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3.8. SR 09-20-2004 *Item 3.8.* MEMORANDUM TO: Mayor and City Council FROM: Lori Johnson, Finance Director DATE: September 20, 2004 SUBJECT: Consider Equipment Purchases The 2004 capital outlay budget included the purchase of a forklift for the Street Department and a Tool Cat for sidewalk snow removal. Phil Hals, Street Superintendent, and Bill Maertz, Parks and Recreation Director, are both requesting authorization to spend the budgeted funds, however, with different pieces of equipment and at a higher costs than included in the original budget. Mr. Hals is also requesting authorization to purchase the plow and related equipment needed to complete the single axel truck purchased in February. Finally, the Parks and Recreation Department is requesting that the Capital Outlay Fund (equipment reserve) be used to fund the replacement of a 1984 pickup truck currently being used by the park maintenance crew. Attached are memos regarding each of these purchases. All of these items are being purchased through the State of Minnesota cooperative contract so bids are not required. The 2004 equipment certificate budget included $25,000 for a backhoe and $50,000 for a Tool Cat for sidewalk snow removal. The actual backhoe request is $40,363 because of a change in the type of backhoe to be purchased. The sidewalk removal unit has also changed from a multi-purpose Tool Cat to a Holder tractor designed specifically for sidewalk snow removal at a cost of $91,350. Because other equipment certificate purchases were less than originally budgeted, funds are available in the equipment certificate budget to cover all but $17,400 of the increased purchase price. It is recommended that equipment reserves fund the remaining $1 7,400. Action Requested The City Council is asked to consider purchasing the plow equipment for the single axel truck for $76,088.92, the backhoe for $40,363, the Holder tractor for $91,350, and the Ford F250 pickup truck for $19,000 with funding as follows: 1. Plow equipment from the Equipment Certificate Fund. 2. Holder tractor and backhoe from the Equipment Certificate Fund to the extent funds are available and the balance of approximately $17,400 from the Capital Outlay Fund. 3. Pickup truck from the Capital Outlay Fund. s: \Council\Lori \2004 \EquipPurchases.doc c~S~&_~A&" . 'iV",-"~."""-,",R.......'i''i''''''v-n' TO: Pat Klaers FROM: Phil Hals DATE: August 27,2004 SUBJECT: Skid Loader Purchase The 2004 budget has $25,000.00 set aside for purchase of a mini-backhoe. The intended use fartAis m~ch;"'e was tom.aiJataia storm water o.utfa1lsatldponding areas. After doing equipment demos this summer on NPDS maintenance projects it has become evident that the purchase of a tracked skid loader would be much more useful now than renting a mini- backhoe. The mini-backhoe would be purchased at a later time. We have demo'd the machines of three different manufacturers and have concluded that the best machine for our needs is a Caterpillar Model 257B. The cost through the Minnesota stme bidding process would be $46,363.00 ....:1ioomg ~ 11".l."<. "This;s $15,36:).00 0""," 0""' budgeted amount but the Street Department had a $19,001.00 equipment certificate surplus ....2003. lhaveflotbeen ab1e to -coatactLari Jol"'50fi to =fiml i,fthese swplusfunds are still available. If funding were not available this year, I would request that this purchase be added to 2005 equipment certificates and the machine be .purchased at a later date. We presently have a 2000 model 773 Bobcat wheeled skid loader that is often needed by both the s._ :md ~k DepIl1'lments. Havmg wo ski:d 1<Yad~ """e wheeled :mu one tracked, would be useful for each department. The tracked machine would probably see moozeuse....theP""ksthafiiJ: ",ill.... the Streets after ",ecomp.1etethefirstrouad at NPDES maintenance. PH:dl 8-27-04 Memo Pat KIael'ff Skid Loader Purchase MEMORANDUM TO: Pat Klaers, City Administrator FROM: Bill Maertz, Parks and Recreation Director DATE: September 15, 2004 SUBJECT: Equipment Purchases I am recommending that equipment reserves be used to fund the replacement, in 2004, of the 1984 Chevrolet SIO pickup used by the park maintenance crew. A 2004 Ford F250 is available under the State of Minnesota Contract # 432182 for $19,000 including tax. The Holder Tractor that was budgeted for 2004 is also available under State of Minnesota Contract #432589. The cost for this tractor is $86,000 excluding tax. Park crews are currently using a 1993 tractor with over 3000 hours on it, to clear snow from sidewalks. I will forward the State of Minnesota contract information to Finance Director Lori Johnson. *Item 3.4.* MEMORANDUM TO: Mayor end City Council FROM: Phil Hels, Street/Park Superintendent DATE: March 31,2004 SUBJECT: Truck Equipment Purchase The 2004 Capital Ouday budget contains $135,000 for the purchase of a single axle truck with plow equipment, hydraulics, swap loader and a ''V'' box sand spreader. On February 23, 2004, the City Council approved the purchase of a Freighdiner truck cab and chassis for a total of $58,139.41. The following list of comparison quotes represent the adclitional equipment needed to outfit the truck. Please note that all quotes are from the MNDOT bid process with sales tax included. Aspen Equipment Crysteel Equipment ]-Craft Inc. $76,088.92 77,325.39 78,756.75 Recommendation: Street Department Staff recommends purchasing the truck equipment components from Aspen Equipment for $76,088.92. '\,31-1 14\J~'U:,nwnlo true\.: "~Iujp putr:h:\~~'"Io(