Title
Cooperative Purchase Contract: Fleet Parts and Inventory Program Services [Published for 10-Day Review 11/05/2025]
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FileID
File ID: 2025-01679
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Location
Location: Citywide
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Recommendation
Recommendation: Pass a Motion: 1) approving the use of the Sourcewell cooperative purchase contract 090624-GPC with Genuine Parts Company, doing business as NAPA Integrated Business Solutions (NAPA) for on-site fleet parts and inventory management services; and 2) authorizing the Interim City Manager or designee to: a) execute a contract with NAPA implementing the Sourcewell purchase contract in an amount not to exceed $40 million through December 28, 2030, or until the cooperative purchase agreement is no longer available; and b) execute the purchases specified above provided that sufficient funds are available in the budget adopted for the applicable fiscal year.
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Contact
Contact: Stacey Chatman, Program Specialist, (916) 808-6711, schatman@cityofsacramento.org; Alison Kerstetter, Fleet Manager, (916) 808-1163, akerstetter@cityofsacramento.org; Department of Public Works
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Presenter
Presenter: None
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Attachments
Attachments:
1-Description/Analysis
2-City Contract PRC003850 with Sourcewell 090624-GPC
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Description/Analysis
IssueDetail
The Department of Public Works, Fleet Management Division, requires ongoing parts supply and inventory management to service and repair the City’s fleet. NAPA provides comprehensive on-site parts and inventory management services, including the ability to purchase parts outside their inventory for heavy-duty and specialty equipment. This action is to enter into a new contract with NAPA for the next five years.
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PolicyConsiderations
Policy Considerations: The recommendations in this report are in accordance with Sacramento Code Chapter 3.56 which requires City Council approval of actions of $250,000 or more and which provides for the use of cooperative purchase agreements without competitive bidding (Section 3.56.240) and Sacramento City Code Section 4.04.020 and Council Rules of Procedure, Chapter 7, Section E.2.d, which requires additional posting time for labor agreements and agreements greater than $1 million. This item was published for 10-day review on November 5, 2025, in compliance with City Code.
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EconomicImpacts
Economic Impacts: None.
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EnvironmentalConsiderations
Environmental Considerations: California Environmental Quality Act (CEQA): No environmental review is necessary because the recommendations in this report involve the procurement of parts and inventory management services which are not considered to be a project in accordance with Section 15378(b)(2) of the guidelines.
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Sustainability
Sustainability: Not applicable.
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Commission/Committee Action
Commission/Committee Action: None.
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RationaleforRecommendation
Rationale for Recommendation: The Department of Public Works, Fleet Management Division, oversees the service and repair of the City’s fleet, requiring parts and on-site inventory. Since November 2009, the City has contracted with NAPA for these services. NAPA provides a streamlined parts management system, giving the City access to fleet parts as needed without upfront inventory costs or financial risk of part obsolescence. NAPA's extensive vendor relationships and buying power increase part availability and reduce costs. Contracting with NAPA allows the City to quickly procure hard-to-source parts.
To maximize cost savings and staff resources, many government agencies use cooperative purchasing. This method increases pricing competitiveness and lowers capital costs through volume buying. The Sourcewell cooperative purchase contract saves staff time in the bidding process and offers competitive pricing. The City uses both regional and national cooperative purchase agreements to complement its own contracting initiatives, enabling departments to evaluate a broader range of opportunities and share resources with other jurisdictions. This approach leverages internal and external resources to maximize cost savings for the City.
This action does not obligate the City to purchase all applicable parts and services through this cooperative contract. If other local purchasing options become available that support City Council objectives, the City may pursue those options.
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FinancialConsiderations
Financial Considerations: The recommended purchases with NAPA in a total amount not to exceed $40 million will be made from the Department of Public Works, Fleet Management operating budget (Fleet Fund, Fund 6501). The recommended contract amount reflects historical spending over the last five years and provides the anticipated amount to be expended over the contract period.
Sufficient funds are available in the Public Works Department’s Fiscal Year (FY) 2025/26 Approved Operating Budget to make purchases through June 30, 2026. Purchases made after June 30, 2026, are subject to funding availability in the adopted budget of the applicable fiscal year.
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LocalBusinessEnterprise
Local Business Enterprise (LBE): NAPA is not an LBE; however, whenever possible, parts are sourced from local businesses in the Sacramento area. The minimum LBE participation requirement is waived for the City’s use of cooperative purchase agreements that have been competitively bid, evaluated, and awarded by other governmental agencies that may or may not have similar LBE programs.
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