12/16/1981 - Laserfiche WebLink

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DEC 161981 610K AS PAoF184 —7 The Chairman called for the question. It was voted on and carried unanimously. BID RECOMMENDATIONS — NOS. 103 and 104 Administrator Nelson reviewed his memo regarding alternatives on both the road grader and front end loader, which is as follows: TO: The Honorable Members of DATE: December 8, 1981 F1 LE: the Board of County Commissioners SUBJECT: Bid Recommendations - IRC *103 and IRC ;;104 Road Grader & Front End Loader FROM: Chairman, Bid Committee REFERENCES: DESCRIPTION AND CONDITIONS During the 1981 Board of County Commissioner's Budget Hearings; the Board approved $118,000 for the purchase of a Road Grader and $110,000 for the purchase of a Front End Loader for use by the Road & Bridge Department. Specifications for the purchase of the equipment were prepared by the Road and Bridge Superintendent and Vehicle Maintenance Director. Bids were publicly advertised October 21-25, 1981 and bids were opened and recorded on November 18, 1981, at a public meeting held in the County Administrator's Office. Bids for both the Road Grader and the Front End Loader were requested to bid both total cost and cash purchase. The total cost bidding concept involves assurance by the bidder that the repair, cost over a 5 year period (or 5,000 operating hours) will not exceed a specified bid amount and further, at the end of the 5 year period (or 5,000 operating hours), the bidder will guarantee a buy-back price as specified on the bid. This buy-back price does not require the County to purchase a replacement vehicle from the bidder. ALTERNATIVES AND ANALYSIS Road Grader - Eight bidders responded to the call for bids. Four responded with a no bid. Of the four bidders submitting prices, only one bidder met all minimum specifications and only one bidder submitted a total cost bid. This bidder was Kelly Tractor. The cash purchase price bids and the total cost bid are tabulated on the attached bid tabulation sheet along with deviations in the technical specifications. In considering both the total cost and cash purchase bid, the low bidder for the Motor Grader is Kelly Tractor (Caterpillar) with a total cost bid of S44,830. This bid requires an initial cost to the County of $114,259. However, the guaranteed buy-back amount of $78,749 in 5 years (present worth is S44,682) and the guaranteed cost of repairs ($9,320 during the 5 year period) adjusts this initial purchase cost to 544,830. A brief summary of the bids is as follows: