HomeMy Public PortalAboutAB02-68 Golf Cart PurchaseCITY COUNCIL City Of McCall
AGENDA BILL 216 East Park Street
Number AB 02-68 McCall, ID 83638
Date May 17, 2002
ITEM INFORMATION
SUBJECT:
Original Agenda Date &
Bill No.
Department/Committee/Individual
Initials
Remarks
Golf Cart Purchase
A
Mayor / Council
P
City Manager
P
Finance Director/City Clerk
R
Deputy
City Clerk
O
Community Development
V
Police Chief
A
Public Works
L
Director of Golf & Parks Operations
Originator
COST IMPACT: $120,000
S
Recreation
Director
FUNDING SOURCE: General Fund
Airport Manager
Librarian
TIMELINE: Immediate
City Attorney
Grant Coordinator
SUMMARY STATEMENT:
In order to open the Golf Course and avert any financial loss, there must be golf carts available for rental. US Bank has approved a loan to Michael Buss to purchase the carts as required
under the agreements between Mr. Buss, the City, and Carl Hoss. SBA has not completed the loan processing to release the funds. In order to expedite the course opening, staff recommends
the City purchase the carts directly from Carl Hoss, allows Michael Buss to use them with the City retaining the revenues from the rentals in lieu of interest. Mr. Buss will be responsible
for maintaining the carts. The City will insure the carts. Once Mr. Buss receives his loan through the SBA he will purchase the carts from the City for the amount paid to Mr. Hoss.
Under a “worse case” scenario where the SBA loan is not completed, the City would recoup the $120,000 expenditure through cart rental fees, which average around $120,000 per season.
Mr. Buss would still be required to purchase the carts under the contract.
RECOMMENDED ACTION: Authorize the purchase of the golf carts from Mr. Hoss, direct staff to execute
an agreement with Mr. Buss for the use of the carts and authorize the City Manager to sign all required documents.
RECORD OF COUNCIL ACTION
Meeting Date
Action
May 17, 2002
Mr.
Eimers moved to authorize the purchase of the golf carts from Mr. Hoss, direct staff to execute an agreement with Mr. Buss for the use of the carts and authorize the City Manager to
sign all required documents. Ms. Arp seconded the motion. At a roll call vote, Mr. Eimers, Ms. Arp, Mr. Colton, Mr. Muller, and Mr. Kaiser voted aye. The motion carried.
May 17, 2002
Mr. Eimers moved to authorize the purchase of the golf carts from Mr. Hoss, direct staff to execute an agreement with Mr. Buss for the use of the carts and authorize the
City Manager to sign all required documents. Ms. Arp seconded the motion. At a roll call vote, Mr. Eimers, Ms. Arp, Mr. Colton, Mr. Muller, and Mr. Kaiser voted aye. The motion carried.