1220-2026-3984 NOI Fleet Lease Vehicles Buyout

Tender details

BackgroundThe City owns a portfolio of 300 + fleet vehicles for staff to provide services throughout the City. At times there is a requirement to supplement the existing fleet with additional vehicles to support seasonal activities and fluctuations in staffing levels. The City has determined that purchasing the remaining four (4) leased vehicles in the fleet is the best value for the City.Rationale for Contemplating Direct AwardIt is the intent of the City of Abbotsford to purchase the remaining four (4) leased vehicles to take over ownership as part of the existing City fleet.The City of Abbotsford has determined this for the following reasons:The buyout of the lease agreements will provide the best value to the City as the cost of purchasing new vehicles would be significantly more.The additional cost to decommission and re-commission new vehicles would not be cost effective for the City as compared to buying out the lease agreements.The vehicles being purchased are a minimum 4 years old and there would be additional costs in repairs and the end of the lease term.Agreement Value:The maximum value of the agreement to buy out the existing lease agreements for the four vehicles is expected to be $135,180.00 Cdn plus applicable taxes.