CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Cooperative Procurement 20-183, Unit 299 Equipment Replacement, to McCann Industries Inc. for an amount not to exceed $209,712
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DEPARTMENT: Department of Public Works
SUBMITTED BY: Richard Dublinski, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
Unit 299 was reviewed and approved by the Fleet Economic Committee and Fleet Services Manager for replacement in the 2020 budget. Heavy equipment is scored for replacement based on four criteria: age, usage, condition and repair costs. Recommending heavy equipment for replacement requires a score 28.0 or greater. Unit 299 scored 36.54.
DISCUSSION:
Unit 299 is a 2007 John Deere 624J articulated loader used by the Department of Public Works - Streets Division. The unit is required to load materials into trucks, move and backfill earth, collect leaves, lift and remove trees/brush, complete street and sewer repairs, and aide in snow removal functions to support the division's year-round operations.
The loader is relied upon heavily for loading leaves into trucks for transport during the leaf collection program and to load salt into dump trucks during snow operations. Due to its heavy use in the salt dome, there is extensive corrosion to its attachments and to the unit itself. The unit has required axle repairs repeatedly over the past five years.
Unit 299 will be replaced with a 2020 Case 721G articulated loader. The new unit is available on the Sourcewell Cooperative, an approved cooperative through McCann Industries Inc., Contract #32119-CNH.
The retired unit will be traded-in to McCann Industries Inc. for $35,000 as part of the purchase of the new articulated loader. Using the City's specifications, McCann has quoted the articulated loader in the amount of $209,712; a cost breakdown is provided below.
Original Price
Less Cooperative Discount
Less
Trade-In
Net Price
$374,613
$129,901
$35,000
$209,712
The unit will be delivered i...
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