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Purchase of Tractor Backhoe LoaderTHE CITY OF DuB E MEMORANDUM ~-~-~ a~ A ~ ~ ~ ~ '~ c ~ ~ ~- March 26, 2007 .~ ~_ _~ cr, p• .~ G ~ ~~ o TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Purchase of Replacement Tractor-Backhoe-Loader Public Works Director Don Vogt requests City Council approval to purchase a John Deere 410J tractor-backhoe-loader for a total price of $67,799.44. I concur with the recommendation and respectfully request Mayor and City Council approval. Michael C. Van Milligen MCVM/jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Don Vogt, Public Works Director .~ THE CITY OF DuB E MEMORANDUM March 21, 2007 TO: Michael C. Van Milligen, City Manager FROM: Don Vogt, Public Works Director N~~" SUBJECT: Purchase of Replacement Tractor-Backhoe-Loader INTRODUCTION The purposes of this memorandum are to provide information and request your approval of the purchase of a John Deere 410J tractor-backhoe-loader to replace #3213. BACKGROUND The Public Works Department's approved FY07 budget contains an appropriation of $73,000 for the purchase of a replacement for #3213, a 1991 John Deere 510D tractor- backhoe-loader. This unit is used during the winter months to dig street excavations and also to load snow for removal in the downtown area and from the city's residential cul de sacs. During warm weather months, it is used to remove curbing, street pavement, sewer catch basins and pipe, load trucks with stone and dirt, and, clean the City's boat ramps. DISCUSSION The attached memorandum from Street and Sewer Maintenance Supervisor John Klostermann recommends that a John Deere replacement unit be purchased from Martin Equipment Company. The unit would be purchased through the State of Iowa's current bid list. At a total price of $67,799.44, a $5,200.56 budget savings would result. ACTION STEP I agree with John's recommendation and request your approval of same. If you do concur with our recommendation, (request that the vehicle purchase be approved by resolution by the City Council at its April 2"d meeting. CC: Jenny Larson, Budget Director Attachments THE CITY OF DuB E MEMORANDUM March 19, 2007 TO: Don Vogt, Public Works Director FROM: John Klostermann, Street/Sewer Maintenance Supervisor 4 ~~ SUBJECT: John Deere Backhoe Replacement - 25054400-71318 In this memorandum, I'll recommend that we purchase a new John Deere 410J backhoe loader from Martin Equipment Company using the Iowa Department of Transportation State Bid List. The Fiscal Year 2007 budget provides funds ($73,000) to purchase one backhoe loader to replace our current John Deere 510D (#3213) backhoe loader. The Iowa Department of Transportation periodically solicits bids for equipment and allows other agencies to purchase from its "State Bid List". The current State price listed for a John Deere 410J backhoe is 38% off list price. I have worked directly with the John Deere Company to establish the list price and Martin Equipment Company for the trade-in allowance for our current unit. This new purchase procedure was approved by the City Manager in January of 2007. The list purchase price of a new John Deere 410J backhoe loader equipped to meet our specifications is $124,112. Listed below is a breakdown of our costs with the State Bid List discount: Discounted Price (less 38°l0) $ 76,949.44 Less trade - in (#3213) - 12.000.00 Net Trade in difference $ 64,949.44 The following is a list of dealer charges for the following additional items: 1 each-front and rear tire rims $ 770.00 1 Amber Beacon 125.00 No spill hydraulic couplers 355.00 Laborldelivery 1,600.00 Total dealer charges $ 2,850.00 Total Cost to the City $ 67,799.44 The total unit cost to the City is $67,799.44 which is $5,200.56 below our approved budget. It is my recommendation that we purchase the new unit from Martin Equipment Company by accepting the attached quotation with is based on the State of Iowa Bid List. If you need any additional information concerning this request, please contact me. Attachment . __ ~_ _-. _ : ~. W { GOODFIELD. IL ROCK ISLAND. IL TOLONO. IL SPRINGFIELD IL PERU. IL I-74 & Rt 117 3720 - 85th Ave. West Jct 887 U.S. Rt. 45 2384 J. David Jones Pkwy. Terminal Road, Box 141 . Phone: (309) 965-2502 Phone: (309) 787-6108 Phone: (217) 485-6755 Phone: (217) 528-4347 Phone: (815) 224711 Fax: (309) 965-2711 Fax: (309) 787-1983 Fax: (217) 485-5795 Fax: (217) 525-0519 Fax: (815) 224-4681 CEDAR RAPIDS. IA DUBUQUE. IA ASHLAND. MO PALMYRA. MO ROCKFORD. IL S.W. Tamarack Business Park 2900 6th St. R.R. #2 Hwy. 63 & Y Route #1- US. 81 & 24 North 5280 11th St. , Phone: (319) 365-0515 Phone: (319) 588-1950 (573) 657-2154 Phone: (573) 769-2274 Phone: (815) 874-2458 Fax (319) 366-7545 Fax: (319) 588-3685 (573) 657-1012 Fax: (573) 789-3880 Fax: (815) 874-2445 TO: CITY OF DUBUQUE, OPERATIONS AND MAINTENANCE QUOTE REF #: SLS #: ATTN JOHN TERMS: DATE: February 23, 2007 DELIVERY: F.O.B.: QTY DESCRIPTION COST EA. TOTAL ONE NEW ORDER 2007 DEER 410J WHEEL LOADER BACKHOE #VALUE! 401J BACKHOE LOADER CAB WITH HEATER INSTALLATION AIR SUSP FABRIC SEAT MFWD AXLE 21 LX24 REAR TIRES 12.5!80-18 FRONT TIRES EXTENABLE DIPPER STICK W/AUX HYDRAULICS TWO LEVER CONTROLS LOADER WITH RETURN TO DIG 1.5 CU YD LOADER BUCKET W/BOLT ON EDGE 1400 LB COUNTER WEIGHT TWO BATTERIES 300 MIN CAP RADIO AM/FM ,DIGITAL CLOCK ENGINE COOLANT HEATER ELEC ETHER START AID RIDE CONTROL DUAL BATTERY DISCONNECT FRONT WINDSHIELD WASHER FULL MFWD GUARD DIAGNOSTIC OIL SAMPLE PORTS BEACON KIT W!O BEACON FRONT FENDERS ENVIRONMENTAL DRAIN FOR OIL LOW PRESSURE AUX HYDRAULIC RETURN FIRE EXTINGUISHER LIST PRICE AS EQUIPPED $124,112 LESS 38% DISCOUNT (IOWA DOT MAC AWARD 410G/J) REF:LYNNE HAYES, MNGR FEDERAL AND STATE ACCOUNTS JOHN DEERE CONSTRUCTION AND FORESTRY PH 1800 319 3737 EXT 3 PRICE TO CITY OF DUBUQUE $76,949.44 LESS TREDE 510D (12,000.00) NET TRADE DIFF $64,949.44 ADD * DEALER CHARGES ; FRONT AND REAR RIMS $770 #VALUE! FREIGHT AND DELIVERY/LABOR $1600 AMBER BEACON $125 FLAT NO SPILL HYD COUPLERS $355 $67,799.44 Issued By :JIM MCDONALD Subtotal #VALUE! Expire Date :JULY 2007 Tax Branch Office : Dubuque, IA (319) 588-1950 Freight E-Mail Address : MCDONAL@MEOI.COM Total #VALUE! An quoraaons conungen[ upon smKes, O@IayS, ana GOf101UOn~ [)eyvnu vw wnuvi. rncca auu~c~a w ~n ~a~~yc wm, an n,u~w~ „vu..c. Customer Acceptance Signature: Date: RESOLUTION NO.177-07 APPROVING EXPENDITURES IN EXCESS OF $25,000 FOR CERTAIN PURCHASES OF GOODS AND EQUIPMENT Whereas, the City Manager recommends the purchase of the following goods and equipment. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. The purchase of the following are hereby approved: Item Purchase Price Vendor John Deere 410J Tractor/Backhoe/Loader $67,799.44 Passed, approved and adopted this 2nd day of April, 2007 Roy D. Buol Mayor Attest: Jeanne F. Schneider, CMC City Clerk Martin Equipment Company