CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
title
Approve the award of Cooperative Procurement 19-065, Unit 244 Equipment Replacement, to McCann for an amount not to exceed $198,400
body
DEPARTMENT: Department of Public Works
SUBMITTED BY: Richard Dublinski, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
Unit 244 is a planned 2019 equipment replacement that was approved through the 2019 budget process. Vehicles and equipment are evaluated for replacement based on four criteria: age, usage, condition and repair costs. A unit must receive a score of 28.0 or greater to be recommended for replacement. The equipment exceeds the minimum score as shown in the table below:
Unit #
Year
Amortized Life Cycle
Replacement Age
Minimum Criteria
Scored Criteria
Hour Guidelines
Usage Hours
Repair Costs
244
2006
11 years
12.5 years
28.0
34.02
6,000
7,172
$92,582.38
DISCUSSION:
Unit 244 is a John Deere 624J Loader used by the Department of Public Works - Operations and Streets Division in daily operations for moving dirt, snow and other materials. The replacement equipment will be used in the same operational capacity as the current unit and maintains fleet conformity.
Using the City's specifications, McCann has quoted the 2019 Case 721G Loader in the amount of $239,400. The award amount also includes a trade-in of the current John Deere 624J Loader in the amount of $41,000 for a net price of $198,400. The Case Loader will be delivered in approximately 100 days.
The Case 721G Loader is available on the Sourcewell (Formerly National Joint Powers Alliance - NJPA) Cooperative Contract # 032515-CNH, an approved cooperative through McCann.
Original Cost
Less NJPA Discount
Less Trade-In
Net Price
$315,449
$116,716
$41,000
$198,400
FISCAL IMPACT:
CIP #: N/A
The Case 721G Wheel Loader is expensed to the vehicles and equipment account below. A total of $200,000 has been budgeted for the replacement of Unit 244 in 2019. The requested award of $198,400 is within ...
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