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Committee approves sending multiple procurement amendments to full board, flags oversight where contracts approach 10M threshold

San Francisco City and County Board of Supervisors Budget and Finance Committee · December 3, 2008
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Summary

The committee forwarded amended contract actions for bus tires, fuel backup and airport rental-car leases to the full board, and pressed OCA and the Controller's Office on competitive-bidding timing and oversight for contracts near the $10 million threshold.

Several procurement and contract matters were before the Budget & Finance Committee, which recommended forwarding the items to the full Board of Supervisors with technical amendments and fiscal oversight notes.

OCA presented a fourth amendment to a bus-tire contract with Firestone Bridgestone to increase the not-to-exceed authorization to approximately $11,010,000 and extend the term to allow completion of a bid process. Budget staff recommended reducing the request modestly to account for contingency; supervisors pressed staff on recurring contract extensions and urged earlier competitive bidding to avoid circumvention of board review thresholds.

On fuel procurement, OCA requested an increase in backup fuel authority for Golden Gate Petroleum, citing supply shortfalls and volatile market prices. Staff described the indexing and per-gallon markups used in vendor contracts and recommended approval with a contingency; supervisors asked for clearer price‑benchmark disclosures.

At the airport item, staff presented five new rental-car leases (representing nine brands) that increase first-year rent revenue by about $9.7 million; the leases include an incentive for hybrid/clean vehicles ($15 rebate per contract) and a fleet rebate when a percentage of vehicles are clean. The committee asked about bid fairness and indicated all bidders were aware of the green clause; the item was sent to the full board.

Throughout these items supervisors and the Controller's Office emphasized transparency and coordination between OCA, departments and the Controller when contract values approach the $10 million charter threshold.