HomeMy WebLinkAbout1991-04-09 - AGENDA REPORTS - SPIRIT BUS CONTRACT (2)CONSENT CALENDAR
DATE: April 9, 1991
SUBJECT: Gillig Corp. "
DEPARTMENT: Public Works
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BACKGROUND
AGENDA REPORT
City Manager Approval
Item to be presented
t" Bus Contract
John Medina, Director
s
The=City Council adopted Ordinance Number 90-25 last August, and determined that
itis in the public interest and necessity to direct staff to work with the
Foothill Transit Zone combine our bus orders and negotiate a lower purchase
price from the Gillig Corporation for the City order of 13 "Spirit" buses.
At their January 8, 1991 meeting, Council directed staff to draft a contract for
the purchase of 13 "Spirit" buses and subsequently issue a Purchase Order.
Attached is a contract approved by the City Attorney's Office and signed by
Gillig which will complete the process.of acquiring the 13 Gillig buses. The
total cost of each coach including tax and.delivery is $155,675.73 for a total
cost of $2,025,870.99. As you know, the cost will be funded with Proposition A
funds which may only be used for transit programs.
The buses will be deliverd prior to the expansion of the City's routes scheduled
for August of this year.
RECOMMENDATION
Direct the Mayor to sign the contract between the City and the Gillig
Corporation for the purchase of 13 Gillig "Spirit" buses.
Attachment: Contract
DEL: 125
Agenda Item:_.,,
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CONTRACT
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• THIS CONTRACT, made and entered into this 24 day of January, 1991, by and
between the GILLIG CORPORATION, hereinafter called "Contractor" 25800 Clawiter
Road, Hayward, California 94545, and CITYOFSANTA CLARITA, 23920 Valencia
Boulevard, Suite 300, Santa Clarita, CA 91355, hereinafter called the
"Purchaser."
The Contractor and the Purchaser, agree as follows:
1. The Contractor shall deliver:
Thirteen (13) Gillig "SPIRIT"transit vehicles. If there are
discrepancies between any of the terms contained in Exhibit A of this
Contract, the terms of this Contract shall govern .and shall provide the'
vehicles quoted in the Contractor's letters dated October 15, 1990 and
February 8, 1991, attached as Exhibit A. Contractor warrants the
performance of the vehicles as provided in its standard warranty, attached
as Exhibit A. _
2. DELIVERY
The Contractor shall complete all work and furnish all equipment called
for under this Contract. Work shall be completed in June 1, 1991.
3. DELIVERY PROCEDURE
. Delivery date shall be determined.by a receipt signed by the City's
Transit Coordinator or the City's cgntracted inspector.
Contractor shall have risk of loss of the coach, including any damages
sustained during the common carrier driveway operation.
The Purchaser shall assume risk of loss of the coach on delivery by the
common carrier driveway service, or on release to the Purchaser's drivers
at the Gillig manufacturing plant.
4. ACCEPTANCE OF COACH
Within ten (10) calendar days after arrival at the designated point of
delivery, each coach shall undergo inspection for acceptance. Acceptance
may occur earlier if the Purchaser notifies the contractor of early
acceptance or places the coach in revenue service.
5. NON-ACCEPTANCE OF COACH
If the equipment is not accepted, the Contractor requires a letter within
fifteen (15) calendar days after delivery listing all the items for
resolution. The Contractor will diligently pursue resolution of items or
the work may be performed,by the Purchaser with reimbursement by the
Contractor, subject to mutual approval, However, no work shall be
• performed for the Contractor's account without prior approval of the
Contractor.
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6. PAYMENT SCHEDULE
The Purchaser shall make payment in full within thirty (30) days after
acceptance of each vehicle.
7. LATE PAYMENT
In the event of delay of payment for the equipment beyond the payment
scheduled, the Purchaser shall pay to the Contractor late payment damages
equal to the daily interest on the balance due for each calendar day for
equipment. The daily late payment damages shall be calculated using the
prime rate published by the Manhattan Bank on each day the payment is late.
8. TITLE
Adequate documents for securing the coach(es) shall be provided to the
Purchaser upon delivery. Following acceptance of the coach, the
Contractor warrants that the title shall pass to the Purchaser free and
clear of all liens, mortgages, and encumbrances, financing statements,
security agreements, claims, and demands of any characters.
8. EQUAL EMPLOYMENT OPPORTUNITY
In connection with the execution of this Contract, the Contractor shall
not discriminate against any employee or applicant for employment because
of race, creed, marital status, age, color, set, national origin, or
handicap, except for a bona fide.occupational qualification. The
Contractor shall take affirmative action to ensure that applicants are
employed, and that employees are treated during their employment, without
regard to their race, creed, marital status, age, color, sex, national
origin, or handicap,.except for bona fide occupational qualification.
Such actionsshall include, but not be limited to the following:
employment, upgrading, demotion, or transfer, recruitment of advertising,
layoff or termination, rates of pay or other forms of:compensation, and
selection for training including apprenticeship.
10. PROHIBITED INTEREST
No member, officer, or employee of the Purchaser during his tenure or
within one year thereafter shall have any interest, direct or indirect, in
this Contract or the proceeds thereof.
11. CONTRACT CHANGES
Any proposed change in this Contract shall be by mutual agreement of both
parties.
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12. TERMINATION OF CONTRACT
. Termination for Convenience. The Purchaser may terminate this Contract,
in whole.or in part, at any time by written notice to the Contractor. The
Contractor shall be paid its costs, including contract close-out costs,
and profit on work performed up to the time of termination provided
contractor attempts to mitigate in good faith by resale of the work
performed as provided in the California Commercial Code. The Contractor
shall submit its termination claim to the Purchaser to be paid by the
Purchaser. If the Contractor has any property in its possession belonging
to the Purchaser, the Purchaser will account for same, and dispose of it
in the manner Purchaser directs.
13. Contractor and Purchaser shall indemnify and hold each other harmless from
and against all. costs, .claims, losses and liabilities which may be
assessed against either one of them based on any negligence or liability
of the other in the performance of its .duties as provided herein.
14. The provisions of this Contract shall control in case of .conflicting or
inconsistent provisions contained in any purchase order or other sales
document executed by both Contractor and Purchaser.
In witness whereof, the Purchaser has authorized the execution of this
Contract in duplicate on the day of 1991.
CITY OF SANTA CLARITA
• Purcha"r
By
Title
CONTRACTOR
GILLILCQRPORATION
By " V � - — �� \ i
Brian Macleod
Title Vice President
Date March 15, 1991
1WW
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EXHIBIT A
GILLIG CORPORATION
October 15, 1990
Mr. William P. Forsythe
Executive Director
Foothill Transit Zone
100 No. Barranca Avenue, Suite 980
West Covina, California 91791-1600
Dear Bill:
BOX 3008
HAYWARD. CALIFORNIA
94540-3008
TELEPHONE 4151785-1500
PAX 4151785.6819
We appreciate this opportunity to quote on your procurement of 20
mid-sized transit buses.
Our 27-1/2 foot bus called the "SPIRIT" was specifically designed
to provide many years of reliable service in the most severe
applications, including city transit- and suburban commuter
operations. The heavy duty design of the SPIRIT incorporates
most of the "big bus" features including:
* Air Ride Suspension * Allison Transmission.
* Air Brakes * Rockwell Axles
* Turbocharged Diesel Engine * Rear Engine Design
j with the advantages of a mid-sized bus, such as lower price,
improved maneuverability, better fuel consumption, etc.
These heavy duty components are combined with a transit proven,
rugged yet lightweight aluminum body design that offers fresh new
styling to promote ridership. The SPIRIT provides todays cost
conscious operator with a logical alternative to the medium duty
"cutaway" or body on chassis vehicles and their inherently high
life cycle costs.
Gillig is pleased to quote the vehicles outlined below. This
includes the basic equipment as was discussed in our October 10th
meeting.
QUANTITY
20 SPIRIT Buses - Foothill Transit - 7
Santa Clarita Transit - 13
SPECIFICATIONS
Size: 27.5 Feet by 96 Inches Wide, 110 Inches Wide
Gross Vehicle Weight: 26,500 -Pounds
Seated -Capacity: 22 + 1 W/C Position
Type of Seats: American Seating Model 6468T With VR50
Mr. William P. Forsythe
October 15, 1990
Page 2
Engine: Caterpillar Model 3208T a 210 HP
Transmission: Allison Model MTB 643 (Retarded)
Front Axle: Rockwell Model FF943
Drive Axle: Rockwell Model RS17-145
Air Conditioning System: Thermo King Model U1
Passenger Windows: Transom Style 28% Gray Tint
Driver's Windows: Full Slider Type, 73% Gray Tint
Tires: (6) Michelin'XZA 255/80R x 22.5
Wheels: Polished Aluminum, Stud Pilot Type
Wheelchair Lift: Lift -U with separate power supply and center
door location.
Farebox: GFI Cents -A -Bill
ADDITIONAL FEATURES
100 Gallon Fuel Tank
P.A. System with AM/FM Radio/Cassette
Automatic Slack Adjusters
Spinner II Auxiliary Oil Filter
Pull Cord Stop Request
Touch Tape Door Control System
Super Max Destination Sign Front & Side (Foothill only)
Two Roof Vents
STANDARD SAFETY EQUIPMENT
5 Lb. Fire Extinguisher
24 Unit First Aid Kit
3 -Piece Safety Triangle Kit
WARRANTY
As noted on the enclosed standard warranty sheet.
In response to Dennis Luppen's question on the use of recycled
engine oil, Caterpillar indicates that it is acceptable and will
not affect the warranty provided the.oil change intervals are not
changed and•:the recycled oil meets minimum specifications (to be
provided in the next few days).
I
Mr. William P. Forsythe
October 15, 1990
Pace 3
Extended component warranties are available at additional cost,
however, they must be purchased before delivery of your first
coach.
SANTA CLARITA OPTION DIFFERENCES
Same specifications as for Foothill except as noted. below:
Max Destination Sign Front & Side (in lieu of Super Max;
Particulate Trap System
Different Paint Scheme
PRICING
After reviewing the specifications and taking into consideration
the strong requests from both Foothill and Santa Clarita to reduce
prices from those quoted in the meeting ($149,000 for Foothill and
$174,000 for Santa Clarita) and also take into consideration the
potential savings from the combined purchase, Gillig is pleased to
quote the following substantially reduced pricing -
FOOTHILL SPIRITS - $144,878.00 Per Coach
Tax - 8,449.37 (Excl. Handicap Equip.)
Delivery - 1,190.00
Total - $154,517.37 Per Coach
SANTA CLARITA SPIRITS - $168,389.00 Per Coach
Tax - :9,977.59 (Excl. Handicap Equip.)
Delivery - 1,190.00
Total - $179,556.59 Per Coach
This -pricing assumes this order would be built and processed as
one order with a single contract, single contact, single inspection
service, and identical specifications except as noted above.
This quote is valid for 30 days from the date of this letter.
Payment to be made in full 15 days after acceptance (non-acceptance
requires a list of deviations within 7 days of delivery).
In response to your concerns on windshield replacement costs, we
believe that -both the aesthetics and structural integrity of the one
piece windshield (less joint surface, non-complex curvature, etc.)
outweigh the slightly higher cost; however, Gillig is willing to
guarantee the windshield replacement cost for three years. Our
current list price is $850.45, but we will reduce this for Foothill
Mr. William P. Forsythe
October 15, 1990
Pace 4
and Santa Clarita replacements only to $475.00 plus freight, and
we will not increase this, to cover inflation by, by more than 5%
per year.
DELIVERY
Your delivery requirements are very aggressive, buz we have managed
to reschedule our build and can now deliver your first coach within
180 days after receipt of your confirming order, provided we receive
that order within the next 10 days. Delivery of your 20th bus will
be made within 210 days from your order.
Furthermore, due to current industry leadtimes, this delivery
timing assumes the pre -production meeting will be held within 10
days of your confirming order.
Bill, it is our pleasure to provide you and the City of Santa
Clarita with this quote, and we look forward to selling you our
reliable and cost effective SPIRITS in the near future. If you
have any questions, please call me' or Gary or our Sales
Engineering Coordinator, Eiji (pronounced A.G.) Kinoshita. We
would also appreciate your help in expediting the process so we
can achieve the delivery we promised. ,
Very truly yours,
GILLIG CORPORATION
Brian Macleod
Vice President
BM:gs
cc: Wil Reich, Manager Transit Sales
Gary Willms, Manager Transit Marketing
Ken Robinson,. Sales Engineering Manager
Eiji Kinoshita, Sales Engineering Coordinator
Larry Vessels, Plant Manager, Hillsboro
Charles Cowie, Project Manager, Hillsboro