Included in the Airport's Capital Improvement and Equipment Replacement Programs is the purchase of a Wheel Loader.  The Airport plans to buy this new piece of equipment to replace an 18-year old wheel loader. The new loader will come with a four-yard bucket and will be used primarily for snow removal on the Airport's ramp areas. This new piece of equipment was also specified with a hitch that allows for the use of a variety of other attachments so that it can be used year round for other airfield maintenance tasks.  The Invitation to Bid was advertised for three weeks in the Billings Times and on the City's Website. On October 23, 2012, the following bid was received:

Contractor	Bid	Salvage Amount	Total Cost
RDO Equipment Co.	$241,650	$34,000	$207,650
Estimate	$240,000

The City Council may:

• Approve the purchase of the Wheel Loader; or
• Reject the sole bid and delay the purchase.

The total net cost for the Wheel Loader is $207,650. Funding for this project is available in the Airport's Passenger Facility Charge (PFC) account.

Staff recommends the City Council approve the award of the Wheel Loader to the sole bidder, RDO Equipment Co., for the net amount of $207,650.