AGENDA CAPTION:
Title
Consider approval of Resolution 2016-26R approving a Lease-Purchase Agreement between the City and U.S. Bancorp Government Leasing and Finance, Inc., which authorizes the lease/purchase of a new xl3100 v 4x4-c34 truck mounted Gradall excavator in the total financed amount of $359,120.45 inclusive of financing costs; authorizing the City Manager or his designee to execute all appropriate documents associated with this transaction; and declaring an effective date.
Body
Meeting date: March 15, 2016
Department: Public Services Department - T. Taggart, Executive Director (By Cheryl Pantermuehl, Purchasing Manager)
Funds Required: $27,322.78 FY16
Account Number: 615.190.61100
Funds Available: $27,323
Account Name: FY 16 Capital Outlay Allocation
CITY COUNCIL GOAL: Goal #5: Maintain and improve the City’s infrastructure
COMPREHENSIVE PLAN ELEMENT(s): Environment & Resource Protection Goal 1:
Public and private sectors working together to protect water quality and facilitating appropriate development in the San Marcos and Blanco Rivers watersheds, and over the Edwards Aquifer, using measurable and scientific methods
BACKGROUND:
The Public Services Department - Drainage Division is purchasing a new Gradall XL3100 V 4x4 - Cat 34 Truck Mounted Excavator which will be used for cleaning open channels, debris clean-up after floods and heavy rains, and reduce flooding hazards associated with clogged drainage ditches and retention ponds. This purchase will be made from Waukesha-Pearce Industries, Inc., located in Austin, Texas, in the amount of $359,120.45, through the Texas Local Government Cooperative (BuyBoard) purchasing cooperative contract #424-13 for Construction, Road, Bridge & Other Equipment.
The total amount financed will be $359,120.45. The amount required for FY2016 is $27,322.78. We have obtained quotes for financing of this equipment. US Bancorp Government Leasing & Finance, Inc. was the second lowest but most responsive, responsible vendor and submitted a quote for an interest rate of 1.92% for a seven (7) year lease-purchase. Payments will be semi-annual with the first payment of $27,322.78 due on May 1, 2016.
Approval of the Gradall XL3100 V 4x4 - Cat 34 Truck Mounted Excavator is on the March 15, 2016, City Council Agenda.