TO: Mayor and City Council
FROM: Beth Beatty, City Manager
SUBJECT:
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Purchase of One (1) New Freightliner - National Crane 8100D from Runnion Equipment Co. in the Amount of $332,024.00, (Less a Trade in of $75,000.00), for a Total Purchase Amount of $257,024.00
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BACKGROUND:
The Public Utilities Department owns and operates a 23-ton truck mounted boom crane used to lift equipment throughout the City. The Public Utilities Department utilizes this boom crane regularly for Public Utilities department use and also to assist other departments. The cost to rent a similar truck each time a pick / lift is needed would be approximately $2,000.00 a day. Included in the 2025 budget are funds to trade in the current boom crane and purchase a new boom crane. A boom crane that meets the City's specifications has been located on a dealer's lot and the vendor is willing to hold the unit until after the City's 2025 budget is approved. If we chose to order a like unit that is not currently on a dealer's lot, there would be increased cost from the change in model year. In addition, there would not be a guarantee on an expected delivery date of a completed unit due to ongoing supply chain backlog.
The Public Service Committee will review this matter.
CONCLUSION:
Several vendors were contacted to provide a quote to provide a new boom crane and to provide a quote for what they would pay as trade-in value for the City's existing boom truck. Runnion equipment was the only vendor that had a unit on their lot that met the City's specifications. The Runnion equipment quote is also less than what the Sourcewell government pricing option would be to order a new boom crane from the state bid. The City has a great working relationship with Runnion Equipment for both sales and service. Several options were examined as described below:
* $332,024.00: 2025 Freightliner-National Crane 8100D from Runnion Equipment Co.
* $349,744.00: 2026 Freightliner-National Crane 8100D ...
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