MEMORANDUM
TO: Board of Supervisors
FROM: Lars Ewing, Public Services Director
DATE: August 15, 2018
SUBJECT: (a) Waive the formal bidding process, pursuant to Lake County Code Section 38.2, as it is not in the public interest due to the unique nature of goods or services; and (b) Authorize the Public Services Director / Assistant Purchasing Agent to issue a purchase order to Peterson Tractor Company in the amount of $151,032.
EXECUTIVE SUMMARY:
In July 2017 the Public Services Department entered into a lease agreement with Peterson Tractor for the use of a Caterpillar D6N low ground pressure dozer at the Eastlake Sanitary Landfill to support fire debris management operations. Over the last year the D6N has been in use at the landfill and staff has found it to be very effective for operating in wet conditions, around landfill gas collection piping, and for preparation of final slopes. Subsequent to entering into the lease agreement Peterson Tractor extended a purchase option to the County to apply 80% of rental payments toward the purchase of the D6N. After the August 2018 monthly lease, the purchase price to the County including taxes and fees would be $151,032.00. A new and equivalently stocked D6N would be approximately $350,000, whereas a used D6N of approximately the same model year and operating hours would cost approximately $200,000.
FISCAL IMPACT: __ None x Budgeted __Non-Budgeted
Estimated Cost: $200,000.00
Amount Budgeted: $200,000.00
Additional Requested: 0
Annual Cost (if planned for future years): N/A
FISCAL IMPACT (Narrative): The County has a reserve account in the solid waste enterprise fund for equipment purchases. The FY 18-19 budget includes sufficient funds for this purchase.
STAFFING IMPACT (if applicable): N/A
RECOMMENDED ACTION:
(a) Waive the formal bidding process, pursuant to Lake County Code Section 38.2, as it is not in the public interest due to the unique nature of goods or services; and
(b) Authorize the Publ...
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