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HomeMy WebLinkAboutContract 42139 4YAMAHA Golf-Car Company CITY SECRETARY i CONTRACT NO. SERVICE PROVIDED TO THE CITY OF FT. WORTH GOLF COURSES, TEXAS Yamaha Golf-Car Company agrees to provide service for items not covered under warranty to the fleet of golf cars and utility vehicles at the City of Ft. Worth at the rate of $65.00 per hour. This hourly rate includes on-call and after-hours service throughout the term of the four-year Conditional Sales Contract for new cars, the month-to-month rental at ZBoaz Golf Course, and the short-term/special events rental agreement for the 25 Seasonal Lease units. Each rental unit will be warranted outside of normal wear and tear by Yamaha Golf-Car Company to operate as intended (36 holes of golf on a full charge) throughout the term of its respective conditional sales or short- term/special events rental agreement. In addition, Yamaha Golf-Car Company agrees that the one-time trip charge for repairs not covered under warranty is $58.00. The one-time trip charge will be invoiced to the City of Ft. Worth when non-warranty repairs are needed outside of the regularly scheduled monthly service visit. Parts needed for service repairs will be charged to the City of Ft. Worth at Yamaha Dealer cost. "1 Yamaha Golf-Car Company Date Cty o Ft. Worth, TX Date Attested by: APPROVED AS TO iA LEGALITY. u21Marty Hendrix, itySec ° �� AT�yo. A j� N ATTORNEY 0 o OFFICIAL RECORDJJ w2 � F ci O CITY SECRETARY FT. WORTH, TX City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 8/9/2011 DATE: Tuesday, August 09, 2011 REFERENCE NO.: P-11276 LOG NAME: 13P11-0220 GOLF CARS EJH SUBJECT: Authorize Execution of a Long—Term Lease Agreement with Yamaha Motor Corporation, U.S.A., for Golf and Utility Cars and Execution of Seasonal Rental and Service Agreements with Yamaha Golf—Car Company for the Parks and Community Services Department for a Combined Total Amount of$254,000.00 for the First Year(COUNCIL DISTRICTS 2, 3, 4, and 8) RECOMMENDATION: It is recommended that the City Council authorize execution of a long—term lease Agreement with Yamaha Motor Corporation, U.S.A. for golf and utility cars and seasonal rental and service Agreements with Yamaha Golf—Car Company for the Parks and Community Services Department for a combined total amount of $254,000.00 for the first year, with payments due 30 days after the receipt of the invoices. DISCUSSION: Staff recommends a long—term lease with Yamaha Motor Corporation, U.S.A. for golf and utility cars and seasonal rental and service Agreements with Yamaha Golf—Car Company for the Parks and Community Services Department based on the low bid unit prices as listed below. Quantity and Description Monthly/Unit 48 Month Price Total Lease of 188 Golf Cars $10,682.16 $512,743.68 Lease of 60 Golf Cars with Tow Bar $3,409.20 $163,641.60 Lease of 9 Utility Cars $1,013.40 $48,643.20 Lease of 4 Full Beverage Cars $699.28 $33,565.44 Rental of 30 Golf Cars for Peak Period $1,950.00 $54,600.00* Extended Warranty If Available N/A N/A Labor During Regular Hours as Needed – Estimated 300 Hours $65.00/Hour $19,500.00 Over 48 Month Lease Period Labor Overtime Hours as Needed—Estimated 20 Hours Over 48 Month $65.00/Hour $1,300.00 Lease Period One Time Trip Charge for Repairs as Needed (Estimated 20 total one time$58.00 $1,160.00 trips) Repair Parts (Estimated Expenditures) $210.00 $10,080.00 Rental of Golf Cars for Z. Boaz (month—to—month) $3,525.00 $42,300.00** * 36 Month Total (April I thru October 31 for four years) ** 12 Month Total The Parks and Community Services Department(PACS), Municipal Golf Division will use these Agreements to lease and service golf and utility cars that will be rented to patrons and utilized by golf course staff at most of the City golf courses. A 48—month lease with sell—back option will be executed with Yamaha Motor Corporation, U.S.A. A seasonal rental agreement for additional cars to meet increased demand between April and October and a service agreement for all of the cars will be executed with Yamaha Golf—Car Company to provide seasonal vehicles, obtain repairs, maintenance, and parts not covered under the standard manufacturer's warranty. Future years costs will be approximately$211,000.00 per year. During the previous year, revenue of$1,323,751.00 was generated from golf car rental fees for the Golf Enterprise Fund. The Invitation to Bid (ITB) consisted of detailed specifications describing the minimum requirements of the golf and utility cars. PACS evaluated the bids and the demonstration golf cars submitted and concluded that Yamaha presented the lowest bid meeting the specifications of this ITB. BID ADVERTISEMENT: This bid was advertised in the Fort Worth Star—Telegram on May 25, 2011 and June 1, 2011.The Purchasing Division solicited 361 vendors from the City's purchasing database system; four bids were received. BID TABULATION: See attached bid tabulation. PRICE ANALYSIS —The unit price for the golf,beverage, and utility cars has increased by five percent from the previous unit price approved by the City Council on May 20,2008 (M&C P-10784 (Revised)). The increase in price is due to increased manufacturing costs and higher cost for shipping. Staff has reviewed prices received from the low bidder and considers them fair and reasonable. AGREEMENT TERM—Upon the City Council's approval, these agreements shall begin August 15,2011 and expire on August 14,2015. M/WBE—A waiver of the goal for M/WBE subcontracting requirements was requested by the Purchasing Division and approved by the M/WBE Office because the purchase of goods or services is from sources where subcontracting or supplier opportunities are negligible. Because of the on—going operational evaluation process related to Z. Boaz Golf Course, golf and utility cars for that course will be rented from Yamaha Golf—Car Company on a month—to—month basis using a separate Agreement. PACS will rent 55 golf cars and three utility cars for Z. Boaz for a total of$3,525.00 per month, which equates to an annual cost of$42,300.00. Because operational concerns necessitate a different approach for that course, the dollar amounts in this M&C only reflect the expense of providing cars for a single year during the evaluation process. If the decision is made to continue operating Z. Boaz, another M&C will be brought forward seeking authority for a long—term agreement for that course as well. Golf courses are classified as Citywide Special Use Facilities. Meadowbrook Golf Course is located in COUNCIL DISTRICT 4, Pecan Valley Golf Course is located in COUNCIL DISTRICT 3, Rockwood Golf Course is located in COUNCIL DISTRICT 2 and Sycamore Creek Golf Course is located in COUNCIL DISTRICT 8. FISCAL INFORMATION: The Financial Management Services Director certifies chat funds are available in the current operating budget, as appropriated, of the Municipal Golf Fund. BQN\1 1-0220\EJH FUND CENTERS: TO Fund/Account/Centers FROM Fund/Account/Centers PE39 531510 0804110 $338.36 PE39 531510 0804120 $6.704.60 PE39 531510 0804130 $349.64 PE39 531510 0804310 $225.20 PE39 531510 0804320 $3.860.03 PE39 531510 0804330 $174.82 PE39 531510 0804410 $337.80 PE39 531510 0804420 $3.626.38 PE39 531510 0804430 $174.82 PE39 531510 0804220 $934.16 PE39 531510 080451 $112.60 PE39 531510 0804420 $1,652,42 CERTIFICATIONS: Submitted for City Manager's Office by: Karen Montgomery (6222) OriginatingDepartment H Lena Ellis (8517) Additional InformationContact: Jack Dale (8357) E.J. Harbin (8356) ATTACHMENTS 1. Bid Tab 11-0220.12df 2. DEPARTMENTAL RECOMMENDATION LETTER pdf 3. PE-5ZZZZZ-080ZZZZ.12df 4. WAIVER 11-0220.12df