Department of Public Works

Purchase of Tires, Tubes and Related Items

July 13, 2015

Department of Public Works

2

Recommendations

>Grant an exemption pursuant to PMC 4.08.049(B) where the best interest of the City are served by a direct award of a contract without competitive selection process. This contract is exempt from competitive bidding pursuant to the City Charter 1002(H), contracts with other governmental entities or their contractors for labor, material, supplies or services;

>Contract will have option of three, one-year terms, renewable at discretion of City Manager, which may be increased by CPI, for total contract length of five years

Department of Public Works

3

Background

• $275,000 spent on tires annually

• Historically, Parkhouse Tires, Inc. has been the only vendor able to supply all needed tires

• Purchases have been made using an open PO

Department of Public Works

4

Background

34%

40%

22%

4%

Total Tires Purchased in FY 2015

Passenger Light Truck

Medium/Heavy Duty Industrial

Department of Public Works

5

Current Contract

City of Burbank Contract• Issued request for quotation August 2014

> Four quotes received Parkhouse Tires Best Buy Tires GCR Tire Center (non-responsive) Green’s OK Tire (non-responsive)

>Parkhouse Tires was issued PO September 2014

Department of Public Works

6

More Slides

Department of Public Works

7

Tire Price Comparison

Local Pasadena Tire Vendors

Light Truck Parkhouse Tire Just Tires America’s Tires

225/75R16 $111.53 $165.22 $156.00

245/75R16 $110.11 $188.66 $162.00

245/70R17 $103.35 $218.99 $168.00

245/75R17 $121.12 $217.49 $169.00

Average Price $111.53 $197.59 $163.75

Total Cost $53,199 $94,250 $78,109

Amount Over Parkhouse Tire $41,052 $24,910

Most Commonly Purchased Tires – Light Truck (40% overall)