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<br /> <br />Item 07C <br />Monday, June 25, 2012, City Council Meeting <br />Page 2 <br /> <br /> <br /> <br />Discussion: <br /> <br />Staff has received a competitive quote off the State of Minnesota Cooperative Purchasing Venture <br />for a 2012 F350 4x4 for a cost of $25,871.38 plus sales tax and license fees. <br /> <br />The vehicle will also require warning lights, a lift gate and a front plow to be installed. Action Fleet <br />Inc. will supply the warning light package at cost of $1,290.00 plus sales tax. Staff will install the <br />lights. A quote off the State CPV for a front plow and a lift gate were received by Crysteel of Fridley <br />the plow cost is $6,225.49 plus sales tax, and the lift gate cost is $3,286.00 plus sales tax. <br /> <br />The current 5 Year plan shows truck #135 being replaced in 2012 with a replacement fund of <br />$30,0000. The cost for the above vehicle and options will be $36,712.82 plus sales tax and <br />applicable licenses fees. With the purchase of a replacement truck for the Street Department, the <br />2000 Ford 250 (#135) is proposed to be sold. Staff is estimating that a sale price for this vehicle of <br />$4,500 - $5,000. The proceeds of this sale will be used to offset the cost of the new truck, the <br />warning lights, lift gate and plow. This would make the purchase price $31,672.87. <br /> <br />The adopted 2012 Budget did not include this replacement, staff worked with the Finance Director to <br />change the 5 year equipment purchase plan as stated below, this plan was approved by the City <br />Council at the May 7, 2012 City Council meeting. <br /> <br />1) Move truck #135 to 2012 (this was scheduled to be replaced in 2016) <br />2) Move truck #141 to 2014 (this was scheduled to be replaced in 2011, but the decision was <br />made to hold off on replacing this truck until an evaluation of the departments needs was <br />done, note: (it was determined that this unit will be sold within the next year and will not be <br />replaced). <br /> <br />Recommendation: <br />Staff recommends the approval for the purchase of a 2012 F350 pickup truck from the State of <br />Minnesota Cooperative Purchasing Venture contract and in addition, the installation of the warning <br />light package, plow and lift gate for a cost of $36,712.82 plus sales tax and applicable licenses fees <br />from account 460-4160-7030. Staff also recommends that unit #135 be sold at auction and use the <br />proceeds to offset the cost of the new pick-up, warning lights, plow and lift gate. <br /> <br /> <br />Respectfully submitted, <br />Don Peterson <br />Public Works Supervisor <br /> <br /> <br /> <br /> <br /> <br /> <br /> <br /> <br /> <br /> <br />