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HomeMy Public PortalAboutAB 19-198 Western States CAT loader Lease - Streets McCALL CITY COUNCIL 216 East Park Street AGENDA BILL McCall, Idaho 83638 Number AB 19-198 Meeting Date September 12, 2019 AGENDA ITEM INFORMATION  SUBJECT: Request to Adopt Resolution 19-16 for Governmental Equipment Lease-Purchase Agreement and a Non-Appropriation Addendum with Western States for a CAT 950 Loader Department Approvals Initials Originator or Supporter   Mayor / Council     City Manager     Clerk     Treasurer     Community Development     Police Department     Public Works  Originator   Golf Course    COST IMPACT: $34,074.13 (annually) Parks and Recreation    FUNDING SOURCE: Streets Department Airport      Library    TIMELINE: FY20 – FY24 Information Systems      Grant Coordinator    SUMMARY STATEMENT: Per the FY20 approved budget, Streets has been working Western States and Caterpillar Financial Services to establish a 5-year lease for one (1) Caterpillar M950 loader to be use for the upcoming snow removal season. The prepared lease documents for FY20 – FY24 include all necessary provisions including: non-appropriations and a buy-back certification indicating that Western States will purchase the equipment at the end of the lease period. The annual lease payment accounts for a $25,000 trade in credit for a 20-year old, City owned loader that is no longer operational. The new, leased loader will include a wing attachment and snow gate blade allowing the Operator to use the snow gate while also having functionality to widen roadside berms using the wing. Included with this Agenda Bill is Resolution 19-16 which allows the City to enter into a multi-year lease that includes a “Non-Appropriation” provision. All contracts/agreements are being reviewed by legal counsel prior to securing signatures. Procurement of this loader takes advantage of the Joint Purchasing Agreement Soucewell (formerly NJPA), which provides an 18% discount (off list pricing) for CAT loaders and alleviates the need to conduct formal bidding while still conforming with Idaho code. The Resolution, Lease/Purchase Agreement, Non-Appropriation Addendum, Sales Agreement, and Buy Back Letter are attached.  RECOMMENDED ACTION: Adopt Resolution 19-16 authorizing the Mayor to enter into, on behalf of the City of McCall, a “Governmental Equipment Lease-Purchase Agreement” and a “Non-Appropriation Addendum” with Western States for a CAT M950 Loader for a 5-year lease and authorize the Mayor to sign all necessary documents.  RECORD OF COUNCIL ACTION  MEETING DATE ACTION