A City of Grand Forks FO~ Staff Report

Transcription

1 A City of Grand Forks FO~ Staff Report Ciz Council - October 5, 2015 Service/Safety Committee - September 29, 2015 Agenda Item: Public Works Department Sanitation Division Landfill Compactor Capital Lease Submitted by: LeahRae Amundson, Public Works Operations Division Director Staff Recommended Action: Approve Landfill Refuse Compactor Capital Lease with Kinetic Leasing, Inc. purchased from Titan Machinery, Inc. as per Lease Payment Schedule (attached) and upon review and approval by the Finance Department and the City Attorney. Committee Recommended Action: Council Action: BACKGROUND: The Public Works Department Sanitation Division (Landfill) currently owns (2) landfill refuse compactors (2005 and 2011 same make/models) that had been purchased with Titan Machinery, Inc. via capital lease. These units and the model proposed for replacement are known in the industry as the lowest purchase priced units in the market, and have unique operational specifications for our needs from cutting wheels that prevent material from wrapping around the steel wheels to the steel wheel teeth that are spaced to be better suited to shed the clay soil used for weekly/intermediate cover. Landfill refuse compactors are specialized landfill equipment used to compact Inert and Baled/Bagged Municipal Solid Waste (MSW) at each/both of our landfill sites. Because this equipment is not readily available for temporary rental, we rotate their leases and utilize the newer model in the Inert Landfill and the older model at the MSW Landfill to ensure we have one unit operating at all times. The landfill refuse compactor is 1 of 3 key pieces of equipment (compactor, loader, dozer) that are essential to proper landfill operation. Landfill refuse compactors increase the compaction of waste which is valuable to maximize landfill space and also serve to minimize air pockets in the waste that can increase the likelihood and/or severity of fires at the landfill. In addition, by compacting waste as it is accepted, the operator can maintain a small working face to reduce blowing materials, vectors, and area susceptible to fire, as part of our best practices that address our landfill permit requirements.

2 ANALYSIS AND FINDINGS OF FACT: The 2005 model landfill refuse compactor to be replaced FY2016 was in the past 2 months found to need a significant single drive pump repair with an estimated minimum $20,000-$25,000 work. Staff recommended we explore a capital lease option utilizing the 2005 model as-is for purchase buy-down, rather than to commence known/unknown large-scale repairs on the 2005 unit. The proposal attached allows us to continue on the capital lease path with a new 2015 model replacement landfill refuse compactor that is currently in factory build process to be received in November of2015. Upon review and analysis of the proposal and ongoing knowledge of the market, this landfill refuse compactor unit make/model is the lowest market purchase price in its class and provides for proven local service/maintenance. The lease proposal from Kinetic Leasing, Inc. applies the trade-in model as a buy-down of $60,000, as well as a $60,000 cash payment in 2015, and a FY2016 payment in January 2016 (FY2016 budgeted), allowing the City to dispose of the 2005 as-is without further investment in the 2005 model. The $60,000 cash payment in 2015 will be funded by transfer from the Sanitation budget capital line item to the capital lease line item. The Sanitation Division also recommends and intends acceptance of a maintenance agreement with Titan Machinery, Inc. in the amount of $1, 725/month (budgeted FY20 16) to properly service and maintain this equipment on-site at the landfill. SUPPORT MATERIALS: Landfill Compactor Information Kinetic Leasing, Inc. Proposed Lease Payment Schedule 2015, FY2016 Budget

3 TYJpe BC772: RB-4 Work!ingwtdth ~ ncb t.m :m ~ ~ "1 4~1.6 (3800 ) Pe rfo rtm a. n ~c:e hl) l{kwt (3.40.0) Mercede s Qpera.tiing wei~ ht lbs. f.k.g 81 E 71 (37000)

4 Shipping dimensions in cubic feet (m') '~ ~- ~.~ ~-~ BC672RBc {121.5) ' I..., IO!L~.r.c.""l! BC772RB {121.5) B: J l B - STANDARD EQUIPMENT 0' Electronic engine management 0' Electronic monitoring module with automatic engine shut- down 0' Cold starting system 0' High air intake 12.5 fr (3.8m) 0' Dry air filter 0' Multi step fuel filter system 0' Fuel bleeding pump 0' Hydrostatic four wheel drive with 4 pumps and 4 motors 0 Wear control in hydraulic circuit 0' Adjustable scrapers in front of and behind each wheel 0 Wire deflector and drive protection on inner side of wheel 0' All drive components well protected by dosed base frame 0 Hydraulically operated articulated steering system 0' Oscillating and articulating joint between front and rear frames 0' ROPS and FOPS Lockable cab 0 Noise insulated cab 0' Heat and air conditioning 0 Ventilation system with over pressure 0 Activated charcoal filter for odor restriction 0 Control unit for steering, dozer blade and drive direction integrated in driver's sear 0' Joystick steering 0' Display instruments 0 24V elecrrics & Generator 80 A 0 Vibration insulated cab suspension 0 Battery disconnection switch 0 Tinted safety glass panes 0 Sun shades 0' Front/rear windscreen wiper with washer and interval switch, rear screen heated 0 Heated rear mirror left and rear 0 Inside panorama mirror 0 Air suspended seat with heating and head rest 0 CD-radio 0 Working lights 6 front, 4 rear 0' Audible backup alarm 0 Warning horn 0 Towing eyes front I rear 0 Hydraulic driven, reversible radiator fan 0 Automatic central lubrication system Dimensions in ft (mm) A B B2 B3 D H H2 H4 K L BC672RB (3500) (3800) (3550) (3775) (1660) (4120) (3820) (1950) (600) (8370) BC772RB (3500) (3800) (3550) (3775) (1660) (4120) (3820) (1950) (600) (8370) Technical Data BOMAG BOMAG BC672RB-4 BC772RB-4 Weights Operating weight CECE Ib (kg) (32600) (37000) Axle load front CECE... Ib (kg) (15300) (I 7400) Axle load rear CECE lb (kg) (17300) (19600) Drive characteristics: Speed forward I reverse(!) mph (kmlh) (0-4) (0-4) Speed forward I reverse (2) mph (kmlh) (0-7.5) (0-7.5) Speed forward I reverse( 3)... mph (kmlh) (0-12) (0-12) Drive: Engine manufacturer MTUIMercedes MTUIMercedes Type OM4711A OM 4711A Tier compliance Tier 41inal Tier 41inal Cooling Liquid Liquid Number of cylinders inline 6 inline Performance (ISO 9249)... kw Performance (SAE 11349)... hp Speed rpm Travel system hydrost. hydrost. Operating voltage V Compaction wheels: Width, front I rear in (mm) 53.1 (1350) I 44.3 (1125) (1350) I 44.3 (1125) Outer diameter, front I rear in (mm) 63.4 (1660) 63.4 (1660) Number of teeth, front I rear Compaction coverage per side in (mm) 2.1 (53.1) 2.1 (53.1) Brakes: Service brake hydrostatic hydrostatic Parking brake... hydro mechanic hydro mechanic Steering: Steering system oscil. I artie. oscil. I artie. Steering method hydraulic hydraulic Steering I oscillating angle +I deg Track radius inner.... in (mm) (3090) (3090) Blade: Height adj. over ground level in (mm) 47.2 (1200) 47.2 (1200) Height adj. below ground level in (mm) 4.7 (120) 4.7 (120) Blade capacity SAE yd' (m3) 15.2 (11.6) 15.2 (11.6) Capacities: Fuel... gal (I) 132 (500) 132 (500) Hydraulic oil... gal (I) 92 (350) 92 (350) AdBiue gal (I) 25 (95) 25 (95) Technical modifications reserved. Machines may be shown with options. BOMAG I BOMAG Americas, Inc. 125 Blue Granite Parkway FAYAT GROUP Ridgeway, SC Tel: M04 I 5TTPPG 57002, RO

5 Quote Date: 09/24/15 CITY OF GRAND FORKS, NORTH DAKOTA LEASE PAYMENT SCHEDULE Equipment: 2015 Bomag BC772-4 Refuse Compactor Equipment Cost: $600, Trade In: ($60,000.00) Amount to Finance: $540, Rental Rental Interest Principal Payment Date Payment Amount Portion P01tion 11/15115 $ 60, $ $ 60, /01116 $ 126, $ 3, $ 123, /01117 $ 126, $ 11, $ 114, /01118 $ 126, $ 8, $ 118, /01119 $ 126, $ 4, $ 122, AMORTIZATION SCHEDULE- US RULE, 360 Day Year Compound Period: Term Nominal Annual Rate: Annual 5 years annual payments in advance 3.29% Acknowledgement: David Suppes Kinetic Leasing, Inc.

6 City Of GraAd Forks Fund 5100: Sanitation (Refuse Collection) 2012 Amended 2012 Actual 2013 Amended 2013 Actual 2014 Adopted Refuse Containers $71, $71, $141, $82, $0.00 $150, Council Adopted Replace Res Refuse Containers- 60, 90, 300 gal 3, $150, Total Council Adopted $150, Commercial Refuse Containers $0.00 $0.00 $0.00 $0.00 $0.00 $100, Council Adopted Replace Front Load Commercial Containers $100, Total Council Adopted $100, Shop Equipment $0.00 $0.00 $0.00 $0.00 $0.00 $5, Council Adopted Portable Side Load Container Washing Station/Pressure Washer $5, Total Council Adopted $5, Cars & Light Duty Trucks $0.00 $0.00 $0.00 $0.00 $25, $25, Council Adopted Fleet Vehicle Replacement $25, Total Council Adopted $25, Trucks & Mounted Equipmt $0.00 $0.00 $0.00 $0.00 $800, $700, ~ Council Adopted Refuse Collection Vehicle Replacement $700, Total Council Adopted $700,000.00

7 City Of Grand Forks Budget Worksheet Report Sub Department 5110 Landfill Services Lease & Rental $257, $66, $226, $28, $147, $225, Level -+ 4 Mayor's Budget Cap Lea se-lf Compactor wrrrade-ln 1st of nnual pymts $100, Mayor's Budget Cap Lease-LF Dozer wrrrade-ln 1st of 5 annual pymts $60, Mayor's Budget Cap Lease-LF Wheel Loader w/ Trade-In 2nd of 5 annual $65, pymts Total Mayor's Budget $225, Pest Control Services $10, $10, $10, $10, $11, $11, Advertising $50.00 $0.00 $50.00 $0.00 $50.00 $ Cleaning & Laundry Svcs $ $0.00 $0.00 $0.00 $ $ Printing $ $0.00 $0.00 $0.00 $ $ Consultants $87, $90, $138, $97, $85, $140, Level Mayor's Budget Landfill GW Monitoring $50, Mayor's Budget Landfill Bid/Construction, US EPA GHG Reporting $55, Mayor's Budget Biosolids Amendment Project Planning $25, Mayor's Budget LF Sump Extension Phase $10, Total Mayor's Budget $140, Maintenance Agreements $43, $43, $36, $33, $26, $28, Level Mayor's Budget Cap Lease Refuse Compactor Mnce Agreement $20, Mayor's Budget Cap Lease Wheel Loader Mnce Agreement $4, user: Michael Vatnsdal Pages 21 of 44 Thursday, September 24, 2015