9.g) Staff Report-Purchase of New Fire Engine �,
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SCANDIA
Staff Report
Date of Meeting: March 19,2013
To: City Council
From: Kristina Handt,City Administrator
Re: Purchase of New Fire Engine
Agenda Item#: 9.g)
Background:
As was discussed at the March work session,Engine 5180 was purchased in 1988 and is nearing the end
of its expected useful life.Needed repairs are estimated at nearly$100,000.
In November the City approved an agreement for cooperative purchasing with HGAC. The fire
department has worked with Custom Fire to put together the specs for a new engine that would meet the
needs of our community. HGAC has verified the price quote of$344,952.98.
Issue:
Should the Council approve the purchase of a new fire engine from Custom Fire through the HGAC
program?
Proposal Details:
Included in your packet is a resolution to approve the purchase of the Freightliner,2-door CustomFire
Pumper for$344,952.98 and authorize staff to execute the necessary documents.
Fiscal Impact:
As discussed at the March work session, staff is working with our financial advisors,Northland
Securities, on preparing the docuxnents to issue bonds for the purchase of the fire engine and refinance the
2005 and 2007 bonds to take advantage of lower interest rates. While the financial documents have not
been completed yet,it is anticipated that the savings from the refinancing will help offset the cost of the
new bonds for the fire engine. Refinancing cannot occur until September for the 2005 bonds so interest
rates are subj ect to change between now and then.
Options:
1) Approve Resolution 03-19-13-09
2) Amend and then Approve Resolution 03-19-13-09
3) Do not approve Resolution 03-19-13-09
Recommendation:
Option l.
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CITY OF SCANDIA
RESOLUTION NO: 03-19-13-09
RESOLUTION TO APPROVE THE PURCHASE OF FREIGHTLINER, 2-DOOR
CUSTOMFIRE PUMPER THROUGH THE HOUSTON-GAVELSTON AREA
COUNCIL (HGAC) COOPERATIVE PURCHAING PROGRAM FROM CUSTOM
FIRE APPARATUS, INC IN THE AMOUNT OF$344,952.98
WHEREAS,Minnesota Statutes, Sections 471.59 and 471.345, Subdivision 15 allows cities
to enter into cooperative purchasing agreements, and
WHEREAS, the City Council of the City of Scandia approved the Interlocal Agreement for
Cooperative Purchasing with HGAC on November 20, 2412, and
WHEREAS,the City Council finds that Custom Fire Apparatus, Inc. is offering a
Freightliner, 2-door CustomFire Pumper through the HGAC Cooperative Purchasing Program and it
is in the City's best interest to purchase said equipment in accordance with these cooperative
purchasing programs.
NOW, THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF SCANDIA,WASHINGTON COLTNTY, MINNESOTA,that City staff is
authorized to execute all documents necessary to purchase the said equipment in accordance with
the attached contract pricing worksheet.
Adopted by the Scandia City Council this 19th day of March 2013.
Randall Simonson, Mayor
ATTEST:
Kristina Handt,Administrator/Clerk
����� CONTRACT PRICING WORKSHEET Contract : Date
For MOTOR VEHICI,ES Only No.: Prepared: :
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Thic Worksheet is prepared by Cantre�etor a�ad given to End t�ser. If a P4 is i:ssued,bo�#��aeti#s I
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MUST be faxed tu I�-GA.�'�.��3-993-4548 Therefo�e�r�;��t�tp�.vr�r'�n#1��;�,���,�,�..���:,
�°y'"g :Scandia,MN co�cracwr. �Custom Fire Apparaws,Inc.
Agency:
conraM ;James Finnegan,Fire Chief rrepared ;Wayde Kirvida
Person: By:
Phone: E651-755-8675 Phone: ;612-325-1366
Fax: :651-433-4383 Fax: :715-294-2168
Emau: :jim.finnegan@scandiafire.com Emau: cwayde@customfire.com
rroducc GCOl nes�r�Puo�: �Freightliner,2-door,CustomFIRE pumper,aluminum body,single axle,1500 GPM pump,side mounted
Code:
A.Product Ifein�3ase Y7nit Price Per Cc►ntractor's�:-GAC Co�ntraet: ; $ 235,290
$.Published E�ptfons;-Iternize beloiv-Attach additional si�cet(s)if necessa:ty�Include Option Code in descripiion:f appl.i�able :
(1'�ote:Publis3�r.cl CSpiions:are opcians whicfi were submjtted and priced�n�ontraetor's bid:}
Description ; Cost Description : Cost
see published option list
Subtotal From Additional Sheet(s): 72375
_ { = � - , _ ; : • ' , . . , ' Subtotal B: c 72375
C.U�p�blished Optians �iE�fliu belo�v/attat�additiouat Stte�t(s):if nee�sssry
(1tiTote:i3ngulrlishec3 oprions are itezns wt�ich were not submitt@d ar�d pz�ced in Contractor's b�d� :
Description Cost Description Cost
see non published option list
Subtotal From Additional Sheet(s): 35287.98
Subtotal C: E 35287.98
Check:Total cost of Unpublished Options(C)cannot exceed 25%of the total of the Base Unit E For this transaction the percentage is: 11%
Price plus Published Options(A+B).
__ . _
D.TA#ai Cpst:Before tlny tlpplicafile Tratie-in!Olther r111owances l.Discot�nts{A+B+�)
, _. , ; , , -: -.
Quantity Ordered: 1 X Subtotal of A+B+C: 342952.98 = Subtotal D: : 342952.98
E.H-GAC Order Processing Cliarge(Amou�►f Per Curre�iE Policy} SubtoEal E:c 20
F.Trade-Ins I Uther Aliowances:l Spsciai Discaunts l.F'reig�f I Tnstallatios :
Description Cost Description Cost
Subtotal F: c 0
>Deliver�T}ate.:; . � .
�+��ta1 Furc�ase Firice(I3t��-�F . 344952.98