Proposed Resolution No. R26-176- Approve the First Amendment to the Single Source Agreement between the City and The Peterbilt Store South Florida, LLC, for Repair, Maintenance, Parts, and Warranty Services for the City's Peterbilt Trucks, increasing the annual expenditure from $100,000.00 to a total annual amount of $150,000.00.
Staff recommends approval of Proposed Resolution No. R26-176.
On October 8, 2024, the City entered into a Single Source Agreement with The Peterbilt Store South Florida, LLC, for repair and maintenance services, including replacement parts and warranty work, for the City's Peterbilt Trucks. The Vendor is the only authorized distribution source for authentic replacement parts and warranty work on Peterbilt Trucks in Palm Beach County and the surrounding area.
The Agreement has an initial term of three years (October 8, 2024 through October 8, 2027), with two optional one-year renewal terms, and an annual not-to-exceed compensation of $100,000.00, based on the Hourly Rates set forth in Exhibit "B" (Fee Schedule) and applicable parts discounts.
Public Works has determined that the current $100,000.00 annual not-to-exceed amount is insufficient to cover anticipated repair, maintenance, and warranty needs for the City's Peterbilt fleet. Staff recommends the First Amendment to the Agreement to increase the annual not-to-exceed expenditure by $50,000.00, from $100,000.00 to $150,000.00, to ensure continued access to authorized parts and service for the City's Peterbilt Trucks. This Amendment does not modify the term of the Agreement, the hourly labor rate, or any other term or condition of the Agreement.
This Amendment will ensure uninterrupted access to authorized OEM parts, warranty work, and repair services for the City's Peterbilt Trucks, supporting continued reliability and availability of City fleet vehicles and equipment.
FM - PARTS - 501-5000-590.09-82
This is a budgeted item.