Report Prepared by: Cosmo Ordunez, Public Works Manager-Internal Services
Title
SUBJECT: Approval to Award Bid to Ferro Automotive Group for the Purchase of Twelve (12) 2026 or Newer Chevrolet Pickup Trucks - Including Three (3) Chevrolet Colorado 2WD Crew Cab LT, Five (5) Chevrolet Silverado 2500HD Work Trucks, and Four (4) Chevrolet Silverado EV e4WD Work Trucks - for a Total Cost of $627,128.61 for the Facilities, Refuse, Streets, Storm Drains, Wastewater Treatment Plant, Street Maintenance, Tree Divisions, and Merced Police Department
REPORT IN BRIEF
Considers awarding the bid to Ferro Automotive Group for the purchase of twelve (12) 2026 or newer Chevrolet pickup trucks serving the Facilities, Refuse, Streets, Storm Drains, Park Maintenance, Street Maintenance, Tree, Wastewater Treatment Plant Divisions, and Merced Police Department (MPD), consisting of three (3) Chevrolet Colorado 2WD Crew Cab LT units, five (5) Chevrolet Silverado 2500HD Work Trucks (two 4WD Crew Cab and three 2WD Regular Cab), and four (4) Chevrolet Silverado EV e4WD Crew Cab Standard Range Work Trucks, for a total bid amount of $627,128.61.
RECOMMENDATION
City Council - Adopt a motion:
A. Awarding the bid to Ferro Automotive Group for the purchase of twelve (12) 2026 or newer Chevrolet pickup trucks for the Facilities, Refuse, Streets, Storm Drains, Park Maintenance, Street Maintenance, Tree, Wastewater Treatment Plant Divisions, and Merced Police Department, as follows:
• Three (3) Chevrolet Colorado 2WD Crew Cab LT units at $43,303.06 each;
• Two (2) Chevrolet Silverado 2500HD 4WD Crew Cab 153” Work Truck 8.2’ Box units at $58,462.56 each;
• Three (3) Chevrolet Silverado 2500HD 2WD Regular Cab 142” Work Truck 8.2’ Box at $54,905.61 each;
• Four (4) Chevrolet Silverado EV e4WD Crew Cab Standard Range Work Trucks at $53,894.37 each;
• For a combined total of $627,128.61; and,
B. Authorizing the City Buyer to issue the Purchase Order(s), and approval of change orders not to exceed 10% of the total purchase price; and,
C. Authorizing the City Manager to execute the necessary documents.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Deny; or,
3. Refer to staff for reconsideration of specific items (specific items to be addressed in the motion); or,
4. Continue to a future meeting (date and time to be specified in the motion).
AUTHORITY
Charter of the City of Merced, Article XI, Section 1111-Competitive bidding, and Merced Municipal Code (MMC) Chapter 3.04, Article III - the purchase of materials, supplies, equipment, and contractual services of an estimated value greater than forty-one thousand dollars ($41,000.00), the "contract threshold," shall be made by the purchasing supervisor by written contract with the lowest responsible bidder.
CITY COUNCIL PRIORITIES
As provided for in the FY 26/27 Adopted Budget.
Vehicle Assignment Summary
The twelve (12) vehicles are assigned across divisions as new acquisitions or replacement units as follows:
|
Division |
Vehicle Type |
Purpose |
Unit(s) Being Replaced |
|
Facilities |
Chevrolet Colorado (Summit White) (x1) |
New Acquisition |
- |
|
Park Maintenance |
Chevrolet Silverado 2500HD 4WD Crew Cab (x1) |
New Acquisition |
- |
|
Storm Drains |
Chevrolet Silverado EV e4WD Work Truck (x1) |
New Acquisition |
- |
|
Streets / Street Maintenance |
Chevrolet Silverado 2500HD 2WD Work Truck (x1) |
New Acquisition |
- |
|
Refuse |
Chevrolet Silverado EV e4WD Work Truck (×2) |
Replacement |
E-1370, E-1436 |
|
Tree Division |
Chevrolet Silverado 2500HD 4WD Crew Cab Work Truck (×1) |
Replacement |
R-1421 |
|
Tree Division |
Chevrolet Silverado 2500HD 2WD Work Truck (x1) |
Replacement |
R-1128 |
|
Tree Division |
Chevrolet Silverado 2500HD 2WD Work Truck (x1) |
Replacement |
E-1361 |
|
Wastewater Treatment Plant |
Chevrolet Silverado EV e4WD Work Truck (×1) |
Replacement |
E-1357 |
|
Merced Police Department |
Chevrolet Colorado 2WD Crew Cab LT (Grey) (×2) |
Replacement |
P-1265, P-1317 |
DISCUSSION
The City of Merced Fleet Division regularly evaluates its vehicle inventory to ensure all divisions maintain safe, reliable, and operationally efficient equipment. This purchase addresses three (3) distinct fleet needs: (1) new acquisitions to expand capacity for the Facilities, Park Maintenance, Storm Drains, and Street Maintenance Divisions; (2) replacement of aging or end-of-life units across the Refuse, Tree, and Wastewater Treatment Plant Divisions and the Merced Police Department; (3) supports the City’s ongoing compliance with California Air Resources Board (CARB) Advanced Clean Fleets (ACF) regulations requiring the transition of public agency fleets to zero-emission vehicles (ZEVs).
A formal Request for Bids (RFB) was issued and publicly noticed, and the bid opening was confirmed on September 29, 2026. One responsive bid was received from Ferro Automotive Group LLC. Staff reviewed the bid and determined it to be responsive and responsible. Award to Ferro Automotive Group LLC is recommended as the sole responsive bidder.
The vehicles being replaced have exceeded their useful service life, and their continued operation results in increased maintenance costs and reduced reliability. Replacing these units with new 2026 or newer model-year vehicles ensures greater reliability in the field. These older vehicles often experience increased downtime, impacting operational coverage and response times. The new units, equipped with modern technology and improved safety features, enhance staff safety and effectiveness.
The four (4) Chevrolet Silverado EV e4WD Work Trucks serve a dual purpose: replacing aging internal combustion engine (ICE) vehicles in the Refuse and Wastewater Treatment Plant Divisions while simultaneously advancing the City’s CARB ACF compliance. As CARB’s ZEV procurement percentage requirement increases annually, each EV acquisition made today reduces the burden of future compliance cycles and builds familiarity with EV operations and charging infrastructure management.
New acquisitions for the Facilities, Park Maintenance, Storm Drains, and Street Maintenance Divisions expand the fleet, allowing for increased operational presence, faster response times, and greater flexibility in deploying resources. This expansion also provides a buffer for vehicles undergoing maintenance, ensuring consistent coverage and minimizing disruptions to division operations.
IMPACT ON CITY RESOURCES
These vehicles were approved in the FY 2026/27 adopted budget under Fund 7006-Vehicle Replacement projects; no additional appropriation is needed.
ATTACHMENTS
1. Ferro Automotive Group LLC. Bid - Requisition No. 09292026
2. RFB Notification - Chevy Colorado & Silverado Pickup Trucks
3. Bid Opening Confirmation Email - September 29, 2026