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Non-Revenue Support Vehicles
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DESCRIPTION: To amend Board Resolution 22-009
AGENDA NO: Click or tap here to enter text.
ACTION REQUEST:
? Approval ? Review Comment ? Information Only ? Other
RECOMMENDATION:
recommendation
To authorize an amendment and ratify the procurement of hybrid support fleet vehicles from Courtesy Ford under an amended contract with the City of Alexandria instead of the State of Louisiana.
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ISSUE/BACKGROUND:
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On February 22nd, 2022, the Board approved Resolution 22-009 for the purchase of non-revenue support vehicles. The intent was to purchase 34 support vehicles, 25 Ford Hybrid Vehicles, and 9 Ford half-ton trucks. Due to high demand for vehicles and supply chain shortages, there is a 12-18 month backlog.
On September 1, 2022, the Agency received a letter from Courtesy Ford stating that Ford Corporation will not price protect (honor) the RTA Ford Hybrid Interceptor (non-revenue SUV) order, and the Agency would have to reissue a PO for 2023 pricing. The existing purchase order had 2022 pricing, and the dealer "thought that we would be price protected and rolled into the 2023my (model year)". Ford states the reasons are high inflation and the supply chain issues stemming from the pandemic, impacts from the war in eastern Europe, microchip shortages, unprecedented manufacturing plant downtime, and high order submission. The State does not have a current contract for 2023 model year pricing available for the hybrid Interceptors yet, and pricing will not be available until sometime in November. Courtesy Ford states that the order bank will close by 9/16/2022, if we do not hit this date there will be a 12-18 month backlog on our order.
However, the current pricing is available for the half-ton trucks, the State contract is valid, and the dealership can honor that pricing.
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DISCUSSION:
Courtesy Ford identified that they have an active contract with the City of Alexandria that the Agency can utilize to pro...
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