the Water Demand Division to be more responsive to the public’s needs.

Other divisions do not use the Water Demand Division’s vehicle, except in unusual cases. There is a Ford Explorer that is considered the “fleet” vehicle that is available for anyone’s use on a first-come, first-served basis. The Explorer is often in use by the Water Resources and Planning/Engineering divisions, making it unavailable generally for use as a second vehicle for the Water Demand Division.

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