After more than two decades of purchasing city vehicles, parts and repairs from Naples-based Tamiami Ford through a county contract, city of Naples put the work out to bid and awarded a $7.5 million contract to Sam Galloway Ford of Fort Myers.
Naples City Council on Dec. 10 unanimously approved the three-year contract for 31 fleet-vehicle purchases, repairs and parts, with two one-year renewal options. Expenditures this fiscal year are projected at $2.3 million, including about $200,000 for maintenance, repairs and parts. Annual purchases had averaged about $2.1 million.
Sam Galloway Ford and Tamiami Ford were the only bidders after the city notified more than 360 vendors, including 25 city vendors. The city opted to continue using Tamiami Ford for repairs and parts on existing vehicles.
“They’ve proven to be very, very good in that area,” City Manager Gary Young told Council, calling the decision a stopgap while the city evaluates Galloway’s performance on repairs and parts. “It’s going to be a blend. … It really will come down to the performance of Galloway.”
According to the selection committee’s analysis, Galloway offered a 3.415% discount off the total dealer invoice, compared with 1.85% from Tamiami Ford. Galloway’s labor rate was $150 per hour, compared with $180 to $200 for Tamiami. Tamiami offered a slightly higher parts discount, at 20%, compared with 18% for Galloway.
The city has historically piggybacked on Collier County’s fleet-vehicle, parts and repair contract, as has Collier County Public Schools. Galloway recently won the county contract over Tamiami Ford.
Naples City Council member Beth Petrunoff praises staff for seeking competitive bids before approving a new fleet-vehicle contract, emphasizing taxpayer savings and transparency.
Naples government
Council member Beth Petrunoff, who has advocated for competitive bidding rather than piggybacking contracts, praised staff for seeking bids to ensure the city received the best pricing.
“This is exactly what I want to have happen, for us to get these bids out, may the best person and company win, and this demonstrated it,” Petrunoff said before the vote. “We went above and beyond to allow this process to take place and Sam Galloway prevailed.”
She noted Tamiami Ford was not being cut from city business and encouraged the dealership to “sharpen their pencils” for the next bid.
Young explained that when Galloway won the county contract, Collier County Public Schools chose to renew its agreement with Tamiami Ford. As Naples moved forward with its own bid, Young authorized the city to piggyback on the schools contract for repairs and parts. He then formed a selection committee that included representatives from police, fire, public works, community services and finance, and he attended the scoring process.
“It is appropriate to award it to Sam Galloway Ford … from a public responsibility and cost perspective,” Young said, noting the city retained Tamiami Ford for servicing existing vehicles. “We’re not saying Tamiami may never not have another purchase. What we’re saying is the bids that came in, came in consistent with Collier County.”
Council member Berne Barton raised concerns about transporting vehicles to Fort Myers for repairs, but Young said Galloway will handle transportation. Council member Bill Kramer questioned whether ending a 20-year relationship was worth the savings.
“There’s a lot of hurt feelings on that side, that’s for darn sure,” Kramer said.
Young said staff sought to preserve the relationship with Tamiami Ford by issuing a separate request for proposals to continue working with the dealership. Council expanded that contract for service and parts in October.
“That was why we went through those steps,” Young said. “… Their relationship is valued.”