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Home My WebLink About5F - Purchase of Parks Equipment 4646 Dakota Street S.E. Prior Lake, MN 55372-1714 CITY COUNCIL AGENDA REPORT MEETING DATE: FEBRUARY 19,2008 AGENDA #: 5F PREPARED BY: AL FRIEDGES, PARKS AND FLEET SUPERVISOR AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION AUTHORIZING THE PURCHASE OF: 1. ONE JACOBSON HR9016 - SIXTEEN FOOT ROTARY MOWER 2. ONE JACOBSON TURF CAT - SIX FOOT ROTARY MOWER 3. ONE 23 FOOT TOWMASTER HIGH DECK DOUBLE RAMP TRAILER 4. ONE 23 FOOT TOWMASTER HIGH DECK FULL RAMP TRAILER 5. ONE 257B CAT SKID LOADER DISCUSSION: Introduction The purpose of this agenda is to consider approval of a resolution authorizing the purchase of: 1. ONE JACOBSON HR9016 - SIXTEEN FOOT ROTARY MOWER 2. ONE JACOBSON TURF CAT - SIX FOOT ROTARY MOWER 3. ONE 23 FOOT TOWMASTER HIGH DECK DOUBLE RAMP TRAILER 4. ONE 23 FOOT TOWMASTER HIGH DECK FULL RAMP TRAILER 5. ONE 257B CAT SKID LOADER and the trade in of: 1. ONE 1995 580D (UNIT #503) SIXTEEN FOOT ROTARY MOWER 2. ONE 1998 325D (UNIT #524) SIX FOOT ROTARY MOWER 3. ONE 1996 22 FOOT TRAILER (UNIT# 532) 4. ONE 1996 22 FOOT TRAILER (UNIT# 531) 5. ONE 2001 773T MELROE BOBCAT (UNIT #502) SKID LOADER Historv Yearly, as part of the Capital Improvement Program (CIP), the City Council adopts an Equipment Replacement Fund and Matrix. The purpose of this fund and matrix is to identify and budget for equipment and vehicles that need replacement due to age or wear, or for additional equipment that needs to be purchased due to growth. All equipment identified in the matrix is subject to Council approval. The matrix identifies $81,901 for a 16 foot rotary mower, $34,904 for a six foot mower with a broom, $41,853 for a skid loader and $15,490 for two trailers. The 2008-2019 Equipment Matrix identifies the replacement of a 16 foot rotary mower every 10 years or 3,500 hours, six foot mowers every 8 years or 3,500 hours, skid loaders every 6 years or 3,000 hours and trailers every 12 years. Although these are a suggested replacement schedules for these types of equipment, as with any piece of equipment the maintenance and repair costs are analyzed prior to requesting Council approval. An analysis of the equipment proposed for replacement is outlined later in this report, www.cityofpriorlake.com R\Council\2008 Agenda Reports\02 19 08\equipmepffiYfl~~~~.Ilt!i\f1?9800 / Fax 952.447.4245 Current Circumstances In order to utilize current state bid prices and to receive equipment prior high use periods staff proposes to proceed with purchasing the listed equipment. For City Council reference attached to this report is a detailed needs analysis for each piece of equipment focusing on the seven areas approved by the Council at the February 4th City Council Meeting. Sixteen foot rotary mower: We currently utilize two 16 foot Toro 5800 mowers for mowing athletic fields and large green space area's though out the Parks system. One of our existing Toro 580 D's is a 1995 which has accumulated 3,654 hours. This mower to be replaced has various repairs that are needed and are as follows: Taro 5800 ReDairs Needed Parts Cost Deck bushings $459.92 Two injectors $698.66 Deck sDindle bearinas $286,36 Tires $400.00 Head gasket $128.69 Hydraulic valve o-rinas $53.00 Three deck motors $620.59 Two wheel motors $2,163.78 Tax $312.72 Subtotal $5,123.72 Labor cost $1,440.00 Total $6,563.72 These repairs would cost $6,563.72. At this point, the City can trade the 1995 Toro 5800 and receive $12,000 as a trade on a new mower. Considering the age, hours accumulated and current trade-in value of this piece of equipment, it should be replaced. Currently there are only two manufacturers that offer large turf mowers of this type. Both manufacturers were contacted. Both mowers are offered on the State Purchasing Program. Additionally, staff received used mower pricing as well. The bids varied by $13,428.59. The low bid amount is $68,338.92 from F.E.1. Turfwerks which staff recommends purchasing. The bids received are as follows: Vendor M.T.!. M.T.!. F.E.!. Turfwerks Make Toro 5800 Toro 5800 (new) Jacobson (used) HR9016 (new) Horse power Mitsubishi (80) Mitsubishi (80) Kubota (90) Price $72,062.00 $82,777.00 $76,168.00 Trade in ($6,000.00) ($6,000.00) ($12,000.00) Sub-total $66,062.00 $76,777,00 $64,168.00 Tax $4,294.03 $4,990.51 $4,170.92 Total $70,356.03 $81,767.51 $68,338.92 $81,901 was allocated in the matrix for this purchase. RICouncil12008 Agenda Reportsl02 19 08\equipmemt purchase agenda DOC Six foot rotary mower and broom: Currently the Parks Maintenance Division utilizes four six-foot Toro Groundsmasters to perform mowing operations in our parks system. In addition to mowing during the summer months, these machines are utilized for snow removal in the winter. Two of the machines are equipped with snow blowers and the remaining two are utilized with brooms. One of the existing Toro Groundsmasters is a 1998 3250 and has accumulated 3,258 hours. The broom attached to this machine is a "fixed angle" broom and is 16 years old. The mower to be replaced has various repairs that are needed and are as follows: Parts Cost $1,256.36 $285.22 $96.56 $846.44 $1,000.00 $210.00 $91.82 $246.12 $4,032.52 $1,380.00 $5,412.52 The repairs needed would cost $5,412.52. At this point the City can trade the 1998 3250 and receive $5,000.00 as a trade on a new mower and broom. Considering the age, hours accumulated and current trade in value of the mower and broom, it should be traded. Staff contacted three manufacturers, Taro, Jacobson and John Deere. All three manufacturers contacted offered their mowers on the State Purchasing Program. Staff looked at purchasing slightly used mowers of this size and could not locate any. The bids for a new mower and broom varied by $2,508.07. The low bid amount is $27,821.00 from F.E.1. Turfwerks which staff recommends purchasing. The bids received are as follows: Vendor M.T.I. Sharber & Sons F.E.!. Turfwerks Make/Model Toro 3250 John Deere 1445 Jacobsen Turf Cat Horse power Mitsubishi (28) John Deere (31) Kubota (26) Price $32,078.00 $29,052.47 $31,123.00 Trade in ($3,600.00) ($2,000.00) ($5,000.00) Sub-total $28,478.00 $27,053.47 $26,123.00 Tax $1,851.07 $1,758.48 $1,698.00 Total $30,329.07 $28,811.95 $27,821.00 $34,904 was allocated in the matrix for this purchase. RICouncil12008 Agenda Reportsl02 19 081equipmemt purchase agenda DOC Trailers: Currently the Parks, Streets and Utilities Divisions utilize eight trailers for hauling skid loaders, rollers, mowers, blowers, brooms, barricades, mini excavators, water tanks, bench's, tables, bleachers, lumber, utility repair supplies and irrigation repair supplies. Two of our existing trailers, both 1996 models, are due for replacement. Both trailers have met their 12 year life expectancy and are undersized for today's equipment hauling needs. The trailers that staff is proposing to purchase will be a 14,000 G.V.W. rather than the existing 10,000 GV.W. trailers. Additionally, because of the increase in equipment both trailers purchased will be equipped with "deck over wheel" trailers. Most updated equipment being purchased today does not fit on our existing trailers. Staff was only able to locate one slightly used trailer that met our specifications. This trailer was offered by a private contractor and neither a trailer history nor warranty was available. Staffed contacted five vendors. All trailer bids are offered through the State Purchasing Program. The bids for the trailers varied by $2,971.77 for the double ramp trailer and by $2,915.85 for the full ramp trailer. The bids received for one double ramp trailer and one full ramp trailer are as follows: Double ram Vendor Make/model Len th G.v.W. Price Trade in Sub total Tax/license Total Ziegler Make/model Len th G.V.W. Price Trade in Sub total Tax/license Total Ziegler Full ram Vendor $15,490 was allocated in the matrix for this purchase. Skid Loader: We currently utilize three skid loaders in our fleet. These skid loaders are relied upon daily by the Parks, Streets and Utilities maintenance staff. These pieces of equipment are probably the most labor saving machines in the equipment fleet. Their primary use is to push, dig, level, backfill and grade all types of materials. RICouncil12008 Agenda Reportsl02 19 08\equipmemt purchase agenda DOC Because of its compact design and zero turning radiuses, this machine becomes especially effective for many tasks and projects. With our various attachments, this piece of equipment is also used for drilling holes for posts or tree planting, trenching for drain tile, irrigation installation, sweeping, blowing snow, milling blacktop, backfilling water and sewer main breaks, loading trucks, removing trees and brush and other miscellaneous tasks. The skid loader to be replaced is a 2001 Melroe Bobcat 773T and has accumulated 3,360 hours. The skid load to be replaced needs to have the following repairs made: Repairs Needed Parts Cost Lower bucket & pins $108.00 Lift boom $3,947.00 Tracks $3,900.00 Tires $750.00 Back up alarm $80.00 High flow tube $37.72 Wiper arm $42.00 Rear lamp $11.00 Tax $547.92 Subtotal $4,032.52 Labor cost $810.00 Total $10,262.64 The repairs needed would cost $10,262.64. The City can trade the 2001 Melroe Bobcat 773T and receive $12,500 on a new skid loader. Considering the age, hours accumulated and current trade-in value of the skid loader, it should be traded. Staff contacted five vendors, All the vendors contacted offered their skid loaders on the State Purchasing Program. The bids for the new skid loader varied by $3,254.60. The bids received are as follows: Skid loader Vendor St. Joseph E ui ment Make/model 450 Case Price Trade in Tracks Sub total Tax Total Ziegler $41,853 was allocated in the matrix for this purchase. ISSUES: The attached needs analysis analyzes each piece of equipment in the following categories: RICouncil\2008 Agenda Reportsl02 19 081equipmemt purchase agendaDOC I. Refurbishing II. Lease/Rental Options III. Zero Value Operation IV. Alternative Fuel Analysis V. Equipment Utilization VI. Equipment Partnership VII. Used Equipment Options By analyzing each of the categories for each piece of equipment staff believes the best options for replacement of the needed equipment have been provided by this report. FINANCIAL IMPACT: The Vehicle Equipment Matrix budgeted $174,148 for replacement of the listed equipment. The proposed replacement costs are $143,860 which is considerably less than budgeted. The primary reason for the cost savings is the evaluation of new equipment manufacturers by the City that had not previously been used. ALTERNATIVES: 1. Approve a resolution authorizing the purchase of the proposed equipment and trade in the existing equipment as detailed in this report. 2. Table this agenda item for a specific reason. 3. Deny this agenda item for a specific reason and provide staff with direction. RECOMMENDED Alternative #1, MOTION: .l RICouncil12008 Agenda Reportsl02 19 081equipmemt purchase agendaDOC