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A Resolution accepting the recommendation of the Chief Procurement Officer, pursuant to Section 2-583 of the Procurement Code entitled, “Application of the Code” to waive the Procurement Code to lease eleven (11) 2016 FLHP Harley-Davidson motorcycles for the Coral Gables Police Department, from Peterson’s Harley-Davidson of Miami, LLC.
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The two (2) year lease agreement for the 2014 Harley-Davidson FLHP motorcycles for the Police Department’s Special Enforcement Division/Motor Unit will expire on May 1, 2016. To provide sufficient time to order the new motorcycles from the factory, Peterson’s Harley-Davidson of Miami, LLC; the only local dealership in Miami-Dade County has proposed a new lease agreement to replace the current fleet with new 2016 models at $600 per month, per motorcycle. The cost for the two (2) year lease term will be $158,400. This price reflects the first increase to the City in over five years; $125.00 increase per unit, per month for an annual cost of $6,600.
The proposed lease would be for an initial two (2) year period with an option to renew for one (1) additional two (2) year period. At the time of each renewal, the motorcycle fleet will be replaced with the newest models under the same terms and conditions as the existing lease.
This agreement provides full maintenance for regularly scheduled services as recommended by the factory. The cost for brakes, parts on clutch replacements and tires are not included in the lease; however, there is no charge for labor associated with all clutch and tire replacements and/or repairs. Physical damage as a result of vehicle accidents and other causes is not covered. The new lease agreement will also add service charge(s) for the transfer of owners’ equipment such as radars and cameras on new motorcycles.
The price increases along with some other changes being implemented by Peterson’s Harley-Davidson of Miami, LLC will be extended to all the other agencies in South Florida as their lease agreements expire. After the 2-year renewal, the lease agreement allows the dealer to increase the monthly cost per motorcycle $25.
Other agencies that may be entering into the same lease agreement, including the monthly motorcycle lease price under a two (2) year replacement schedule in South Florida are as follows: Miami, North Miami Beach, Doral, Hollywood, and Homestead.
It is recommended by the Chief Procurement Officer that the Procurement Code be waived (upon a four-fifths vote of the Commission) under Section 2-583 of the Procurement Code entitled “Application of the Code” to lease from Peterson’s Harley-Davidson of Miami, LLC, eleven (11) replacement Harley-Davidson motorcycles, as they are the only local dealership in Miami-Dade County with authority from Harley-Davidson to lease to law enforcement agencies and to provide maintenance and repair services. The Police Department concurs with the recommendation of the Chief Procurement Officer as their use of this type of motorcycle has proven to be both beneficial and convenient for maintenance and repair services to the Police Motor Unit.