Discussion and possible action on any and all matters regarding the purchase of (3) John Deere Tractors with Mulch Kit attachment and (1) John Deere Tractor with Backhoe attachment for the Parks Grounds Division.  (Jose Luis Cisneros, Acting Director of Parks and Recreation)

The Parks Ground Department was approved a total budget of $118,944.81 for the purchase of equipment for Fiscal Year 2023-2024. Staff began planning for this fiscal year at the beginning of the year and presented two (2) equipment purchases for tractors. The first purchase that was presented was for four (4) 4WD sub-compact tractors for the price of $71,966.56. The second purchase that was presented was for four (4) John Deere Z920M ZTrak Tractors for the price of $46,978.25. The equipment purchase was approved for this Fiscal Year presenting the Parks Grounds Department with a budget of $118,944.81 for the purchase of eight (8) tractors.

As the Fiscal Year began, staff started evaluating their Department equipment to begin the purchasing process. At the moment, the Parks Grounds Department only has one tractor that has a backhoe attachment. Due to wear and tear, the tractor and backhoe attachment has been receiving maintenance and repairs in order to continue functioning. Per staff, the repairs are becoming more and more expensive due to equipment being worn out. Staff also reviewed other equipment that they had to make sure their Department needs were met. After carefully evaluating their equipment inventory, staff came to the conclusion that the purchase of eight (8) tractors had to be modified. Staff believes the purchase has to be modified to be able to purchase a tractor with backhoe attachment, since the equipment that they currently have is extremely worn out and the maintenance is becoming more and more expensive. Staff reached out to John Deere, who hold a State Contract, and requested quotes for the purchase equipment.

Staff received two quotes, one for three (3) John Deere Z994R Diesel Tractors with Mulch Kit attachments and one (1) John Deere 3025E Compact Utility Tractor with a John Deere 370B Backhoe attachment. Staff had originally requested a quote for the John Deere Z920M ZTrak model, but were advised that this model is currently out of stock and that they would being ordering them in September. The vendor advised that an estimated date of arrival was not yet available, so they were unsure by when the tractors would arrive. They advised that they had another model available, the John Deere Z994R Diesel Commercial ZTrak, which has a currently estimated time of arrival of 3 - 5 months from when the Purchase Order was received. The second quote received for the John Deere 3025E Compact Utility Tractor with the John Deere 370B Backhoe attachment was requested instead of the four (4) 4WD sub-compact tractors that were approved for this fiscal year. Staff believe that at the moment, a new tractor with a backhoe attachment is greatly needed since the existing equipment is not working well. The quote for the three (3) John Deere Z994R Diesel Tractors with Mulch Kit attachments is for a total amount due of $59,609.03 and the quote for the one (1) John Deere 3025E Compact Utility Tractor with John Deere 370B Backhoe attachment is for a total amount due of $37,989.72; Both quotes come to the grand total of $97,598.75. This expense is under budget from the original budget requested of $118,944.81. 

The Parks Grounds Department has purchased equipment from John Deere in the past and have been very content with the equipment received. Staff would like to present the John Deere quotes to City Council for approval in the amount of $97,598.75 utilizing cooperative agreement contract #: 031121-DAC under the authority of the City of San Luis Procurement Code 3.05.090, Cooperative Purchasing. 

I MOVE TO APPROVE THE PURCHASE OF 3 JOHN DEERE DIESEL TRACTORS WITH MULCH KIT ATTACHMENTS AND 1 JOHN DEERE COMPACT UTILITY TRACTOR WITH BACKHOE IN THE AMOUNT OF $97,598.75 AS PRESENTED.