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The cost of a new utility box is $6,581.40. The value of a factory box is between <br />$900 and $1100. Therefore, it is clearly in the City best interest to select Option <br />No. 2. The existing utility box was only slightly damaged in the accident. Public <br />Works staff will correct the minor damage and mount the utility box on a new <br />truck. <br /> <br />Staff recommends that the damaged truck be replaced with a 2002 Ford F-250 <br />Extended Cab. This truck would be purchased under state contract. Thus it <br />would forego the requirement to acquire additional bids. The state contract bid <br />for a 2002 F-250 Extended Cab from Superior Ford is $20,737.00. This price is <br />only good until April 24, 2002. After that, orders for 2003 model trucks will be <br />taken at an assumed increase. Funding for the difference between the selling <br />price of the 2000 truck ($20,000) and the purchase price of the replacement 2002 <br />truck ($20,737) will be derived from the Contingency Account of the Water <br />Infrastructure and Equipment Maintenance Department of the Enterprise Fund <br />(700-4823-9100). As previously mentioned, the utility box would be salvaged and <br />placed on this truck. <br /> <br />Recommendation: <br />Staff recommends that the City Council adopt Resolution No. 5750 approving the <br />purchase of a 2002 F-250 Extended Cab from Superior Ford under state contract <br />in the amount of $20,737.00. It is also recommended that City Council approve <br />the sale of the 2000 Ford F-250 Extended Cab Truck, with a factory box, to the <br />City’s Insurance carrier, League of Minnesota Cities, in the amount of <br />$20,000.00. <br /> <br /> <br />Respectfully Submitted, <br /> <br /> <br /> <br />Greg Lee, Director of Public Works <br /> <br /> <br /> <br /> <br />