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Home My WebLink About7. MANAGERS REPORT 9/16/03 illage of Mount Prospect Mount Prospect, Illinois INTEROFFICE MEMORANDUM To: Glen Andler, Director of Public Works From: Lance C. Malina; Assistant Village of Attorney Date: September 12, 2003 Re: Withdrawal of Truck Sale Bid Prior to Bid Opening You have asked for a legal opinion regarding a bidder responding to the Village's request for truck bids. Apparently, the Iow bidder made a math error in preparing the bid and asked that he be allowed to withdraw the bid. This all occurred prior to the opening of bids and thus prior to any acceptance by the Village. It is my opinion that the bidder be allowed to withdraw the bid and the contract be awarded to the next lowest bidder. The key is that the request to withdraw came before the opening of bids. While the bid specifications did require that all bids be good for a period of 60 days, there is really no consideration that would make that requirement binding on a bidder before the opening of bids and an award. General principles of contract law provide that an offer may always be withdrawn before acceptance. Under these circumstances, the bidder should be allowed to withdraw the erroneous bid, and the award of contract proceed as if that bid had not been made. If you have any questions please feel free to call. Mount Prospect pUbliC Works Department INTEROFFICE MEMORANDUM TO: FROM: DATE: SUBJECT: VILLAGE MANAGER MICHAEL E. JANONIS VEHICLE MAINTENANCE SUPERINTENDENT SEPTEMBER 11, 2003 SEALED BID RESULTS FOR ONE 4X4 PICKUP TRUCK Backqround In the current budget, there are funds available to replace unit 4540. 4540 is a 1993 Chevrolet pickup truck used by the Public Works Department Water Division for transportation, hauling small items, supplies and equipment to job sites throughout the Village. Replacement Schedule 4540 was purchased in 1993. The vehicle/equipment replacement schedule for pickup trucks is 10 years or 50,000 miles. This vehicle meets the required years of service and mileage for replacement. 4540 has entered its 11th year of service and has logged 62,000 miles. Life Cycle Cost Analysis Life cycle cost analysis has been completed for 4540 and is attached for your review. The optimum economic replacement point for 4540 has been calculated at year 4. The modified economic replacement point for 4540 has been calculated at year 6. Other Factors The existing truck will require the following work: Remanufactured Transmission $2,250.00 Refinish Exterior $2,850.00 Total $5,100.00 Replacement Recommendation It is my recommendation that a replacement for 4540 be purchased during the 2003 budget year. Bid Results. On Tuesday, August 19, at 10:00 A.M., sealed bids for the proposed purchase of one 4X4 pickup truck were opened and read aloud. Thirty-seven invitational bids were distributed, and public notice was placed in a local newspaper as required. Fourteen bids were received. The results are as follows: Total Bid Meets CFFP* Bidder Year/Make/Model Price Delivery Requirement Northwest Ford 2004 Ford $18,937.00 45-90 days Yes Franklin Park, IL F250 4X4 Subject: Sealed Bid Results For One 4X4 Pickup Truck September 11, 2003 Page 2 of 3 Total Bid Meets CFFP* Bidder Year/Make/Model Price Delivery Requirement LeMay Buick Pontiac GMC 2004 GMC $20,600,00 30-60 days Yes Kenosha, WI Sierra 2500 4X4 Lattof Chevrolet 2004 Chevrolet $20,797.00 60 days Yes Arlington Heights, IL Silverado 2500 4X4 Bill Jacobs Chevrolet 2004 Chevrolet $20,874.00 60-90 days Yes Joliet, IL Silverado 2500 4X4 Napleton Fleet Group Oakbrook Terrace, IL 2004 Ford $20,980.00 120 days Yes F250 4X4 Bill Stasek Chevrolet 2004 Chevrolet $20,992.00 90 days Yes Wheeling, IL Silverado 2500 4X4 Spring Hill Ford 2004 Ford $20,995.00 90 days Yes East Dundee, IL F250 4X4 Green Chevrolet 2004 Chevrolet $21,254.00 90-120 days Yes Peoria, IL Silverado 2500 4X4 Standard Truck Center 2004 GMC $21,406.00 45 days Yes Chicago, IL Sierra 2500 4X4 Currie Motors 2004 Ford $21,436.00 90 days Yes Frankfurt, IL F250 4X4 Hoskins Chevrolet 2004 Chevrolet $21,656.00 95 days Yes Elk Grove Village, IL Silverado 2500 4X4 Woodfield Chevrolet 2004 Chevrolet $21,908.00 42-56 days Yes Schaumburg, IL Silverado 2500 4X4 Morrow Brothers Ford 2004 Ford $23,589.00 90 days Yes Greenfield, IL F250 4X4 Oakfield Ford 2004 Ford $25,707.00 45-75 days Yes Villa Park, IL F250 4X4 *CFFP: Clean Fuel Fleet Program All bidders met all our specifications including the vehicle being certified LEV (Low Emissions Vehicle). The LEV Certification is required to insure the Village is in full compliance with the Clean Fuel Fleet Program (CFFP) as required by the Illinois EPA. Northwest Ford made a clerical error on the bid price and withdrew their bid (See Attached Letter). Also, see attached memo from Village attorney. ubject: Sealed Bid Results For One 4X4 Pickup Truck September 11,2003 Page 3 of 3 Bid Recommendation I recommend accepting the lowest qualified bid for the proposed purchase of one 2004 GMC Sierra 2500 4X4, 8600 lb. GVWR pickup truck per our specifications, as submitted by LeMay Buick Pontiac GMC, Kenosha, Wisconsin, at a cost not to exceed $20,600.00. Funds for this proposed purchase are available in account 6707709-660115, in the amount of $31,600.00, page 302, of the current budget. Funds remaining will be used to purchase the necessary equipment to make the units completely functional. The truck being replaced will be sold at the fall 2004 Northwest Municipal Conference auction. Director of Public Works Jg Attach merits X:~Administration\BIDS\RESULTS\Pickup4X2 2003.doc al!tU jed lso3 a,,.!].elnwn3 00.0 N. Mannheim Rd. Franklin Park, IL 60131 ph 847.671.71 00 fax 847.671.0180 . NORTHWEST FORD AND STERLING TRUCK CENTER " Where commitment mahes the difference. AUGUST 22, 2003 MR. JAMES E. GUENTHER MOUNT PROSPECT PUBLIC WORKS DEPARTMENT 1'700 W. CENTRAL ROAD MOUNT PROSPECT, IL. 60056 Dear Mr. Guenther: Due to a pricing error, we will be forced to withdraw our bid for the purchase of five 2004 Ford F250's. Northwest Ford has maintained a good working relationship with the Village through our Sales, Parts, and Service departments. We hope to continue this relationship. We would like to apologize for any inconvenience. Sincerely, Mike Berger Fleet Sales illage of Mount Prospect Mount Prospect, Illinois INTEROFFICE MEMORANDUM To:¸ From: Date: Re: Glen Andler, Director of Public Works Lance C. Malina, Assistant Village of Attorne)~/'-~',-o-e~c..~ September 12, 2003 Withdrawal of Truck Sale Bid Prior to Bid Opening You have asked for a legal opinion regarding a bidder responding to the Village's request for truck bids. Apparently, the low bidder made a math error in preparing the bid and asked that he be allowed to withdra~v the bid. This all occurred prior to the opening of bids and thus prior to any acceptance by the Village. It is my opinion that the bidder be allowed to withdraw the bid and the contract be awarded to the next lowest bidder. The key is that the request to withdraw came before the opening of bids. While the bid specifications did require that all bids be good for a period of 60 days, there is really no consideration that would make that requirement binding on a bidder before the opening of bids and an award. General principles of contract law provide that an offer may always be withdrawn before acceptance. Under these circumstances, the bidder should be allowed to withdraw the erroneous bid, and the award of contract proceed as if that bid had not been made. If you have any questions please feel free to call. Mount Prospect Public Works Department INTEROFFICE MEMORANDUM TO: FROM: DATE: SUBJECT: VILLAGE MANAGER MICHAEL E. JANONIS VEHICLE MAINTENANCE SUPERINTENDENT SEPTEMBER 11, 2003 SEALED BID RESULTS FOR FIVE PICKUP TRUCKS WITH UTILITY BODIES Back,qround In the current budget, there are funds available to replace unit 2715, 4511, 4526, and 4529. All four of these trucks are 1993 Chevrolet pickup trucks with utility bodies used by the Public Work Department foreman as emergency response and service call vehicles. These vehicles are used daily by the front fine supervisors and carry the needed supplies and equipment to perform their daily duties. 2710 was scheduled for replacement in budget year 2004. However, it was involved in a vehicle accident earlier this year and has subsequently been declared a complete loss by the Village's insurance administrator. This vehicle could not be operated or repaired, Therefore, we are requesting its replacement this year. 2710 is a 1994 Chevrolet pickup truck with utility body. The water division's electrician and "Julie" Iocator uses this truck and truck contains the tools and equipment to perform his daily duties. Collectively with the funds available in the Vehicle Replacement Fund and the funds we will receive from the insurer of the private vehicle involved in the accident with this vehicle, there will be sufficient funding available. Replacement Schedule 2715, 4511, 4526, and 4529 were purchased in 1993. 2710 was purchased in 1994. The vehicle/equipment replacement schedule for this pickup truck is 10 years or 50;000 miles. 2715, 4511, 4526, and 4529 are presently in their eleventh year of service and all have logged over 58,000 miles and 6200 hours. 2710 was in its tenth year of service and had logged 85,794 miles and 8100 hours. All five vehicles meet the required years of service and mileage for replacement. Life Cycle Cost Analysis Life cycle cost analysis has been completed for each vehicle and is attached for your review. Both the optimum economic replacement point and the modified economic replacement point have been calculated for each vehicle. Vehicle Optimum Economic Year Modified Economic Year 2715 5 7 4511 4 7 4526 4 9 4529 5 10 Due to the fact that the insurance declared 2710 a total loss, a life cycle cost analysis was not done. Sealed Bid ResuIts For Five Pickup Trucks With Utility Bodies September 11, 2003 Page 2 of 3 Other Factors The role assigned to these vehicles mandates reliability. ,Replacement Recommendation It is my recommendation that five replacement vehicles be purchased this 2003 budget year. Bid Results On Tuesday, August 19, 2003, at 10:00 A.M., sealed bids for the proposed purchase of five pickup trucks with utility bodies was opened and read aloud. Thirty-seven invitational bids were distributed, and public notice was placed in a local newspaper as required. Thirteen bids were received. The results are as follows: Total Bid Total Cost For Bidder Year/Make/Model Price Each Delivery Five Trucks Hoskins Chevrolet 2004 Chevrolet $27,297.00 125 days $136,485.00 Elk Grove Village, IL Silverado 2500 LeMay Buick Pontiac GMC Kenosha, WI 2004 GMC $27,900.00 30-90 days $139,500.00 Sierra 2500 Lattof Chevrolet 2004 Chevrolet $28,440.00 120 days Arlington Heights, IL Silverado 2500 $142,200.00 Oakfield Ford 2004 Ford $28,618.00 90-150 $143,090.00 Villa Park, IL F250 Green Chevrolet 2004 Chevrolet $28,772.38 120-140 days $143,861.90 Peoria, IL Silverado 2500 Bill Stasek Chevrolet 2004 Chevrolet $28,898.00 120 days Wheeling, IL Silverado 2500 $144,490.00 Spring Hill Ford 2004 Ford $28,985.00 90-120 days $144,925.00 East Dundee, IL F250 Currie Motors 2004 Ford $29,013.00 120 days $145,065.00 Frankfurt, IL F250 Bill Jacobs 2004 Chevrolet $29,139.00 60-90 days $145,695.00 Joliet, IL Silverado C2500 Woodfield Chevrolet 2004 Chevrolet $29,455.25 90 days $147,276.25 Schaumburg, IL Silverado C2500 Standard Truck Center 2003 GMC $29,638.00 75 days $148,190.00 Chicago, IL Sierra 2500 Morrow Brothers Ford 2004 Ford $31,783.00 90 days $158,915.00 Greenfield, IL ~ F250 Northwest Ford 2004 Ford $32,434.00 60-120 days $162,170.00 Franklin Park, IL F250 ealed Bid Results For Five Pickup Trucks With Utility Bodies September 11, 2003 Page 3of 3 Ail bidders met our specifications including the vehicles being certified LEV (Low Emissions Vehicle). The LEV Certification is required to insure the Village is in full compliance with the Clean Fuel Fleet Program (CFFP) as required by the Illinois EPA. Hoskin$ Chevrolet made clerical error on the bid price and withdrew their bid (See Attached Letter). Also, see attached memo from Village attorney. Bid Recommendation I recommend accepting the lowest qualified bid for the proposed purchase of five new 2004 GMC Sierra 2500, 8600 lb. GVWR pickup trucks with utility bodies per our specifications, as submitted by LeMay Buick Pontiac GMC, Kenosha, WI, at a cost not to exceed $139,500.00. Funds for this proposed purchase are available in account 6707709-660115, page 302, of the current budget. The four units being replaced will be sold at the fall 2004 Northwest Municipal Conference auction and our insurance carrier will dispose of unit 2710. Glen R. Andler Director of Public Works Attachments X:~Ad ministration\BIDS\RESU LTS\PickupUtitityBody2003.doc ~ -~ elow .~ed 1soo e^!l~ln~no coco 0 0 0 0 0 0 alitU Jed 1soo e^Belntuno o o~o o ~ D: ~ ~ o° ~" R~h~Rqd dd d Ol!mJ~dlsooo^Relnmno AX ~- ........ August 20, 2003 James E. Guenther Mount Prospect Public Works Department 1700 W. Central Road Mt. Prospect, IL 60056-2229 Dear Mr. Guenther, On August 19, 2003 Hoskins Chevrolet Inc. submitted a bid for four (4) Chevrolet Pickup trucks with utility bodies. Due to a pricing error, it is necessary for us to withdraw our bid on these units. We apologize for any inconvenience. David Lasher 175 N. ARLINGTON HTS. RD.- P.O. BOX 175- ELK GROVE VILLAGE, ILLINOIS 60009-0175