HomeMy WebLinkAboutAgenda - 09-12-2006-5hORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: September 12, 2006
Action Agee
Item No.
SUBJECT: Bid Award: Hydraulic Excavator for Solid Waste
DEPARTMENT: Purchasing and Solid Waste PUBLIC HEARING: (Y/N) No
ATTACHMENT(S):
INFORMATION CONTACT:
Pam Jones, 245-2652
Gayle Wilson, 968-2885
PURPOSE: To consider awarding a bid for a Hydraulic Excavator for Solid Waste from Gregory
Poole of Raleigh, North Carolina.
BACKGROUND: A Hydraulic Excavator was planned for acquisition during 2006-2007, having
been included in the Equipment Replacement Schedule that was part of the Solid Waste
segment of the 2006-16 Manager's Recommended Capital Investment Plan. This piece of
equipment is a replacement fora 1994 Hydraulic Excavator. The excavator will be utilized to
process yard waste material, assist in loading of metal and white goods, in the movement of dirt,
the placement of buried pipe, cleaning out of sedimentation ponds, and other construction
projects of this kind, 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: (1) 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 325DL Excavator at a total cost of $270,277. 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 $270,277, Staff
recommends that the Excavator 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 4.75%. Debt service will
be paid on a quarterly or semi-annual basis, Sufficient funds are budgeted in the FY 2006-07
Solid Waste Management Department 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 325D~ Excavator at a total cost of $270,277 tc Gregory Poole of Raleigh, North
Carolina in an amount not to exceed $270,277; and 2) authorize the Purchasing Director to
execute the necessary paperwork,