| | | | | | | |  Shakopee City Council January 8, 2019
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| | | | | | | | | FROM: | Michael Hullander | | TO: | Mayor and Council Members |
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| | | | | | | | Subject: Purchase four skidsteer loaders for the Park, Street, and Storm Drainage Divisions. | | |
| | | | | | | | Policy/Action Requested: Approve the purchase of four skidsteer loaders from Lano Equipment and Ziegler Rental in the total net amount of $18,609.80. | | |
| | | | | | | | Recommendation: Authorize the purchase. | | |
| | | | | | | | Discussion:
The replacement of four skidsteers (Unit Nos. sk1308, sk1310, sk1309 and sk1299) is included in the 2019 Capital Improvement Plan (see attached information sheets for CIP Nos. EQUIP-19-421, EQUIP-19-461 and STORM-19-002).
The skidsteers are being purchased under the State of Minnesota Contract No. 149595. Lano Equipment and Ziegler Rental quotation forms are attached and are consistent with the state contract purchase bids. The city's four old skidsteers will be traded to the dealerships as part of these purchases. The Bobcat skidsteers have 155 hours, 169 hours, and 167 hours. The Cat skidsteer has 313 hours. | | |
| | | | | | | | Budget Impact:
The net purchase amount with trade-ins for the three Bobcat skidsteers is $13,549.80. The net purchase amount with trade-in for the Cat skidsteer is $5,060.00. The Cat skidsteer currently exceeds the hour usage allotment by 63 hours and will be charged an additional $20 per hour amounting to an estimated $1,260 additional for a total purchase amount of approximately $5,060.
The total amount per CIP is $19,050. The total net purchase amount is estimated at $18,609.80 (dependent on final hour readings once turned in) which is under budget. | | |
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