Submitted By
Rob Sproule, Public Works Director
Reviewed By
A.M. Zayyad, Deputy Village Manager
Agenda Item Title
Title
A Resolution Authorizing the Purchase of One 2023 Nissan Leaf S Vehicle from Zeigler Nissan of Gurnee, Illinois in an Amount Not to Exceed $24,190.26 and Waiving the Village’s Bid Process for the Purchase
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Overview
Overview
The Fiscal Year 2022/2023 Fleet Replacement Fund included the replacement of six (6) Administration vehicles, which were replaced with six (6) 2023 Nissan Leaf S Vehicles. Nissan contacted the Village with the opportunity to purchase three (3) more Leaf S Vehicles from surrounding dealers, with the Nissan Fleet rebate of $5400 per vehicle. On January 1 2023 the Village also became eligible for the Commercial Clean Vehicle Credit. This qualifies businesses and tax-exempt organizations for up to a $7500 rebate per qualified vehicle. This will bring the average price of the Leaf S to $16,500.00. The Leaf purchases will displace some of the last few ICE (Internal Combustion Engine) vehicles in our Admin Fleet.
On May 04, 2023, the Village Manager authorized the purchase of these vehicles pursuant to Section 2-6-10 of the Oak Park Village Code which allows for purchases “without formal advertising with the approval of the Village Manager, when it is in the best interest of the Village and when it is impractical to convene a meeting of the Board of Trustees.”
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Recommendation
Recommendation
Approve the Resolution.
Background
2022 and 2023 model-year vehicles are representing a unique procurement challenge. Manufacturers are facing supply chain constraints and labor shortages. This is resulting in limited availability, increased cost, and procurement confirmations outside of typical ordering timelines. In the past, the Fleet Division would typically receive notice of fleet vehicle ordering windows in the first few months of the calendar year for the existing vehicle model year with delivery expected in the summer to early fall.
With some vehicles already canceled in 2022, and 2023 presenting the same challenges, staff are constantly searching for vehicle replacements that meet or are close to Village specifications, from all avenues. Staff identifies and prioritizes vehicles for replacement based on age, condition, availability of replacement, and usage of the existing vehicles. Staff were able to find suitable vehicles for purchase in the retail marketplace.
On May 04, 2023, the Village Manager authorized the purchase of these vehicles pursuant to Section 2-6-10 of the Oak Park Village Code which allows for purchases “without formal advertising with the approval of the Village Manager, when it is in the best interest of the Village and when it is impractical to convene a meeting of the Board of Trustees.”
The new vehicles are plug-in electric powered and come with a three-year, 36,000-mile bumper-to-bumper warranty, five-year 60,000-mile Corrosion warranty, eight-year 100,000-mile Electric component warrantee, and three-year Roadside Assistance.
The current Administration vehicles being replaced are all ICE (Internal Combustion Engine) vehicles. The removal of these vehicles and the purchase of the Leaf S vehicles will further expand the Village’s green fleet and lower our total carbon footprint. The Village does explore all green options that fit the specifications/needs of Village staff, enhancing and improving their working condition, not to become a hindrance.
Each year, the Village allocates funds for the annual replacement of vehicles/equipment. The Public Works Department manages the budget for vehicles/equipment that will replace those units that have reached the end of their service life under the fleet replacement program.
The fleet vehicle replacement program intends to replace vehicles/equipment using the established criteria for replacement of fleet vehicles/equipment, including the age of vehicle/year purchased, mileage or hours, type of use (full-time, seasonal, emergency, non-emergency, etc.), consequences of downtime, maintenance history & costs, drivers’ evaluations, trade-in or resale values and indispensability of vehicle/equipment as a guide to guard against excessive maintenance costs and low resale values.
The Fleet Division’s goal is to standardize vehicle acquisitions whenever possible in support of the fleet maintenance program and to operate the Village’s fleet in a fiscally responsible manner.
The existing vehicles will be sent to Auction, repurposed, or scrapped.
The Equipment Replacement Analysis Report for the vehicles being replaced is attached.
Fiscal Impact
The purchase of one 2023 Nissan Leaf S Vehicle will cost $24,190.26.
Funding is provided in the Fiscal Year 2023 Fleet Replacement Fund Account No. 3032.43900.858.570750 for these units.
Sufficient funding is available from unused funds for canceled orders in Fiscal Year 2022. The unused funds were carried forward to the Fiscal Year 2023 budget. The $7500.00 IRS Commercial Clean Vehicle Credit rebate will be applied for, as soon as it is made available, on all vehicles that it is applicable.
Funds for necessary equipment such as cabin/workspace up fit, any emergency lighting, etc. will also come from these accounts but will be purchased separately from vendors who supply this equipment.
DEI Impact
Continuing to increase Village official vehicles with eco-friendly alternatives is not only cost-effective for fuel it promotes the overall climate wellbeing of all who inhabit the Oak Park community.
Alternatives
The Board can delay action to gain additional information.
Previous Board Action
The Village Board has annually approved the replacement of vehicles per the approved Fleet Replacement Fund Budget.
Citizen Advisory Commission Action
N/A.
Anticipated Future Actions/Commitments
The Public Works Department brings vehicle replacement requests to the Village Board annually.
Intergovernmental Cooperation Opportunities
N/A.