ITEM TITLE:
Approval to Purchase a Caterpillar 966M Loader from NC Machinery in the Amount of $321,348.37.
SUBMITTED BY: Robert Comstock, Public Works Director
FISCAL NOTES:
Expenditure Required: $321,348.37
Unencumbered Balance: $350,000.00
Funding Source: 350-0400-58000
RECOMMENDATION:
Approval to Purchase a Caterpillar 966M Loader from NC Machinery in the Amount of $308,209.75, with chains, radio and freight in the amount of $13,138.62 for a total purchase price of $321,348.37.
SUMMARY STATEMENT:
This loader is in the 2018 City of Valdez, Major Equipment Budget under the Streets department and will be purchased using the current State of Alaska Procurement Contract. With the City being able to purchase this loader off of the State Contract we will see a very significant savings (almost $100,000) versus normal government pricing on this machine. The State Contract for Cat 966M wheel loaders will expire in the fall of 2018.
This new loader will be replacing a 2008 966H loader with 3,820 hours that will be sold as surplus, resulting in no increase to the fleet. This loader is being replaced in accordance with the 10 year Major Equipment replacement schedule and the new loader will be given a 7 year rotation and evaluated at that time for condition and value.
Equipment and Vendor Amount
Cat 966M- NC Machinery 308,209.75
Pewag Chains- Glacier Chains 11,968.62
Radio-Arcticom 670.00
Freight 500.00
Total Cost with accessories $321,348.37