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Item No: 07D <br />Meeting Date: August 9, 2010 <br />Type of Business: Council Business <br />Administrator Review: ____ <br /> <br />City of Mounds View Staff Report <br />To: Honorable Mayor and City Council <br />From: Don Peterson, Public Works Supervisor <br />Item Title/Subject: Resolution 7659 Authorizing the Purchase of a Fuel Tank <br />Monitor and Used Fuel Pump for the Public Works Facility <br />and Rescinding Resolution 7651 <br /> <br />Background: <br /> <br />On Monday July 26, 2010, City Council approved Resolution 7651 authorizing the <br />purchase of a new tank monitor and fuel pump from Pump and Meter Services, Inc. of <br />Hopkins MN for the diesel fuel tank at Public Works. On Wednesday, July 28, 2010, <br />Staff contacted the vendor to inform them of Council direction and to arrange for the <br />purchase of the new tank and monitor. <br /> <br />The vendor then informed Staff that the quote he had earlier provided was for the tank <br />monitor only, a new pump would be an additional cost. The vendor was informed that <br />this information would need to be reviewed by the Public Works Director before any <br />further action would be taken due to the confusion over the quote. <br /> <br />Discussion: <br /> <br />Staff received two quotes from qualified vendors. Minnesota Petroleum Service of <br />Columbia Heights quote includes a used fuel pump and a new tank monitor at the cost <br />of $6,734.09. <br /> <br />The revised Pump and Meter Services, Inc. quote is for a new fuel pump and tank <br />monitor for $11,115.55. (Pump and Meter Services cannot provide a used fuel pump.) <br /> <br />Recommendation: <br /> <br />Staff recommends rescinding Resolution 7651 and further recommends the purchase of <br />a fuel tank monitor and used fuel pump from Minnesota Petroleum Service, Inc. at the <br />quoted amount of $6,734.09 which includes sales tax and any shipping costs. Staff is <br />also recommending that a 5% contingency be added to the quote for unknowns that <br />may be discovered during the installation of the used fuel pump and tank monitor that <br />would be required to complete the repair work. The 5% contingency would add $336.70 <br />to the quoted amount for an amount not to exceed $7,070.79. <br /> <br /> <br />Respectfully submitted, <br />Don Peterson <br />Public Works Supervisor <br /> <br />