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NWMC Directors Briefing and Suburban Purchasing Cooperative-September 20, 2021

Join Evanston, Glenview, Lincolnshire and Wilmette at the NWMC Fall

Auction!


The NWMC fall auction will be held on Tuesday, October 19 at noon at America's Auto Auction, 14001 S. Karlov Avenue in Crestwood. Thank you to Evanston, Glenview, Homewood, Lincolnshire and Wilmette for sending vehicles to the last live auction of the year as we encourage members to turn old inventory into revenue! America's AA offers a wide variety of convenient services to prep your vehicles and garner the highest possible price.


Please note that vehicles and equipment can be listed for disposal at the NWMC auction right up to the morning of the auction day. Sell them now to get a fresh start and please keep in

mind that a portion of the proceeds help support the operations of the organization.


If you can't make the October auction, America's Auto Auction hosts online sales on par with other government surplus Internet auctions. For questions or additional information, please contact staff or Berry Ellis, berry.ellis@americasautoauction.com or 312-371-5993.


SPC 2022 Vehicle Forecast is Challenging


While we don't have a crystal ball, the Suburban Purchasing Cooperative (SPC) has been advised by our vehicle program vendors that production of new vehicles is a major challenge for

auto makers and may result in inventory shortages and higher prices. The widely reported chip shortage is just one of several supply-chain issues.


  • Hurricane Ida, which destroyed hundreds of thousands of vehicles, rising steel prices (up 30.1% in the last 12 months) and other market pressures are likely to negatively affect vehicle production, availability and costs. Automakers worldwide have been forced to curtail production due to the chip shortfall, with General Motors saying that it expects the situation to worsen this year before improving in 2022.


  • In addition, Ford and GM plant closures will directly impact SPC vehicle offerings. As previously reported, General Motors has cancelled 2022 production of the Chevy Tahoe (SPC Contract #185) and Chevy Silverado (Contract #186).


  • Ford will not produce the Transit Full Size Van (Contract #150) until at least summer, 2022. Stellantis, formerly Fiat Chrysler, shut down its Ram truck assembly plant and their small-SUV and minivan plants are also temporarily closed, affecting production of the Dodge Durango (Contract #201) and Dodge Ram 1500 SSV Crew Cab (Contract #202).


It is likely that many vehicle contracts that normally would have been approved for routine

contract extensions will need to be rebid. Staff will continue to monitor the situation and provide updates as necessary. For questions or additional information, please contact NWMC Purchasing Director Ellen Dayan, edayan@nwmc-cog.org or 847-296-9200, ext. 132.

NWMC DIRECTOR'S BRIEFING (1)
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