Consideration and Approval of Bids: 2004 Scraper Refurbishment 

The scraper's condition is the power train and other components need replacement.
Subsidiary Decisions Points:

• Unit has 10,320 hrs; replacement criteria is 9000hrs.
• Scraper has significant wear on the power train, hydraulic systems, and wear parts.

The Solid Waste Section budgeted $300,000 in FY 13. The balance of $108,771 will come from the Solid Waste contingency fund.

Maintain and deliver quality, reliable infrastructure.
The scraper is utilized daily in the operations of a municipal solid waste landfill.

No

• Option I. Accept bid from Empire Machinery in the amount of $371,610 for the refurbishment of the 2004  Scraper.
• Option II. Purchase a used 2007 Scraper for $675,000 minus a trade in of $130,000.
• Option III. Purchase a new 2012 Scraper for $840,000 minus a trade in of $130,000.

The Solid Waste Section considers the replacement costs verses the cost to refurbish heavy equipment in order to save on its Fleet replacement program. The refurbishments allow us to sustain the existing value of the machine and gain an additional half life on the equipment. By refurbishing  this machine, we will push the replacement  costs out to FY 2019.

Financial Impacts:   The quote of $300,000 was received in FY 2012 and is what we based our budgeted number on. This number included a 10% contingency. After the initial Request for Bid was advertised staff identified additional work that needed to be done and added it through an addendum. This work was on the scraper's bowl which includes replacing the plastic liners. This added $15,433 to the cost. When we add the state and City taxes the final bid is $371,610. We are including a 10% contingency for unforeseen expenses $37,161. This bid does include a 36 month/6000 hour warranty.The Solid Waste Section budgeted $300,000 in FY 13. The balance of $108,771 will come from the Solid Waste contingency fund.

The Solid Waste Section is required to cover the daily cells that are constructed at the landfill with a minimum of 6 inches of compacted soil and 12 inches of alternative daily cover. These requirements are monitored by the Arizona Department of Environmental Quality and is outlined in our Facility Plan. Without this piece of equipment, our operating expense would increase.

The scraper provides a vital function to the landfill operation. By refurbishing this equipment we save in our operating costs and assure that we continue to operate in compliance with ADEQ guidelines.

None

• Option I. Accept bid from Empire Machinery of Flagstaff in the amount of $371,610 for the refurbishment of the 2004 627 Auger Scraper plus a $37,161 (10%) contingency. For a total of $408,771
• Option II. Purchase a used 2007 (without an auger) $675,000 minus a trade in of $130,000. This option is not being recommended at this time because this unit does not have an auger or a warranty. An auger scraper allows our operation to load the machine without the use of a D8-Dozer to push the unit while it is loading. The use of a dozer requires a second operator and increases the cost of the landfill operations.This 2007 scraper would not only cost us more in our operations but it would not gain us anymore life before it would meet the replacement requirements suggested by the Fleet Committee.
• Option III. Purchase a new 2012 Scraper (without an auger) for $840,000 minus a trade in of $130,000. This option is not being recommended at this time because this unit does not have an auger. An auger allows our operation to load the machine without the assistance of a D8-Dozer to push the unit while loading. The use of a dozer requires a second operator and increases the cost of the landfill operations.