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HomeMy WebLinkAbout4B - Sale of Excess City Vehicle MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: STAFF AGENDA REPORT DECEMBER 6,1999 4B RALPH TESCHNER, FINANCE DIRECTOR CONSIDER APPROVAL OF SALE OF EXCESS CITY VEHICLE History The City advertised for public sale of a 1992 Chevrolet Caprice. Originally the vehicle was placed into service as a police squad car. In a money saving effort our practice is to retain and re-assign police squad cars for use by other departments. This vehicle has been retained for use by the Water Department for water meter reading verifications. The vehicle is eight years old and will be replaced with a used police unit early next year when the new squads are purchased. Current Circumstances Sealed bids were solicited for the disposition of this vehicle as authorized by City Code. In addition to the public advertisement, the notice of sale was sent to several companies specializing in police car renovation. This bid list contains 15 companies that are located throughout the country. Two respondents submitted bids. Normally the newer the vehicle, the greater the response. Conclusion Staff is requesting Council approval of the highest price offer. The City opened bids at 10:00 A.M. on Wednesday morning November 17, 1999. The following bids were received: BIDDER VEHICLE AMOUNT :f:tNmR#.m$.i~#q~~l~M:::: ..::::;ggJt~p.~~%l?:::::::::@:::::$:n$~:1:;QQ}? ... :t.!#:9~i;::~!::1.~g~~: ............. .:...::::::;:;::::::;. .... ....... ::...::::::::.:.::: Police Cars Unlimited. '92 Caprice $1,566.00 Brooklyn NY 11211 Bid submission was accompanied by a certified check in full amount offered. The bid submitted was similar to past sales by the City for comparable model years, mileage consideration and condition of the individual vehicles. Also, the Blue Book retail trade-in value for this vehicle is $4,400.00. However, the Blue Book does not take into consideration that this was originally a police squad and received very heavy use. According to Fleet Maintenance Mechanic Jon Donovan, the vehicle will require replacement of the entire exhaust H.IBIDIAGENDA.DOC 16200 Eagle Creek Ave, S.E" Prior Lake. Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER AL TERNA TIVES RECOMMENDED MOTION: REVIEWED BY: H:\BIDIAGENDA.DOC system, manifold and oil pan which would cost about $1,500.00 in parts and labor. The following alternatives are available to the City Council: 1. Approve the high bid. 2. Reject all bids and re-advertise to obtain a more favorable sale amount. Motion to approve the sale of the 1992 Chevrolet Caprice to Trumbull Auto Sales for the bid amount of $1,837.00 as part of the consent agenda would b order. 1