HomeMy WebLinkAboutRes2011-019 Sponsored by: Oates
Postponed until April 25, 2011
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CITY OF SEWARD, ALASKA
RESOLUTION 2011 -019
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, APPROVING THE PURCHASE OF A BACKHOE FOR AN
AMOUNT NOT TO EXCEED $90,000
WHEREAS, funds in the amount of $200,000 have been allocated this year from the Motor
Pool Fund for the replacement purchase of a bulldozer; and
WHEREAS, the electric department has identified a more critical need in the 580SK Case
backhoe which reflects a more prudent use of limited funds to replace equipment too expensive to
repair; and
WHEREAS, the backhoe is a more cost effective replacement of equipment for use by the
electric department on a day -to -day basis; and
WHEREAS, the backhoe is used by the electric crew regularly throughout the summer for
construction of new services and repair of existing underground services; and
WHEREAS, the initial estimate for repairs to the current backhoe to adequately prepare it
for construction this summer (April 2011) is $85,237.34; and
WHEREAS, the backhoe is the only piece of equipment the electric department has to dig
into the ground for service jobs and emergency situations; and
WHEREAS, under city code Title 6.10.310.A which states, "a department head may
recommend an alternative procurement procedure to the city manager if such procedure will best
serve the needs of the city and accomplish the objectives of this title."
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA that:
Section 1. The electric department is authorized to purchase a backhoe for less than $90,000.
Section 2. The electric department will attempt to acquire a used comparable piece of
equipment.
Section 3. The funds will be allocated from the Motor Pool Purchase account number 102-
1020 -5930.
CITY OF SEWARD, ALASKA
RESOLUTION 2011 -019
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Section 4. This resolution shall take affect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 25 day of
April, 2011.
THE CITY O WARD, ALASKA
Willard E. Dunham, Mayor
AYES: Valdatta, Bardarson, Keil, Shafer, Casagranda, Dunham iial
NOES: None
ABSENT: Smith
ABSTAIN: None
ATTEST:
Johanna Kinney
City Clerk
(City Seal)
Agenda Statement
Meeting Date: March 29, 2011
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Through: Phillip Oates, City Manager t ; 14
From: John Foutz, Electric Utility Manager 11:74-s0 P
Agenda Item: Purchase a backhoe for the electric department through the
Motor Pool Fund.
BACKGROUND & JUSTIFICATION: The Electric Department's 580SK Case backhoe (vehicle
number 512) is an essential piece of equipment. The backhoe was purchased by the city in 1991 and
is the primary piece of equipment during the construction season for digging purposes. Following
the 2010 construction season the electric department pursued repairing the backhoe; the initial quote
for repairs was $85,237.34 with $73,837.34 allocated to parts. Vehicle 512 has been rebuilt once
before and replacement or extensive overhaul has become necessary.
We are also investigating the possibility of purchasing a used equivalent piece of equipment, using
the current backhoe as a trade -in or selling the backhoe to help alleviate some of the financial burden
of this purchase. Three quotes will be requested for both new and used equipment.
By comparison and slated to be replaced this year is bulldozer (vehicle number 515). It is currently
parked at Lawing Substation and is used primarily for snow removal, between twenty and fifty hours
annually. The Electric Department would like to swap this bulldozer for replacement with the
requested backhoe and replace the bulldozer in 2012.
By comparison, the requested backhoe will be used at least 1000 hours.s; justifying bumping up
replacement or overhaul on the Electric department's schedule.
INTENT: Authorize the purchase of a new or used backhoe to replace the 580SK Case backhoe in
the electric department.
FISCAL NOTE: Up to $200,000 has been allocated to account 102 - 1020 -5930 Motor Pool
Purchase. This amount is budgeted for this year to replace vehicle number 515.
Approved by Finance Department: v
ATTORNEY REVIEW: Yes No X c(JJ
RECOMMENDATION: Pass resolution 2011-0 iq , to purchase a new or used backhoe to replace
vehicle number 512 for an amount not to exceed $200,000.