City of Lawrence

Finance Department

MEMORANDUM

DATE:	April 23, 2009
TO:	David L. Corliss
	City Manager
FROM:	Alan D. Landis
	Purchasing Specialist

Utilities Department is requesting to purchase a jet truck.  This is a high pressure sewer cleaner mounted on a truck.  It is to replace a 1999 unit with high mileage, hours and maintenance costs.  The maintenance costs have reached 100% of the original cost of the truck and Central Maintenance suggests that it should be replaced.

Utilities is requesting to sole source this truck.  We went out for bid in 1998 and in 2007 for jet trucks and bid both times received only one bid from Key Equipment.  Internet searches were done and found that there are other brands and manufacturers of jet units however this is the only unit sold with a completely enclosed and heated pump and reel that can be used when temperatures are well below freezing.

Key Equipment’s price for the truck is $186,575.00 and offered $30,000 for trade of our old truck.  A search on line for this type of equipment shows a 1999 trailer mount unit is being sold for $22,000 and a 1989 truck sold for $2,600.00.  We believe Key Equipment’s offer is fair.   

This purchase was approved in the 2009 budget. 

Recommendation Action:

Waive the formal bidding process and approve the purchase of one jet truck for the Utilities Department from Key Equipment Company for $186,575.00 less $30,000 trade, total purchase is $156,575.00, (Utilities/Collection System).

cc:	Cynthia Boecker	Diane Trybom
	Diane Stoddard	Dave Wagner
	Frank Reeb	Steve Stewart
	Bobbie Walthall	Bob Brower