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TO: |
Board of Trustees |
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THROUGH: |
Jay Fox, Executive Director |
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FROM: |
Viola Miller, Chief Finance Officer |
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PRESENTER(S): |
Todd Mills, Director of Supply Chain |
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TITLE:
title
R2023-07-08 - Resolution Granting Expenditure and Disbursement Authority for 2023 Parts Inventory Purchases and Ratifying Certain 2022 Parts Inventory Purchases and Disbursements
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AGENDA ITEM TYPE:
Resolution
RECOMMENDATION:
Approve Resolution R2023-07-08 authorizing 2023 purchases and related disbursements to inventory vendors up to the amounts listed in Exhibit A, and ratifing the 2022 disbursements that exceeded forecasted amounts in R2022-04-02 as shown in Exhibit B.
BACKGROUND:
Board Policy 2.2 (III)(D)(3) allows the Board to preapprove purchases to vendors by resolution.
Annually the Board, by resolution, preapproves inventory purchases from non-contracted vendors related to vehicle maintenance & repair inventory whose annual cumulative purchase amount is expected to exceed $200,000.
DISCUSSION:
The list of 2023 vendors and their respective annual purchase amounts are in Exhibit A of this resolution to receive Board approval. These vendors were identified because UTA did business with their companies in 2022 that exceeded $200,000 and will most likely have similar transactions in 2023.
This resolution provides sufficient purchasing authority and transparency and allows the Authority to purchase from these vendors on a timely basis to maintain revenue fleet readiness for our riders.
2022 actual expenses, including amounts that exceeded the Board’s disbursement authorization in R2022-04-02 are listed in Exhibit B of this resolution.
Going forward, the Board authorized amounts in Exhibit A will be entered into JD Edwards for each vendor with an automatic notification alert sent to the Director of Supply Chain if the cumulative non-contracted amount approaches within 10% of the approved amount. When this notification is received the Director of Supply Chain will return to the Board of Trustees with any vendors and expected amounts that will exceed the forecasted amount in Exhibit A.
ALTERNATIVES:
UTA procurement could hold any purchases to vendors with annual purchase amounts over $200,000 to a subsequent Board meeting for an approval, thus delaying timely purchases from vendors and potential impact to operations service.
FISCAL IMPACT:
All authorized disbursements will be accounted for in UTA’s adopted Operating and Capital Budgets.
ATTACHMENTS:
R2023-07-08