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3.2. SR 02-18-2003MEMORANDUM Item#3.2 TO: Mayor and City Council FROM: Phil Hals, Street/Park Superintendent DATE: February 13, 2003 SUBJECT: Front-End Loader Purchase The 2003 equipment certificate budget contains monies for the purchase of a front-end loader and snowplow for the Street/Park Department. After many hours of discussion, demonstrations, and analyzing, I would like to ask City Council to approve the purchase of a 721D Case Loader from St. Joseph Equipment Company. The five loaders considered were on the State of Minnesota bid system. The bids expire on February 28, 2003, so we will be able to purchase just ahead of any price increase. Several of the loaders that we considered were redesigned at the end of the 2002 model year, so in effect, we are getting the latest innovations at the old model prices. The following base prices were used for comparison, so that all units were equally equipped and with sales tax included: · Case 721D $120,704.97 · John Deere 624H 121,873.27 · Volvo L90D 130,025.85 · Cat 938G 134,715.04 · New Holland 142,468.24 The price for the Case 721D will include additional options for fenders and a right hand access step that were not on each loader's option list. The final cost figure will be slightly higher than the comparison numbers listed above. Currently, the equipment certificates budget is $145,000 for a front-end loader purchase. With funds remaining in equipment certificates after the purchase of the loader, I would like to ask for Council's approval for a strobe light system and two-way radio for this loader. I will approach Council at a later date for the purchase of the loader snowplow. Recommendation: City Council approve the purchase of a 721D loader from St. Joseph Equipment Company for a sum of $123,680.58. In addition, approval for a strobe light system and two-way radio for $3,200 for this loader.