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Page 1 of 1 <br /> <br />DATE: February 26, 2018 <br /> <br />TO: Honorable Mayor and City Councilmembers <br /> David Perrault, City Administrator <br /> <br />FROM: Sue Polka, Public Works Director/City Engineer <br /> <br />SUBJECT: Inspection Vehicle Purchase <br /> Budgeted Amount: Actual Amount: Funding Sources: <br />$29,000 $24,706.05 Equipment Replacement Fund <br /> Council Should Consider <br />Authorize the purchase of a 2018 Ford Escape from Midway Ford in the amount of $24,706.05 <br />(Attachment A), which includes the trade-in of the 2004 Blazer in the amount of $750.00. <br /> <br />Background/Discussion <br />In 2004 the City purchased a new Chevrolet Blazer for the building inspection vehicle. The <br />Blazer currently has mileage of 67,490. Equipment replacement guidelines suggest replacing <br />this vehicle on a 10-12 year cycle. <br /> <br />The 2018 Capital Improvement Plan (CIP) includes an item for the replacement of the 2004 <br />Chevy Blazer (Unit 116). A copy of the detailed sheet from the CIP is attached (Attachment B). <br />Repair costs for parts and labor between 2013 and 2017 totaled $7,765.98 (Attachment C). The <br />4-wheel drive recently became inoperable. Repairs would cost approximately $2,500, which is <br />more than the trade-in value of the vehicle. The proposed Ford Escape is all-wheel drive, which <br />is recommended by the City’s inspectors due to driving in winter conditions as well as off <br />pavement situations as occur with large projects such as the Land O’ Lakes expansion <br /> <br />The 2018 CIP has an estimated budget for the purchase of a new inspection vehicle of $30,000 <br />and a trade in value of $1,000 for a net budget of $29,000 for this purchase. The pricing quote <br />(Attachment B) shows a purchase price from Midway Ford Commercial of $24,706.05, with the <br />$750.00 trade-in of the 2004 Blazer. This price includes tax and licensing, and is below the <br />estimated budget. The pricing provided in the quotes are as listed in the Minnesota State <br />contract. <br /> <br />Attachments <br />ATTACHMENT A: Quote from Midway Ford – All-Wheel Drive <br />ATTACHMENT B: Equipment CIP <br />ATTACHMENT C: Repair History <br />CONSENT ITEM – 5E <br /> MEMORANDUM <br />