Five bids were received by the Street/Traffic Division on October 28, 2014 to purchase a 2015 loader.  This loader is used for the maintenance of City streets.  This purchase would replace an existing loader and is included in the FY 2015 Equipment Replacement Plan (ERP) previously approved by Council and funding is included in the FY2015 Public Works Department budget.  The existing loader will be traded to the company providing the new loader.

City Council may:

• Approve the purchase of the 2015 Loader or;
• Not approve the purchase of the 2015 Loader.  The existing loader is currently experiencing a number of mechanical issues.  Not approving the new loader will require the repair of these mechanical issues in the existing loader.

The funding is included in the Public Works budget for the Street/Traffic Division for FY 2015.

Vendor	Net Bid	Trade In	Total Bid
Titan Machinery (#1)*	$148,800.00	$23,875.00	$125,005.00
Titan Machinery (#2)	$154,955.00	$23,875.00	$131,080.00
RDO Equipment	$163,454.00	$30,500.00	$133,454.00
Tri-State	$177,848.00	$32,000.00	$145,848.00
Tractor & Equipment	$182,700.00	$20,000.00	$162,700.00

*Note:  The bid from Titan Machinery (#1) is the price for the state of Minnesota loader purchases.  The City of Billings is not part or party to the state of Minnesota purchasing process and as such we are not able to accept this bid.

Staff recommends approving the bid for a 2015 loader in the amount of $154,955.00 from Titan Machinery.  Staff also recommends trading unit 1205 for $23,875.00.  The total bid amount less trade is $131,080.00.