HomeMy WebLinkAbout12. 19-78 FEBRUARY 12, 2019 19-78 RESOLUTION
(CARRIED 5-0 LOST LAID OVER WITHDRAWN )
PURPOSE: APPROVE PURCHASE OF USED GRADER TO ZADOON, LLC
FOR STREET DIVISION ($165,000.00)
INITIATED BY: PURCHASING
WHEREAS, the Street Division is in need of a replacement grader to replace the
1979 Caterpillar 120G Grader ; and
WHEREAS, the staff solicited proposals for used graders meeting the
specifications for this unit and the proposal for a 2013 John Deere from Zadoon, LLC met
all the unit requirements at the lowest cost.
NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of
Oshkosh that the proper City officials are hereby authorized and directed pursuant to
Section 12-13 of the Oshkosh Municipal Code to purchase a 2013 John Deere grader from:
ZADOON, LLC
1290 Bay Dale Dr Ste 338
Arnold, MD 21012
Total: $165,000.00
BE IT FURTHER RESOLVED that the proper City officials are hereby authorized
and directed to enter into an appropriate agreement for the purpose of same. Money for
this purpose is hereby appropriated from:
Acct. No. 0323-0430-7204-66917 Property Improvement Fund/Equipment Fund
- Machinery & Equipment
TO: Honorable Mayor and Members of the Common Council
FROM: Jon Urben, General Services Manager
DATE: January 28, 2019
RE: Approve Purchase of Used Grader to Zadoon, LLC for Street Division ($165,000.00)
BACKGROUND
The Common Council allocated $200,000.00 in the 2019 CIP for the purchase of a used grader for the
Street Division. The used unit will replace a 1979 Caterpillar 120G Grader with a plow/wing attachment
used exclusively for snow plowing operations. The 1979 unit has issues with the wing knuckle joint that
requires ongoing rebuilding in addition to multiple other maintenance issues related to its age and
condition. The replacement of the 1979 unit with a used unit was based on a combination of factors. 1)
The unit is an indispensable necessity during snow plowing operations; 2) The unit is used on average
approximately 150 hours in a snow season; 3) A new grader with the required plow/wing attachments
is approximately $400,000.00. Based on these factors, staff determined that a used unit about five years
old with the required equipment and relatively low hours could be acquired for less cost and still meet
the needs for the Street Division.
ANALYSIS
Staff then solicited proposals from heavy equipment dealers for used graders meeting the specifications
for this unit. Three proposals were received and are attached. Staff reviewed the proposals and
concluded the 2013 John Deere grader from Zadoon, LLC met all the unit requirements at the lowest cost.
The Zadoon proposal for the unit is tax exempt and includes delivery to Oshkosh.
FISCAL IMPACT
The 2019 CIP allocated $200,000.00 for this used unit. The fiscal impact for this unit with trade-in is
$165,000.00. This unit will be charged to A/N#: 032304307204 66917. Of the remaining funds available
for this replacement the Street Division estimates they will spend approximately $8,000 for new tires and
rims for the unit and about $4,500 to purchase the remainder of the factory warranty through John Deere.
RECOMMENDATION
Section 12-13 of the Municipal Code provides that subject to approval of the City Manager, the city may
acquire any used or surplus or excess equipment, materials or supplies from a federal, state or local
government authority without following competitive bidding or quotation process if the Purchasing
Authority in consultation with the appropriate department head, determines that such acquisition is in
the best interest of the city. However, as no used graders could be found from federal, state or local
City Hall, 215 Church Avenue P.O. Box 1 130 Oshkosh, WI 54903-1130 http://www.ci.oshkosh.wi.us
government sources, our search turned to private dealer sources which then yielded this unit. in
consideration of this and the limited used market for these types of vehicles, we are requesting the
Common Council waive the federal, state and local government source requirement of Section 12-13 and
recommend the Common Council approve the purchase of this used 2013 John Deere unit for $165,000.00
from Zadoon, LLC in Arnold, MD.
Respectfully Submitted,
a., I (L
Approved:
Jon G. Urben, General Services Manager Mark A. Rohloff, City Manager
PROPOSAL TAB
USED MOTOR GRADER
FOR STREET DIVISION
TRADE
NAMES OF VENDORS
PROPOSAL
1979120G
PROPOSAL WITH TRADE
Zadoon LLC
2013 John Deere 772G
1290 Bay Dale Drive Suite 338
$183,000.00
$18,000.00
$165,000.00
Arnold MD 21012
Fabick Cat
600 Hansen Road
2011 Caterpillar 140M2
PO Box 19976
$198,300.00
$18,000.00
$180,300.00
Green Bay, WI 54307-9176
McCoy Construction and Forestry
2014 John Deere 772GP
4341 S Prairie View Road
$225,000.00
$19,000.00
$206,000.00
Chippewa Falls WI 54729