Bids were received by the Distribution and Collection Division of the Public Works Department on November 1, 2016 to purchase a new, 2017 single engine combination sewer jet/vacuum cleaner. This unit is used to clean sanitary sewer lines and lift stations. The purchase is included in the Public Works Department's FY 2017 budget and is also included in the approved Equipment Replacement Plan (ERP).  The City received one bid; Titan Machinery for a net price of $320,290.00.

The Public Works Department bid the same unit last year (FY 2016) and that bid was $359,828.48 without the trade.  In comparison, this year's bid without the trade is $365,290.00, which is an increase of $5,461.58 over last year's bid.

City Council may:

• Approve purchasing the 2017 sewer jet/vacuum cleaner from Titan Machinery in the amount of $320,290.00, which includes trading in the present unit and Alternate # 3 (full 5-year warranty).

 

• Disapprove all bids and not purchase a 2017 sewer jet/vacuum cleaner. If the bid is not approved, the Public Works Department will continue to use the existing unit that is at or near the end of its useful life.  This will eventually result in higher maintenance costs and reduced equipment reliability.

The bid was advertised on October 20 and 27, 2016. There is sufficient funding in the FY 2017 budget for the Wastewater Fund to cover the award.  One bid was received on November 1, 2016.  The bid is as follows:

 

Vendor	Trade-In Allowance	Base Bid Minus Trade	Additive Alt. #1	Additive Alt. #2	Additive Alt. #3	Base Bid, Minus Trade with Alternate #3
Titan Machinery	$45,000.00	$317,000.00	$3,290.00	$3,290.00	$3,290.00	$320,290.00

 
Alternate #1 is for a full 3-year warranty, Alternate #2 is for a full 4-year warranty and Alternate #3 is for a full 5-year warranty.
 

Staff recommends that Council approve purchasing a 2017 single engine combination sewer jet/vacuum cleaner from Titan Machinery in the amount of $320,290.00 which includes the trade-in and Alternate # 3 (full 5-year warranty).