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HomeMy Public PortalAbout22-081 - Piggyback Sourcewell Agreement with CNH Industrial for Backhoe LoaderSponsored by: Interim City Manager RESOLUTION NO. 22-081 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF OPA-LOCKA, FLORIDA, AUTHORIZING THE CITY MANAGER TO PIGGYBACK THE SOURCEWELL COOPERATIVE PROGRAM AGREEMENT WITH CNH INDUSTRIAL AMERICA LLC. (CASE CONSTRUCTION BRAND) TO LEASE -TO -OWN A CASE 580SN BACKHOE LOADER; PROVIDING FOR INCORPORATION OF RECITALS; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Opa-Locka ("City"), currently has two backhoes which have been in the City's inventory for two and three decades respectively and which have greatly exceeded their useful economic lives. WHEREAS, consequently, the City has sought and received a quote for One Hundred Forty -Four Thousand Nine Hundred Ninety Dollars ($144,990.00) to lease -to - own a Case 580SN Backhoe Loader through the Sourcewell Price List Discounts Contract 032119, which fully meets Public Works' requirements. WHEREAS, the quote is based on the Sourcewell Cooperative Program, which is a purchasing cooperative created by the Minnesota legislature which serves as the basis for piggybacking contracts for hundreds of agencies across the nation; and WHEREAS, pursuant to Section 2-318(3) of the City's Purchasing Code (as approved by Ordinance 2020-07) the City may purchase and acquire under contracts with the federal government, the State of Florida or its political subdivisions and also municipal co-operative purchasing organizations and programs when the City Manager has determined that the prices of the original contract are competitive and reasonable; and WHEREAS, Sourcewell previously awarded a contract to CNH Industrial America LLC, attached as Exhibit "A", pursuant to its Request for Proposals (RFP) No. 032019 for Heavy Construction Equipment with Related Accessories, Attachments, and Supplies for a four-year period commencing May 13, 2019 through May 13, 2023. The contract may be extended for a fifth year at Sourcewell's discretion; and WHEREAS, the City received a proposal from CNH Industrial America LLC (Case Construction Brand), attached hereto as Exhibit "B", for a four-year lease -to -own plan with annual payments of Forty -One Thousand Nine Hundred Dollars ($41,900.00), not to Resolution No. 22-081 exceed One Hundred Forty -Four Thousand Nine Hundred Ninety Dollars ($144,990.00) total, to lease a Case 580SN Backhoe Loader. The Backhoe warranty currently expires on January 1, 2023; and WHEREAS, the City Commission finds that it is in the best interest of the City to piggyback the Sourcewell Cooperative Program Agreement with CNH Industrial America LLC. (Case Construction Brand), attached hereto as Exhibit "A", in order to benefit from already negotiated rates and enter into an agreement, attached hereto as Exhibit "C, to lease a Case 580SN Backhoe Loader through the Sourcewell Price List Discounts Contract 032119, in an amount not to exceed a total of One Hundred Forty - Four Thousand Nine Hundred Ninety Dollars ($144,990.00) with Forty -One Thousand Nine Hundred Dollars ($41,900.00) annual payments for the four-year capital lease plan. NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF OPA LOCKA, FLORIDA: Section 1. RECITALS ADOPTED. The recitals to the preamble herein are incorporated by reference. Section 2. AUTHORIZATION The City Commission of the City of Opa-Locka, Florida hereby authorizes the Interim City Manager to piggyback the Sourcewell Cooperative Program Agreement with CNH Industrial America LLC., attached hereto as Exhibit "A", in order to benefit from already negotiated rates and enter into an agreement, attached hereto as Exhibit "C, to lease -to - own a Case 580SN Backhoe Loader through the Sourcewell Price List Discounts Contract 032119, in an amount not to exceed a total of One Hundred Forty -Four Thousand Nine Hundred Ninety Dollars ($144,990.00) with Forty -One Thousand Nine Hundred Dollars ($41,900.00) annual payments for the four-year capital lease plan. SECTION 3. SCRIVENER'S ERRORS. Sections of this Resolution may be renumbered or re -lettered and corrections of typographical errors which do not affect the intent may be authorized by the City Manager, following review by the City Attorney, without the need for public hearing, by filing a corrected copy of same with the City Clerk. 2 Resolution No. 22-081 Section 4. EFFECTIVE DATE. This Resolution shall take effect upon the adoption and is subject to the approval of the Governor or Governor's Designee. PASSED AND ADOPTED this 14th day of December, 2022. H. Ta or Jr., Mayor ATTEST: nna Flores, City Clerk APPROVED AS TO FORM AND LEGAL SUFFICIENCY: Burnadette Norris. City Attorney beks, P.A. Moved by: Commissioner Bass Seconded by: Commissioner Williams VOTE: 5-0 Commissioner Bass YES Commissioner Kelley YES Commissioner Williams YES Vice Mayor Ervin YES Mayor Taylor YES 3 (Enter Fund & Dept.) Ex: See Financial Impact Section Strategic Plan Related (Enter X in box) City of Opa-locka Agenda Cover Memo Advertising Requirement: (Enter X in box) Strategic Plan Priority Area: Enhance Organizational 0 Bus. & Economic Dev 0 Public Safety 0 Quality of Education 0 Qual. of Life & City Image 0 Communication 0 Strategic Plan Obj./Strategy: (list the specific objective/strategy this item will address) The City currently has two backhocs which have been in the City's inventory decades respectively and Nvhich have greatly exceeded their useful economic the City foj• two and three } has sought and received a quote for $144,990 to purchase a Case 580SN Rack Consequently, r which fully meets Public Works' requirements. This quote is based on the Sour Program, which is a purchasing cooperative created by the Minnesota hOe Loader ceweh Cooperative the basis for piggybacking contracts for hundreds of agencies acos the legislature which serves as procurement meets the requirements to be a piggyback procurement. anon' As such, this The vendor also provides warranty protection plans (four years for $4,631 or five years for $8,703). the City Fwne shl Imn act: The City is interested in a capital lease program Originally which a founyear option h assuming ownership of the equipment at the end of the lease period. with 5.85% annual interest rate were 5.50% annual interest rate and a five-year lease op However, very recently staff was advised that the rate d re $23,500t of interest %. This indicated as available approximately $46,000, including approximately 0fo fin lease in annual payments ofa over a four-year lease. Staff has also been advised that reassess the availability of Genera Fund Balanceif penalty. It is stafrs intention to purpose versus other capital opportunities and, with no orepayment p y in six months to assess the priority of its use fora this fP� � lease to terminate the high interest expense. appropriate, return with a recommendation to pay documentation not The supporting documentation is at the prior lower interest rates with updated immediately available. g i est The adopted FY 23 bud et included $30,000 for this acquisition. This budget a summdlower inter in rates and monthly payments rather than annual payments with the fir t the second quart er of FY 23. This budget adjustment will be included in the first budget amendment for FY 23. City Loader Commission approve procurement of the Case 580SN B ckhoelan with annual Staff recomma protection plan, to be procured with a four-year lease p and afive-year warranty nty p payments not to exceed $46,000. 1. Agenda 2. Lease Terms 3. CASE Quote 4. CASE Protection Plan Quote Attachment: ORGANIZATION : City Of Opa-Locka ADDRESS : ATTN: 780 Fisherman Street Opa-Locka, FL 33054 Mr. Airia Austin CASE POWER & EQUIPMENT FLORIDA Date: Rev.2. 10/28/2022 WE ARE PLEASED TO PRESENT YOU WITH THE FOLLOWING CASE CONSTRUCTION EQUIPMENT PROPOSAL, THANK YOU FOR THE OPPORTUNITY TO QUOTE A NEW CASE 580SN BACKHOE LOADER FOR FOR YOUR CONSIDERATION; THROUGHT SOURCEWELL PRICE LIST DISCOUNTS — Contract 032119 Valid until 05/13/2023 PRICING REVISED: 5/1/2022. MODEL/S: Non -Contract: CASE 580SN 4WD T4 FINAL. 4WD Powershift H -Type Trans. 12x16.5, 10PR lug tread 19.5LX24,10PR STD 1 -WAY OR 2 -WAY AUX & EHOE PKG Heavy Front CWT, Extndhoe Pilot Controls w/Power Lift Universal Mech Quick Coupler 24" Universal Bucket Flip Over/Stabilizer Pads Comb RIDE CONTROL & COMFORT STEER 93" HD Long Lip w/cutting Edge Cab, LH Doorw/Heater/AC Premium AirSusp Heated LED Light Package Cold Start Dual Battery Beacon Light USA Sourcewell Sourcewell NET Unit Total Amount CASE MSRP Discount Price Qty per Model $158,117.00 37% $99,613.71 1 $ 99,613.71 $40,609.00 37% $25,583.67 1 $ 25,583.67 $0.00 0% $0.00 $0.00 0% $0.00 $10,013.00 37% $6,308.19 1 $ 6,308.19 $0.00 0% $0.00 $3,611.00 37% $2,274.93 1 $ 2,274.93 $1,852.00 37% $1,166.76 1 $ 1,166.76 $2,625.00 37% $1,653.75 1 $ 1,653.75 $890.00 37% $560.70 1 $ 560.70 $1,924.00 37% $1,212.12 1 $ 1,212.12 $4,388.00 37% $2,764.44 1 $ 2,764.44 $9,899.00 37% $6,236.37 1 $ 6,236.37 $925.00 37% $582.75 1 $ 582.75 $941.00 37% $592.83 1 $ 592.83 $0.00 0% $0.00 WARRANTY: 1-Year/Unlimited-Hour Full -Coverage Base Limited Warranty 2-Year/2,000-Hour Extended Engine Warranty CASESiteWatch'' Telematics—includes hardware and a 3-yr Advanced data subscription. PLEASE SEE THE ATTACHED SPECIFICATION SHEET FOR MORE INFORMATION ON THE PRODUCT. Price & Discounts are subjet to change due to the Manufacturer; Quote valid until Nov. 28, 2022 UNITS FREIGHT& DELIVERY: PRE -DELIVERY/ PREP. : ONE-TIME LOYALTY CUSTOMER DISCOUNT: TOTAL CONTRACT SALE PRICE: $ THANK YOU FOR THE OPPORTUNITY TO EARN YOUR BUSINESS. MICHAEL CABRERA GOVERNMENTALSPECIALIST 12601 W. OKEECHOBEE RD. HIALEAH GARDENS, FL 33018 (786) 774-3284 CELL (305) 821-2273 OFFICE Michael.Cabrera@CASEpowered.com Sourcewell $350.00 1 $ 350.00 $1,325.00 $3,495.00 ($8,730.22) 144, 990.00 OPTIONS OF &TENDED PPP WARRA7IES PROTECTION PLAN 0 DEDUCTIBLE 5 YRS/5,000HRS 8,703.00 4 YRS / 4,000HRS 4,631.00 I NOTE: THESE PRICES HAVE NOT BEEN ADDED TO THE AMOUNT OF THEI :LISTED UNIT; CUSTOMER HAS THE FREE CHOICE TO CHOOSE THE: ■ GUARANTEE THAT BEST SUITS THEIR NEEDS. L._._._._._._._._._._._.MOM ._.J CASE PROTECTION PLAN QUOTE Quote #: 6406214 2023 CASE LOADER BACKHOE 580SN Quote Date October 25, 2022 MFR Base Warranty Start Date: 1/1/2023 Current Machine Hours: 1 Equipment Retail Value: $148,990 Plan Type: New Equipment Usage: Road Work/Paving Salesperson: Michael Cabrera Customer Name: City of Opa-Locka Quote Category: Government Retail Note: The Protection Period shown includes the Manufacturer's base warranty period. Amounts shown below are in $USD. Protection Period/plan Option 60 / 5000 (Premier) Cost Deductible $8,703.00 $0.00 This plan is eligible for mileage reimbursement. Mileage will be reimbursed at $1.50 per maximum of 150 miles per occurrence and will have a $300 aggregate contract limit. Mileage mile up to a reimbursement is subject to deductible requirements. Quotes are valid for the following periods(whichever occurs first): • 30 days • Expiration of the Manufacturer's Base Warranty Period • Expiration of any existing PPP Contract This literature is descriptive only. The precise protection afforded is subject to the terms, conditions and exclusions contract as issued. Program participation Is subject To customer credit qualification And/Or other underwriting requirements. Programs may be changed Or cancelled without notice. Capitalized terms used In this literature, unless defined eof the the meanings assigned to them in the contract as issued. q ments. herein, have All quotes are valid for 30 calendar days Customer Name: Model: Make: PHYSICAL DAMAGE INSURANCE AND PURCHASED PROTECTION PLAN AUTIMILMION'FORM 1�.'�, Equipment Selling Price: S/N: PHYSWA'L LIAMAL fti ,llft'Vi t POI) Provides coverage to repair or replace insured equipment in the event of direct physical loss r amage Company. ❑ Yes, I'm interested in purchasing Physical Damage Insurance underwritten boya�co dPremium: $ --- uranc # of months: Deductible: $ ❑ No, I'm not interested in purchasing Physical Damage Insurance coverage. Date: Customer Signature: IAIA\�l0 Pj�Oi .(,iiON NAM 1f�1)iti ible equipment beyond the Manufacturers Base Warranty Period, and is recommended but is not required. Helps protect eljg q New Eauipme nt Plans are available for Protection Periods of up to 60 total months or 7,500 total machine hours, including the Manufacturer's Base Warranty Period. ent Plans are available for Protection Periods of up to 36 months or 6,000 machine hours for equipment that is Used Eawpm beyond the Manufacturer's Base Warranty Period. 0 Yes, I'm interested in purchasing the Purchased Protection Plan New Equipment Plan: Total Months or Total Machine hours, whichever occurs first. PPP Cost: $ Not e: The total months and total machine hours selected include the Manufacturer's Base Warranty Period. PPP Cost: $ (HT P/T-H, Premier, Structural) Used Equipment Man: Months or Machine hours, whichever occurs first. Note: The number of months and machine hours selected commence on the PPP Plan Effectie Date. 0 No, I'm not interested in purchasing protection beyond the Manufacturer's Base Warranty Date: Customer Signature: Dealer#/App#: __ — Salesperson: option. Dealer Name: , underwritten conditions nd exclusionsllus f the contract companies.iissued. CNH Industrial Insurance is subjectuy Inc. is u subsidiary r gmTeme requirements. America, Inc. Capitalized terms used The precise protection afforded is subject to the terms, and of the as issued. Program participation is to underwriting requirements. Programs may be changed or cancelled e by nsed insu This literature is descriptive only. without notice. All insurance products provided by CNH Industrial Insurance AgencyInc. in this literature, unless defined herein, have the meanings assigned to them in the contract as issued. Form 1150006 07/2016 r logoAgethenc. "CNHIndustrial"FamnarecompanorNHtn Industrial to surancelogohsatracemnr forusereitsitheUniteaStacy badman ©2016 ensed CNH Industri al Insurance Agency Inc. All rights reserved. CNH IndustrialInsuranceAgency Inc. is an AmTrust Financial company. CNH Industrial Insurance logo is a trademark registered in the United States and many other countries, owned by or licensed to CNH Industrial N.V., its subsidiaries or affiliates. CNH IndustrialInsurance PURCHASED PROTECTION PLAN MThis Plan excludes protection for any component that is not listed on therMaster Parts Schedule", ASTER PARTS including consequential damage results from the failure of a component not listed on the Master Parts Schedule, for the Plan Option selected. In the event of an eligible failure, the deductible selected for Purchased Protection Plan will be applied to each eligible failure. Please see the Terms and Conditions document, as issued, for complete Plan details. Note: Dealer eligible for reimbursement. g to a "covered component" that is caused by or any New Equipment CONSTRUCTION EQUIPMENT installed options are not New Equipment Plans 1111111111111 PREMIER PLAN OPTION COVERED COMPONENTS J Air Intake Hose 7 Accessory Gears 7 Camshaft 7 Camshaft Bearings 2 Camshaft Drive Gear 1 Connecting Rods & Bearings 7 Crankshaft Bearings & Gear Crankshaft Including Front and Rear Crankshaft Seals 7 Cylinder Heads/Head Gaskets J Cylinder Liners 7 Engine Block 7 Engine Oil Cooler J Engine Mounts and Supports 7 Engine Speed Controls, Linkages, and Cables J Fan and Fan Drive 7 Filter Mount 2 Flywheel, Ring Gear J Front & Rear Engine Covers and Seals 2 Front Damper 7 Fuel Lines 2 Fuel Tank J Muffler (excludes exhaust piping) 7 011 Filler Tube J1 Oil Lines & Hoses 7 Oil Pan & Gaskets 2 Oil Pump J Pistons & Rings 7 Pulleys J Pressure/Temperature Sensors & Sending Units Radiator (excludes coolant reservoir/recovery tank) O Rocker Ann Assembly ❑ Thermostats& Housing ❑ Timing Gears ❑ Valve Cover and Gasket ❑ Water Piping (excludes hoses) O Water Pumps .. and all intemelly lubricated parts within the above systems Components Covered after Emission Warranty O Catalytic Converter ❑ Charge Air Cooler O Cold Start Enrichment Systems O Diesel Particulate Filter ❑ Diesel Exhaust Fluid Tank and Dispensing System O Electronic Engine Control Module ❑ EGR System Manifold O Injection Pump O Intake and Exhaust Manifold and Gaskets ❑ Selective Catalytic Reduction System ❑ Turbocharger and Gasket ❑ Sensors, Solenoids & Wiring Harnesses used in these systems 7 Fuel Transfer Pump & Gasket 0 Fuel Pressure Relief Valves HYDRAUUCS 7 Accumulator and Related Relief Valve 7 Brake Accumulator J Brake Pressure Sensor 7 Brake Pump, Brake Valve C Differential Lock Valve 2 Fan Pumps and Motors 7 Hydraulic Cylinders J H draulic Hoses and Pi. in. 7 Alternator 7 Ballast 2 Gauges Hom 7 Indicators 7 Instruments J Electronic Joysticks 2 Electric Motors C Relays 7 Hydraulic Motors J Hydraulic Oil Coolers 7 Hydraulic Pumps 7 Hydraulic Reservoir J Hydraulic Valves 7 Pilot Control 7 Pressure Reducing Valves 7 Unloading Valves COMPACTION/PAVING EQUIPMENT ID Eccentric Mechanism & Bearings ❑ Drum Seals U Propulsion System Hydraulic Components ❑ Pump Drive ❑ Reduction Unit O Splitter Box U Torque Hubs ID Vibration System Hydraulic Components 7 Sensors 7 Solenoid Valves 7 Starter and Starter Solenoid J Switches 7 Traction Control System 2 Voltage Converters/Inverters 2 Voltage Regulator 7 Wiring Harnesses WIRING HARNESS EXCLUSIONS. .Rubbing, Chafin Loose or Corroded Connections TRANSMISSION/AXLES/HYDROSTATICS r Axle Housing C Axle Shaft L Blade Swing Gearbox (Motor Grader) C Clutch Discs (Wet Only) C Clutch Plates (Wet Only) C Control Rods L Counter Shaft Clutch C Differential Housing C Differential Pinion Gear/Ring Gear Drive Axle Hub C Drive Shaft with Universal Joints Drive Shaft Support Bearing r Electronic Transmission Controller and Valve C Enclosed 011 Immersed Chains and Sprockets ❑ External Oil Lines L' Filler Tubes (Transmission) ❑ Final Drive Pinion C Final Drive Planetary Gears L Front Wheel Drive Sensors C Hydraulic Drive/Travel Motor C Hydraulic Drive Pump Hydraulic Transmission -Control Valve L Hydrostatic /Hydraulic Pump Drives C Hydrostatic Motor • Hydrostatic Transmission Charge Pump • Hydrostatic Lubricated Clutch Housings II' Internal Transmission Control Linkage L Internal Wet Service Brakes C MEWDAxle/Differential Assembly including Driveshaft and U Joint C Planetary Gear Carrier C Pneumatic Valves C Rotary Hydraulic Manifold C Splitter Drive/Drop Box C Swing Motor and Swing Gear Box C Turntable Bearing C Torque Converter L Torque Converter Pump r Transfer Drive C Transmission Case C Transmission Gears, Bearings & Shafts C Transmission Pump r Travel Control Valve C Travel & Swing Sections (only) of Main Control Valve C Wet Steering Clutches C Undercanage Roller and Idler Seals and Bearings Undercarriage Tensioners UNDERCARRIAGE EXCLUSIONS: ...Sprocket, Tracks, Pads, Bolts, Chains, Or Any Failure Due to Wear, Or Breakage Caused by Wear FACTORY INSTALLED HEAT AND AIR CONDITIONING 7 Accumulator Clutch 7 Compressor • Condenser • Dryer 2 Evaporator J Backhoe Main Boom 7 Standard Backhoe Dipper Stick J Inner Dipper of the Extendable Ann 7 Excavator Dipper Stick 1 Excavator Booms J Wheel Loader/Skid Steer Loader Arms (excludes links and attachment plate) 2 Expansion Valve J Heater Core 7 Hoses and Lines (excludes fittings) 2 Pulley Seals & Gaskets 2 Temperature Control Programmers and Valves CLUSIONS Filters, Belts, Lubricants, Antifreeze, Burnt And/Or Pitted Valves, Breathers, Batteries, Loose/Broken bolts, Gas Struts, Electrical Components Not Listed Above, Clutches, Extemal O -Rings and Bonded Washers, Hydraulic Quick Couplers, Hose Chafing' Bra• ER ke Cylinders (Master & Slave), and Adjustments Internal oil seals/gaskets leaking LEAKS MUST BE PRE -APPROVED External Hydraulic Seals, Dry S which cause either the neeS for regular PRarAPPROVED BY THE PROGRAM seals/gaskets are oil seals/gaskets which are internal to the machine and dopnott haveing up fa face to the outside regular service RATOR ce tntervalsN°rwsuddenILL Q scope of lubricant, may be covered. Infernal oil PHOTOS P/ruallh l reaches ets the ground, has oil damage sufrouna surrounding elcigible e reservoir, eser oar puddle in/onousi the or machine, may where the cod d level ng to wear or contamination. External oil seals/gaskets have an external ace and are susceptible to wear and contamination damage. Extemal oil seals/gaskets p, e achine, abe the red so ascthe leak be maintained to ensure proper failure re antion, has be attributded a topping up of lubricant between regular service intervals, and which are found at service inspection, and have not been previously reported as a fault by the client, am not long the is an internal seal/gasket failure and cannot attributed 2 79 N vt NEW CE E UI MENT •EMIE• m•e en leaking but not requiring regular covered.This literature is descriptive only. The precise protection afforded is subject to the terms, conditions and exclusions of the contract as issued. Customer Signature: Dealer Signature: Date: Date: INDUSTRIAL 1 CAPITAL "Buyer(s)":( Legal Name(s) and Address) CITY OF OPA-LOCKA FL EQUIPMENT AND TRADE-IN DETAILS Plus applicable taxes. Quote Date : Oct 27, 2022 Prepared By : CollinGonzales Dealer / Quote #: 061275/398215 "Seller": (Dealers Legal Name and Address) INNOVATIVE EQUIPMENT SERVICES 2 LLC 12601 W. OKEECHOBEE ROAD HIALEAH GARDENS, FL 33018 Phone: 305 8212273 All information is subject to verification / approval. Page 1 of 1