HomeMy WebLinkAbout11 Purchase a Compact Excavatorenda Item #
CONSENT
To: Board of Directors
From: Jim Wilson
Date. May 04, 2016
Subject: Consideration to Purchase a Compact Excavator
1. WHY THIS MATTER IS BEFORE THE BOARD
Board Approval is required for procurements in excess of $15,000.
2. HISTORY
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In 2008, the District established the Electric and Water Vehicle Reserve Funds, to
provide a source of funds for periodic vehicle purchase and replacement. Funds are
added each year by both Electric and Water Departments as described in the adopted
budget.
For the past three construction seasons it has been necessary for the District to rent
additional excavation equipment.
These rentals are a result of an increase in District projects requiring trenching and
excavation. The past three years of rental cost for additional excavation equipment
would have almost paid for the purchase of the equipment.
3. NEW INFORMATION
Staff utilized the services of the National Joint Powers Alliance (NJPA), a national
purchasing alliance that bring the benefit of volume pricing to it's members. The NJPA
solicited purchase pricing of the equipment through a competitive bid process.
Staff is requesting the purchase of a compact excavator to facilitate mobilization in the
field. This compact excavator will allow for staff to undertake projects without the time
and expense necessary to contact vendors and request quotes, and wait for
equipment availabilty and delivery.
With past rental history and the forecast of equipment needs in the next two years, it is
cost effective for the District to own, rather than rent, this equipment, and thus enable
excavation on projects when the other District owned equipment is in use.
4. FISCAL IMPACT
Sufficient funds exist in the Water Department Vehicle Reserve Fund for the purchase
of this equipment.
5. RECOMMENDATION
Award the purchase of one Catepillar 305.5E2 Compact Excavator to Cashman
Equipment Inc. for the amount of $81,076 with a 5% change order authorization, not
to exceed $85,130 plus tax.
t
Stephen Hollabaugh
Assistant General Manager
Michael D. Holley
General Manager