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For over 30 years, the DGS has competitively bid and made vehicle contracts available to California governmental entities helping to meet their vehicle fleet needs. These vehicle contracts leverage pricing based upon California government business volume enhanced by manufacturer and dealer incentive programs provided to government. These contracts provide a broad spectrum of vehicles at an 8 to 12 percent cost savings over volume commercial fleet pricing (based upon KBB dealer invoice pricing). Generally, contract ordering begins in October and extends through the following March to June timeframe of the Model Year, depending upon manufacturer production schedules. The contracts provide for a 30-day notice of production cutoff dates.
The State of California vehicle contracts are available to any California Governmental entity defined by the California Government Code section 10298, including; state agencies, county and city governments, K-12 education, special districts, colleges and universities. Customer agencies order directly from the contract dealer; an additional copy of the order goes to the California Department of General Services (DGS) Procurement Division.
DGS charges a administrative fee for use of the contracts. The fee is minimal compared to the time spent and costs agencies would otherwise incur during the specification development, negotiation and the bid process.
Contract notifications include contract terms, dealer contact information, and vehicle specifications. Customer agencies should contact the dealer(s) for help with model changes and pricing on options or deletions. All purchase orders must be complete, with all options, deletions, prices, colors, FOB points, etc. indicated, before submittal to the dealer. Per the contract ordering procedures, all state and local agencies must submit a copy of purchase orders to Department of General Services, Procurement Division, Master Contracts.
We will post official ordering cut-off dates as the manufacturers make them available to us. Please submit orders as early as possible; dealers have the option of offering to roll-over contract pricing to the next model year after the manufacturer's order cut-off date but they are not required to do so. Orders may be sent to the dealer either by mail or by fax. If you fax an order in, please do not mail the hard copy or a duplicate order may be issued. |
