191237

Ordinance

Amend contract with PTG Oregon LLC, dba Premier Truck Group of Portland for the purchase of vehicles to extend term and increase not to exceed amount by $40 million (amend Contract 31002162)

Passed

The City of Portland ordains:

Section 1.  The Council finds:

  1. The Division of Asset Management CityFleet seeks Council’s authorization to amend participating agreement no. 31002162 with PTG Oregon, LLC dba Premier Truck Group of Portland to allow for purchase of Freightliner and Western Star Brand vehicles.
     
  2. CityFleet is responsible for the maintenance and replacement of all City-owned vehicles in order to provide for timely and efficient fulfillment of City employees work related transportation needs. When vehicles “age out” they must be replaced in a timely fashion in order to minimize additional maintenance and repair costs for the aging vehicles.
     
  3. In accordance with City Code 5.33.140 the City may participate in Cooperative Procurements to establish contracts for the acquisition of goods or services. The State of Oregon Department of Administrative Services (DAS) issued competitive solicitations which resulted in agreements for vehicle purchases. These agreements allow municipalities and other governmental agencies to utilize the agreements for cooperative procurements. Funds for vehicle purchases as identified herein are available in the CityFleet capital equipment reserve and vehicle replacement reserve fund.
     
  4. Ordinance no. 190500, approved July 21, 2021, authorized CityFleet to utilize a DAS agreement for vehicle purchases to award an agreement to McCoy Freightliner in the amount of $10,000,000.
     
  5. DAS approved the assignment of its agreement with McCoy Freightliner to PTG Oregon LLC, dba Premier Truck Group of Portland. Due to the assignment CityFleet awarded the contract to PTG Oregon LLC, dba Premier Truck Group of Portland.
     
  6. Amendment 1, dated January 1, 2022, clarified the agreement was for a total not to exceed value of $10,000,000.
     
  7. CityFleet desires to extend the agreement an additional five years through April 30, 2028 and increase the contract amount by $40,000,000 for a total not to exceed contract value of $50,000,000, which is included in the FY2023-24 CityFleet Vehicle and Equipment Replacement budget.
     
  8. The Office of Management and Finance/Fleet recommends that an amendment with PTG Oregon LLC, dba Premier Truck Group of Portland be approved for a total contract value not to exceed $50,000,000.

NOW, THEREFORE, the Council directs:

  1. The Chief Procurement Officer or designee is authorized to execute an amendment to contract 31002162 with PTG Oregon LLC, dba Premier Truck Group of Portland to increase the not to exceed amount by $40,000,000 for a new total contract value not to exceed amount $50,000,000 provided the amendment is approved as to form by the City Attorney’s Office.
  2. The Mayor and City Auditor are hereby authorized to execute payments to PTG Oregon LLC, dba Premier Truck Group of Portland when demand is presented and approved by the proper authorities.

An ordinance when passed by the Council shall be signed by the Auditor. It shall be carefully filed and preserved in the custody of the Auditor (City Charter Chapter 2 Article 1 Section 2-122)

Passed by Council

Auditor of the City of Portland
Simone Rede

Impact Statement

Purpose of Proposed Legislation and Background Information

CityFleet is responsible for the maintenance and replacement of all City-owned vehicles in order to provide for timely and efficient fulfillment of City employees work related transportation needs. When vehicles “age out” they must be replaced in a timely fashion in order to minimize additional maintenance and repair costs for the aging vehicles.

Financial and Budgetary Impacts

Appropriation for the purchase of City vehicles on this contract exists in the CityFleet capital equipment reserve, vehicle replacement reserve fund and future years replacement rates charged to bureaus in the interagency agreements.

Community Impacts and Community Involvement

None.

100% Renewable Goal

Not applicable. 

Budget Office Financial Impact Analysis

Ordinance no. 190500, approved July 21, 2021, authorized CityFleet to utilize an Oregon Department of Administrative Services agreement for vehicle purchases to award an agreement to McCoy Freightliner in the amount of $10,000,000. This ordinance extends the agreement an additional five years, and increases the contract amount by $40,000,000 for a total not to exceed contract value of $50,000,000, which is included in the FY 2023-24 CityFleet Vehicle and Equipment Replacement budget. Purchase of City vehicles on this contract exists in the CityFleet capital equipment reserve, vehicle replacement reserve fund and future years replacement rates charged to bureaus in the interagency agreements. 

Document History

Item 265 Regular Agenda in April 5, 2023 Council Agenda

City Council

Passed to second reading

Passed to second reading April 12, 2023 at 9:30 a.m.

Item 288 Regular Agenda in April 12, 2023 Council Agenda

City Council

Passed

  • Commissioner Dan Ryan Yea
  • Commissioner Rene Gonzalez Yea
  • Commissioner Mingus Mapps Yea
  • Commissioner Carmen Rubio Absent
  • Mayor Ted Wheeler Yea

Introduced by

Contact

Alan Bates

Supervisor II - Business Operations

Requested Agenda Type

Regular

Date and Time Information

Requested Council Date