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City
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Finance Department |
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MEMORANDUM |
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DATE: |
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TO: |
David Corliss |
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City Manager |
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FROM: |
Alan D. Landis |
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Purchasing Specialist |
GOLF COURSE EQUIPMENT – PARKS &
RECREATION – B08017
The Parks
and Recreation Department requested bids for new golf course equipment
consisting of two fairway mowers, one tees mower and one utility vehicle with
sprayer. There are thirty acres of
fairways, five acres of tees and fifty acres of sprayable turf that this
equipment maintains. Due to high hours,
high usage and demands on the equipment costly repairs are required. The life expectancy for this type of
equipment is approximately four years under normal operations. The fairway mowers are five years old, the
tees mower is eleven years old, and the sprayer is fifteen years old.
The low
bid from Van Wall Equipment offered $20,000 as trade in for the present
equipment. There is one fairway mower, in good
condition, listed on Ebay for $8,500 with no bids. We were offered $7,750 from Van Wall for that
type of mower and Gov Deals hasn’t sold any golf course equipment in the last
year. We feel that $20,000 is a
reasonable trade in price for the used equipment considering its use and
condition.
We
requested a price for a four year lease.
Even though the lease option is slightly more expensive than a straight
out purchase, the lease allows the department to maintain a more consistent
equipment replacement budget from year to year. The low bid from Van Wall
Equipment’s lease price is $26,954.89; total for the four years is $107,819.56.
At the end of the lease period the City
will own the equipment with no additional payments. This purchase was budgeted in the 2008
budgeting process.
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VENDOR |
TOTAL BID |
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Van Wall Equipment, purchase |
$103,172.00 |
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Van Wall Equipment, 4 year lease |
$26,954.89
per year |
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Van Wall Equipment, Trade Offer |
$20,000.00 |
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Great American Outdoors, purchase |
$107,771.00 |
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Great American Outdoors, 4 year lease |
$29,629.00
per year |
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Great American Outdoors, trade offer |
$17,500.00 |
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Turf Professionals Equipment Company, purchase |
$114,432.00 |
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Turf Professionals Equipment Company, 4 year lease |
$30,862.30
per year |
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Turf Professionals Equipment Company, trade offer |
$15,800.00 |
Recommendation Action:
Award bid for a four year lease to the Parks and Recreation Department to Van Wall Equipment for $26,954.89 a year totaling $107,819.56. (Parks & Recreation/Municipal Golf Course)
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cc: |
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Diane
Stoddard |
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Bobbie
Walthall |
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