Title
Dept/ Agency: Administration/ Division of Central Purchasing
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Type of Service: Cooperative Purchasing Agreement
Purpose: To authorize Membership with Sourcewell, a National Purchasing Cooperative and enter into a Lease Purchase with NCL - National Cooperative Leasing for (150) Ford Interceptor Hybrid vehicles for the Department of Public Safety, Division of Police through Sourcewell Contract #011620-NCL.
Entity Name: Sourcewell and Lease Servicing Center, Inc., d/b/a NCL Government Capital
Entity Address: 202 12th Street Northeast, P.O. Box 219, Staples, Minnesota 56479 and 220 22nd Avenue E., Suite 106, Alexandria, Minnesota 56308
Contract Amount: Not to exceed of $11,362,060.46
Funding Source: 2022 Budget/Department of Public Safety, Division of Police/011-200-2001-71890 B2022
Contract Period: Commencing on April 20, 2022 for a five (5) year lease
Contract Basis: ( ) Bid ( ) State Vendor ( ) Prof. Ser. ( ) EUS
( ) Fair & Open ( ) No Reportable Contributions ( ) RFP ( ) RFQ
( ) Private Sale ( ) Grant ( ) Sub-recipient (X) N/A
Additional Information:
The purchase of these vehicles and equipment will be submitted under separate cover as Legistar File ID # 22-0592), prior to the adoption of this Resolution authorizing financing.
The vehicles and equipment are being purchased through the use of multiple State Contracts.
This contract is in the amount of $2,272,412.09 per year for a total contract amount not to exceed $11,362,060.46.
body
WHEREAS, the City of Newark, in furtherance of its goals to search for lower costs, greater efficiency and improved product quality, wishes to enter into a membership with Sourcewell, a National Purchasing Cooperative, and to enter into a Leasing Contract with vendor NCL - National Cooperative Leasing through Contract #011620-NCL to lease One Hundred Fifty (150) Ford Interceptor Hybrid vehicles for the Department of Public Safety, Division of Police; and
WHEREAS, cooperative purchasing is an inclusive term used to describe all purchasing systems where two (2) or more local contracting units join together for the provision or performance of goods or services as provided for by the Local Public Contracts Law, N.J.S.A. 40A:11-1et seq.; and
WHEREAS, the purchase of goods or services by two (2) or more contracting units increases proportionate saving in costs gained by an increased level of production; and
WHEREAS, the City of Newark, a sub-political body of the State of New Jersey, is permitted to join National Cooperative Purchasing Programs, pursuant to N.J.S.A. 52:34-6.2(b)(3); and
WHEREAS, N.J.S.A. 40A:11-10(a)(1)) authorizes two (2) or more contracting units to establish a Cooperative Pricing System and to enter into a Cooperative Pricing Agreement for its administration; and
WHEREAS, Sourcewell, a nationally recognized and accepted cooperative purchasing organization, maintains Local Cooperative Contracts, which are competitively awarded through which members can make purchases; and
WHEREAS, Sourcewell was created for the purpose of utilizing a competitive bidding process to make the procurement process more efficient and provide cost savings to its members; and
WHEREAS, NCL - National Cooperative Leasing, a Sourcewell awarded vendor for Contract #011620 - NCL, has offered the City of Newark the opportunity to participate in the Cooperative Purchasing System and enter into a five (5) year leasing contract of One Hundred Fifty (150) Ford Interceptor Hybrid vehicles, including up fitting of each vehicle with computers, cameras and lights and sirens at a cost not to exceed Two Million Two Hundred Seventy-Two Thousand, Four Hundred Twelve Dollars and Nine Cents ($2,272,412.09) per year for a total of Eleven Million Three Hundred Sixty-Two Thousand Sixty Dollars and Forty-Six Cents ($11,362,060.46); and
WHEREAS, the Mayor of the City of Newark and the Director of the Department of Public Safety believe it is in the best interest of the City to purchase and lease the vehicles through the Sourcewell Cooperative.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. The Mayor of the City of Newark and/or his designees, the Business Administrator and/or the Qualified Purchasing Agent, QPA, are authorized to enter into a Cooperative Pricing Agreement with Sourcewell, 202 12th Street Northeast, P.O. Box, Staples, Minnesota 56479, (Sourcewell Lease Servicing Center Inc., d/b/a National Cooperative Leasing 220 22nd Avenue E, Suite 106, Alexandria, Minnesota 56308.
2. The Mayor of the City of Newark and/or his designees, the Business Administrator and/or the Qualified Purchasing Agent, QPA are authorized to utilize National Cooperative Leasing Purchasing Program to enter into an Equipment Lease Purchase Agreement with NCL - National Cooperative Leasing, a Sourcewell awarded vendor, Contract #011620-NCL to lease One Hundred and Fifty (150) Ford Interceptor Hybrid vehicles, with cameras, computers, lights and sirens for the Department of Public Safety, Division of Police for five (5) years. The first annual lease payment of Two Million Two Hundred Seventy-Two Thousand, Four Hundred Twelve Dollars and Nine Cents ($2,272,412.09) is due on March 1, 2023, and the final lease payment due March 1, 2027, for a total lease amount of Eleven Million Three Hundred Sixty-Two Thousand Sixty Dollars and Forty-Six Cents ($11,362,060.46).
3. The Division of Central Purchasing through the Qualified Purchasing Agent, QPA, shall ensure that the goods and/or services procured through the system comply with applicable laws of the State of New Jersey, Local Public Contracts Law, N.J.S.A. 40A:11-1et seq. and all other provisions of the revised statutes of the State of New Jersey.
4. Pursuant to N.J.A.C. 30:5-5(d)2, this purchase is subject to annual availability and appropriate of funding for each corresponding budget year that the annual payment is due.
5. As required by State Law, the City Clerk shall provide the appropriate Notice of Award of this contract to the State Comptroller, no later than twenty (20) business days following such award in accordance with N.J.S.A. 52:15C-10 and the Notice of the Office of the State Comptroller dated May 7, 2008.
STATEMENT
This Resolution authorizes the Mayor of the City of Newark and/or his designees, the Qualified Purchasing Agent, QPA and/or the Business Administrator to join the Sourcewell National Purchasing Cooperative and to utilize the Cooperative’s publicly bid and awarded contract to NCL - National Cooperative Leasing Purchasing Program to allow the City of Newark to enter into and execute a five (5) year lease purchase agreement with vendor, NCL - National Cooperative Leasing, through Contract #011620 - NCL to lease (150) Ford Interceptor Hybrid vehicles for the Department of Public Safety, Division of Police, at a cost not to exceed $2,272,412.09 per year, for a total lease amount not to exceed $11,362,060.46.