HomeMy WebLinkAboutAgenda - 09-12-2006-5gORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: September 12, 2006
Action Agend>a' ~
Item No. __G J
SUBJECT: Bid Award: Articulated Dump Truck for Solid Waste
DEPARTMENT: Purchasing and Solid Waste PUBLIC HEARING: (Y/N) No
ATTACHMENT(S):
INFORMATION CONTACT:
Pam Jones, 919-245-2652
Gayle Wilson, 919-968-2885
PURPOSE: To consider awarding a bid for an Articulated Dump Truck for Solid Waste from
Gregory Poole of Raleigh, North Carolina.
BACKGROUND: An Articulated Dump Truck was planned for acquisition during 2006-2007,
having been included in the Egtaipment Replacement Schedule that was part of the Solid Waste
segment of the 2006-16 Manager's Recommended Capital Investment Plan. This piece of
equipment will replace a 1993 Terex Scraper Pan, This piece of equipment will be utilized to
haul dirt from the south side of Eubanks Road to the new Construction and Demolition (C&D)
Landfill north of Eubanks Road or other on-site locations. It will also be utilized in the movement
of other materials, such as mulch or other organic materials within the landfill operation,
This change in equipment type is primarily due to the hauling distance from the 'borrow pit' to
the new C&D Landfill.. This distance is considerably over the manufacturer's recommended
hauling distance for the current Scraper Pan. The Articulated Dump Truck will allow for a faster,
more efficient, less costly, and more environmentally friendly (only one engine on the truck
versus two that the Scraper Pan is equipped with) movement of cover material for the Landfill as
required in Orange County's operating permit. The surplus equipment will be disposed by the
Purchasing Department through govdeals.com, an on line site that merchandises surplus
equipment for government agencies, with the proceeds to be deposited back into the enterprise
fund.
The Board will recall from previous instances, that N.C G.S. 143-129 allows local governments
to use the "piggy-back" acquisition method to obtain items without a separate bid procedure. If
a contractor is willing to extend the same or more favorable price and other terms to the local
government, the law allows that the acquisition may be made from a contractor that has, within
the past 12 months, contracted to furnish the item to: (i) the federal government or any federal
agency; (2) the State of North Carolina or any agency or political subdivision of the state; or (3)
any other state or agency or political subdivision of that state.
The acquisition contemplated would be "piggy-backed" on a bid awarded by the United States
Defense Supply Center of Philadelphia, Pennsylvania, on January 2, 2006 (contract number
SP0500-010-D-0059) to Caterpillar, Inc. for a Caterpillar Model 730 Articulated Truck at a tota
cost of $346,043, The terms of the contract call for the items to be sold and serviced through
the local Caterpillar dealer. Gregory Poole of Raleigh, North Carolina is our local dealer.
The statute that authorizes "piggy-back" bids requires that the entity advertise its intentions ten
(10) days prior to a meeting in which the matter is to be considered. Orange County has fulfilled
that requirement.
FINANCIAL IMPACT: Total purchase price, if approved by the Board, would be $346,043.
Staff recommends that the truck be financed over a 59-month period to take advantage of
prevailing low interest rates and to maintain the cash position of the Solid Waste enterprise
fund, It is assumed that financing can be obtained at an interest rate of approximately 4,75%,
Debt service will be paid on a quarterly or semi-annual basis. Sufficient funds are budgeted in
the Solid Waste Management Department FY 2006-07 Budget,
The Finance Director will prepare the necessary documentation and schedule required Board
actions at subsequent Board meetings related to the financing of this and other equipment
acquisitions.
RECOMMENDATION(S): The Manager recommends that the Board: 1) award a bid for a
Caterpillar Model 730 Articulated Truck at a total cost of $346,043 to Gregory Poole of Raleigh,
North Carolina in an amount not to exceed $346,043; and 2) authorize the Purchasing Director
to execute the necessary paperwork,