|
CITY COMMISSION AGENDA ITEM |
|
|
Department: |
Parks and Recreation |
Commission Meeting Date: December 6, 2016 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Staff Contact: |
Darin Pearson, Park District Manager |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Recommendations/Options/Action Requested: |
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Authorize the City Manager to sign a 48 month lease agreement with E-Z-GO Division of Textron Inc. for 62 golf cars for use at Eagle Bend Golf Course. Payments would total $198,400 over the full term of the lease. |
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Executive Summary: |
Over the past four years, Eagle Bend Golf Course has leased 62 golf cars from E-Z-GO for rental to patrons. The rental on these cars generates gross revenue of more than $175,000 annually. The current four-year lease on these vehicles expires December 31, 2016. In pricing future golf car leases options, E-Z-GO again provided the best pricing available using prices from its cooperative purchasing agreement with the National Intergovernmental Purchasing Alliance (Contract No. 130795). The Department has a history of success with E-Z-GO at Eagle Bend, and E-Z-GO continues to be the most cost effective provider of leased golf cars and utility vehicles. |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Strategic Goal Area: |
Other |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Fiscal Impact (Amount/Source): |
This lease agreement cost is established by using pricing from a cooperative purchasing agreement with the National Intergovernmental Purchasing Alliance (Contract No. 130795). The recommended lease begins December 2016 and expires November 2020. The agreement establishes four installment payments of $49,600 per year with payments over the 48 month term totaling $198,400. Please refer to the lease schedule below. Funds are available for this lease payment in the Eagle Bend Golf Course Operating Budget. This payment is slightly less than the annual lease agreement payment established by the current contract.
The agreement establishes the following payment schedule over 48 months, with four installment payments of $49,600.
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Attachments: |
N/A |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Reviewed By: (for CMO use only) |
☐TM ☐DS ☐CT ☒BM |