HomeMy WebLinkAboutRes2009-066Sponsored by: Oates
CITY OF SEWARD, ALASKA
~...
RESOLUTION 2009-066
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING PURCHASE OF A USED RATHER THAN NEW
WATER TANKER TRUCK FROM CASCADIA INTERNATIONAL,
PREVIOUSLY AUTHORIZED BY RESOLUTION 2008-134
WHEREAS, the Public Works Department received Council approval to lease/purchase a
water tanker truck (NTE $165,154) on December 8, 2008, in accordance with Resolution 2008-134;
and
WHEREAS, the Public Works Department was able to obtain less expensive equipment than
the specific equipment previously authorized, by purchasing a used, rather than new water tanker
truck; and
WHEREAS, the City will purchase a used International 7600 Truck with water tanker with
less than 2,000 miles, for the price of $106,193; and
WHEREAS, the City will pay for the water tanker truck in advance, to be reimbursed
through capital financing proceeds at such a time as the City can aggregate the financing of both the
water tanker truck and plow/sander truck into a single financing transaction; and
WHEREAS, in accordance with Seward City Code 6.10.125, the City Council hereby finds
that it is in the public interest to waive competitive procurement requirements and purchase used,
rather than new, equipment.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA that:
Section 1. The City Manager is hereby authorized to purchase a used water tanker truck
from Cascadia International, in the amount of $106,193 plus a contingency not to exceed 10%
($10,619) for shipping, tires, or other extraneous costs.
Section 2. The Seward City Council hereby finds it in the public interest to waive the
competitive procurement requirements per Seward City Code 6.10.125 which exempts the
procurement of used equipment from competitive procurement, for the purchase of a used water
tanker truck.
Section 3. The city manager is hereby authorized to purchase the water tanker truck and
accessories outright, and to proceed with capital financing of the equipment in order to be
reimbursed through capital lease proceeds.
Section 4. This resolution shall take affect immediately upon its adoption.
CITY OF SEWARD, ALASKA
RESOLUTION 2009-066
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 27~" day of
July, 2009.
THE CITY OF SEWARD, ALASKA
-~..,_
Willard Dunham, Vice Mayor
AYES:
NOES:
ABSENT:
ABSTAIN
ATTEST:
Valdatta, Kellar, Smith, Dunham
None
Bardarson, Keil, Corbridge
None
Jean Lewis
pity Clerk
(City Seal)
'~~ev~ni~~~i~~
~~~~ ~~ ~~~.~+ ~~rs~~,o
~.~bf i
+S ,,,.N..~ 7i ~
i
~,~, ~'
~'•q~ OF ~~ ~`•`'
Council Agenda Statement
Meeting Date: July 27, 2009
To: Phillip Oates, City Manager~~
From: Kristin Erchinger, Finance Director
Agenda Item: Purchase of Used Water Tanker Truck
BACKGROUND & JUSTIFICATION:
The Seward City Council previously authorized the purchase of a new water tanker truck in
Resolution 2008-134 passed on December 8, 2008. This resolution authorized purchase of a water
tanker in an amount not to exceed $165,154. In the process of researching equipment purchases,
Kevin Towsley identified and recommended the purchase of an International Water Tanker Truck
with less than 2,000 miles, for the price of $106,193.
Staff put a hold on this equipment, hoping to purchase this equipment together with aplow/sander
truck which had been included in a State bid contract. However, delays associated with the
plow/sander truck purchase have made it necessary to ask Council approval to purchase this
equipment separate from the plow/sander. To avoid the duplicate costs of financing however, staff
intends to purchase both pieces of equipment through a capital lease/purchase, as authorized by
Resolution 2008-134. Therefore, the City will pay for the water tanker truck outright, and request
reimbursement at completion of financing both pieces of equipment, to prevent the duplicated efforts
required to pursue two separate financing transactions.
INTENT:
Seek Council approval to amend the previous authorization to purchase a new water tanker truck, by
purchasing a used water tanker truck, and to pay for the equipment outright utilizing City cash, with
the intent to be reimbursed through capital lease proceeds at the completion of financing.
CONSISTENCY CHECKLIST:
Where applicable, this resolution/ordinance is consistent with the Seward City Code, Charter,
Comprehensive Plans, Land Use Plans, Strategic Plan and City Council Rules of Procedures.
Other:
FISCAL NOTE:
Funding for this purchase was previously appropriated in Resolution 2008-134.
Approved by Finance Department: V
RECOMMENDATION:
City Council approve the purchase of a used water tanker truck from Cascadia International.