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HomeMy WebLinkAboutA001 - Council Action Form dated December 10, 2024ITEM #:21 DATE:12-10-24 DEPT:FLEET SUBJECT:FLEET REPLACEMENT PROGRAM: PURCHASE FORESTRY WOOD AND BRUSH CHIPPER COUNCIL ACTION FORM BACKGROUND: The Parks and Recreation Department currently has two trailer-mounted brush chippers. These chippers are used by the forestry crew to maintain vegetation in parks and right-of-way throughout the city. For many years, a single chipper was used. In 2015, Fleet Services purchased a second chipper to support the City’s forestry crew with cleanup of tree limbs and branches from a windstorm, and the many ash trees affected by the emerald ash borer. Parks and Recreation staff has evaluated its needs and has determined it is no longer necessary to maintain two chippers. Staff does not anticipate needing a chipper any time in the foreseeable future. Therefore, the two current chippers are proposed to be replaced with a single chipper unit. Bids were solicited for a replacement chipper, and two bids were received: Bidder Make/Model/Year Base Price Powered Tongue Jack Spare Tire Cutting Knives Set Total price with Tongue Jack, Spare, Knife Set Rexco Equipment Inc. of Des Moines Bandit / 18XP / 2025 $76,900.00 $1,725 $600.00 $300.00 $79,525.00 Vermeer Iowa of Des Moines Vermeer / AX17 / 2025 $115,000 $1,725 $818.00 $447.50 $118,017.50 Both vendors provided offers to accept the City's existing chippers for trade-in value. The offers are shown below: Bidder City No. 617 Vermeer XL1800 City No. 731 Morbark M12R Total of Trade-in Offers Rexco Equipment $29,000 $10,000 $39,000 Vermeer Iowa $30,000 $14,500 $44,500 The bid from Rexco for the Bandit 18XP Chipper with powered jack, spare tire, and a set of cutting knives is the low bid and is acceptable for a total of $79,525. Rexco’s trade-in offers for the City’s two chippers are acceptable. The total for the Bandit 18XP Chipper, with trade-ins, is $40,525. 1 Cost for one Bandit XP18 Chipper $ 79,525 Funding is available for this purchase as follows: Replacement fund for Vermeer 1800XLchipper $ 66,636 Trade-in 29,000 Available funds subtotal $ 95,636 Replacement fund for Morbark Chipper $ 48,193 Trade-in 10,000 Available funds subtotal $ 58,193 Total funds currently available for this purchase $153,829 ALTERNATIVES: 1. a) Award a contract to Rexco Equipment Inc. of Des Moines, IA as the acceptable low bidder for the 2025 Bandit XP18 Chipper, with powered tongue jack, spare tire and knife set as bid for City Bid No. 2025-079 for the total amount of $79,525; and, b) accept Rexco’s trade-in offers for the City’s 2015 Vermeer 1800XL for $29,000, and the 2015 Morbark M12R for $10,000 2. Reject this bid. CITY MANAGER'S RECOMMENDED ACTION: Fleet Services and Parks and Recreation staff has evaluated the bids and trade-in offers and agree the bid from Rexco Equipment Inc. of Des Moines for the 2025 Bandit 18XP will provide the City’s forestry crew with an exceptional chipper at the best price. The trade-in offers for the City's two chippers are also acceptable. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative No. 1 as described above. 2