TO: Mayor and Town Council
FROM: W. Calvin Horton, Town Manager
SUBJECT: Bid: Backhoe/Loader
DATE: March 27, 2000
The attached resolution would accept the bid of North Carolina Equipment Company in the amount of $55,021 for a backhoe/loader for use in the Public Works Department’s Field Operations Division. Funding for this purchase was included in the FY 99-00 Fleet Replacement Fund.
The backhoe/loader will be used in the Construction Section, Field Operations Division of the Public Works Department. The primary mission of this item will be excavating, loading and moving materials.
The existing loader is a 1987 model. The planned service life for such equipment under our “Fleet Replacement Program” is ten years. This item has been retained in service for about three years beyond its planned service life. The new backhoe/loader would replace the 13-year-old unit, which would be sold as a surplus asset in accordance with our fleet management policy of “one-in-one-out.” Replacement of this vehicle will enhance our capability to deliver routine street maintenance and construction services and to perform clean-up and recovery operations after storms and special events.
The Fleet Replacement Fund for FY 99-00 includes $65,000 for the backhoe/loader. The cost of the loader recommended for purchase is less than the budgeted amount.
The “piggy backing” bid procedure is being used for this equipment. This process is authorized and explained in North Carolina General Statute 143-129(g), which is attached. In essence, it allows the Town to purchase this equipment at the same price as already bid to another government entity through the formal bid process. The Town of Garner, NC opened bids on August 11, 1999. The advantages of using this method of procurement are a known favorable price and a delivery time much shorter than what we would expect with a formal bid.
The Town of
Garner went through the formal bid process during June, 1999. The bids were received and opened on June
10, 1999. The bid was awarded to the
JCB Equipment Company through their local vendor in Raleigh, North Carolina
Equipment Company. The bid price of
this loader (base bid plus selected options) is $55,021. JCB Equipment Company has agreed to sell the
Town of Chapel Hill a backhoe/loader at the bid price through their North
Carolina distributor, North Carolina
Equipment Company.
The JCB
backhoe/loader bid to the Town of Garner at $55,021 (with options) meets all
specifications for the Town of Chapel Hill and is within the budgeted amount in
the Fleet Replacement Fund for FY 99-00.
That the Council adopt the attached resolution accepting the offer of the North Carolina Equipment Company for a backhoe/loader in the amount of $55,021.
1. N.C. General
Statute143-129(g) (p.4).
A RESOLUTION ACCEPTING THE BID FOR THE PURCHASE OF A BACKHOE/ LOADER
(2000-03-27/R-10)
WHEREAS, the Town of Chapel Hill had advertised notice of waiver of the formal bid process by legal notice in The Chapel Hill News/Village Advocate Classifieds on March 15, 2000, in accordance with G.S. 143-129-(g) for the purchase of a backhoe/loader; and
WHEREAS, a formal bid competition was held by the Town of Garner on June 10, 1999 in accordance with G.S. 143-129; and
WHEREAS, the North Carolina Equipment Company offers the Town the backhoe/loader at the same price as offered to the Town of Garner.
NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Town implements the waiver of formal bid process in accordance with G.S. 143-129-(g) and accepts the offer to sell of North Carolina Equipment Company in the amount of $55,021.
This the 27th day of March, 2000.
North Carolina General Statute 143-129(g):
(g)
When the governing board of any municipality,
county, or other subdivision of the
State, or the manager or purchasing
official delegated authority under subsection (a) of this section, determines
that it in the best interest of the unit, the requirements of this section may
be waived for the purchase of apparatus, supplies, materials, or equipment from
any person or entity that has, within the previous 12 months, after having
completed a public, formal bid process substantially similar to that required
by this Article, contracted to furnish the apparatus, supplies, materials, or
equipment to:
(1) The United State of America or any federal
agency:
(2)
The State
of North Carolina or any agency or political subdivision of the State: or
(3)
Any other state or any agency or political subdivision of that state, if
the person or entity is willing to furnish the items at the same or more
favorable prices, terms, and conditions as those provided under the contract
with the other unit or agency. Notwithstanding
any other provision of this section, any purchase made under this subsection
shall be approved by the governing body of the purchasing municipality, county
or other political subdivision of the State at a regularly scheduled meeting of
the governing body no fewer than 10 days after publication of notice, in a
newspaper of general circulation in the area served by the governing body, that
a waiver of the bid procedure will be considered in order to contract with a
qualified supplier pursuant to this section.
Rules issued by the Secretary of Administration pursuant to >G.S.
49(6) shall apply with respect to participation in State term contracts.