1f. Consider Purchase of Wheel Loader, PW016MMM
CITY OF
CHANHASSEN
7700 Market Boulevard
PO Box 147
Chanhassen, MN 55317
Administration
Phone: 952,227.1100
Fax: 952,227.1110
Building Inspections
Phone: 952.227.1180
Fax: 952.227.1190
Engineering
Phone: 952.227.1160
Fax: 952.227.1170
Finance
Phone: 952.227.1140
Fax: 952.227.1110
Park & Recreation
Phone: 952.227.1120
Fax: 952.227.1110
Recreation Center
2310 Coulter Boulevard
Phone: 952.227.1400
Fax: 952.227.1404
Planning &
Natural Resources
Phone: 952.227.1130
Fax: 952.227.1110
Public Works
1591 Park Road
Phone: 952.227.1300
Fax: 952.227.1310
Senior Center
Phone: 952.227.1125
Fax: 952.227.1110
Web Site
www.ci.chanhassen.mn.us
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MEMORANDUM
TO:
</? (),
Paul Oehme, Public Works Director/City Engineer \. .,
FROM:
Charles Siegle, Equipment Superintendent
~'
DATE:'
May 14,2007
SUBJECT:
Consider Purchase of Wheel Loader - PW016MMM
REQUESTED ACTION
Authorize purchase of wheel loader.
DISCUSSION
Annually, the City considers replacement of vehicles that have reached their average
life expectancy and are showing signs of needing major maintenance. It has been the
City's practice to replace these vehicles before major repairs are required. Most City
vehicles are used on a daily basis and have to be reliable to maintain appropriate City
services. Vehicles proposed to be replaced are showing signs of significant wear.
Also, it is appropriate to replace older rusty vehicles to present a good image to the
public.
The 2007 CIP included the replacement of a single axle dump truck useci for snow
plowing and other hauling work and a front-end loader. Staff has reviewed the
current and future needs of the City and the current plowing routes andl}as pr(j)posed
to replace a single-axle dump truck with a loader. A new loader to replace the
existing loader would not be purchased. A loader with a plow and a wipg canplow
cul-de-sacs and residential roads just as effective as a single axle dump truck.' Also, .
loaders are more effective for cleaning up streets and cul-de-sacs after snow events.
The new loader would be put on a plow route that does not usually need much
sanding and salting. Staff feels the front-end loader for this application would be
used more annually then a replacement single-axle truck.
The current loader scheduled for replacement was purchased in 1971 and is not used
extensively except for loading trucks at the public works garage. The loader does not
have much of a trade-in value. Staff is proposing to keep this loader until significant
repairs are required and then scrap the vehicle.
The City of Chanhassen · A growing community with clean lakes, quality schools, a charming downtown, thriving businesses, winding trails, and beautiful parks. A great place to live, work, and play.
May 14,2007
Consider Purchase of Wheel Loader
Page 2
DISCUSSION/JUSTIFICA TION
STREET DEPARTMENT - W A250-5 KOMATSU WHEEL LOADER
The 1991 Ford L8000, Fleet #114, single axle dump truck is 16 years old. This
vehicle is used for snow plowing, sanding, hauling fill and black topping. The dump
box, cab and chassis have significant rust and the radiator needs to be replaced. It is
anticipated a loader with a plow and wing will last longer then a plow truck. The
estimated resale value of this truck is about $10,000.
BIDS AND QUOTES
The following quote has been received from a state bid contract for a Wheel Loader:
1. STREET DEPARTMENT- WHEEL LOADER
2007 Komatsu W A250-5 Articulating Wheel Loader with Falls $147,180.00
Front Plow and Side Wing:
Sales Tax $ 9,566.70
Subtotal $156,746.70
Trade #114 -$ 10,000.00
TOTAL $146,746.70
The budgeted amount in the 2007 CIP for this loader is $160,000.
SUMMARY
The City's fleet continues to go past the normal replacement age of ten years for most
vehicles. It is important to keep up with the replacement schedule of vehicles.
RECOMMENDA TION
It is recommended that the City Council approve a bid for the purchase of a Komatsu
W A250-5 Articulating Wheel Loader.
Attachment
g:\eng\public\pwO 16\purchase cip vehicles memo07Ioader.doc
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Capital Improvement Program
City of Chanhassen, MN
Project # EQ-056
Project Name Front-End Loaders
2007 thru 2011
Account # 1 400-0000-4705
Account # 3
Contact Unassigned
Department Major Equipment
Type Equipment
Useful Life Unassigned
Category Street Equipment
Priority n/a
Total Project Cost $330,000
Account #2
Description I
This item replaces the front-end loaders used in street maintenance. This loader is used very frequently at the shop. The loader was purchased in
1971 and will be 36 years old at the time of trade-in. The loader is also used for plowing residential streets.
Justification I
The loader requires more frequent and expensive repairs. Replacement parts are hard to find.
Expenditures
Equipment
2007
160,000
Total 160,000
2008
2009
,2010
170,000
170,000
2011
Total
330,000
330,000
Funding Sources
Capital Replacement Fund
Total
2007
160,000
160,000
2008
2009
2010
170,000
170,000
2011
Total
330,000
330,000
Operational Impact/Other I
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Capital Improvement Program
City of Chanhassen, MN
2007 thru 2011
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Account # 1 400-4108-4704
Account # 3
Contact Unassigned
Department Major Equipment
Type Vehicles
Useful Life Unassigned
Category Street Equipment
Priority n/a
Total Project Cost $1,023,800
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Project #
EQ-016
Project Name DumplPlow Truck Replacements/Additions
Account #2
Description I
These purchases are required to maintain a reliable truck fleet. Costs include truck chassis, dwnp box, hydraulic system, snow wing, snow plow
and sander. Truck chassis costs are higher due to new federal mandated anti-lock braking requirements effective since 2000. These vehicles are
purchased using either the Hennepin County or State ofMN cooperative bid systems. Orders for truck chassis are typically required to be placed
up to one year in advance of delivery.
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Justification I
These vehicles are used to provide a variety of maintenance services throughout the community including whiter response for plowing and hauling
snow. The average replacement age is 16.5 years. Winter emergency service necessitates these vehicles be reliable and dependable. Growth in the
community creates additional work for these trucks. These vehicle purchases are consistent with the Vehicle Replacement Schedule. '
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Expenditures
Vehicles
2007
153,000*
153,000
2008
161,000
161,000
2009
338,000
338,000
2010
2011
371,800
371,800
Total
1,023,800
1,023,800
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Total
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Funding Sources
Capital Replacement Fund
Total,
2007
153,000
153,000
2008
161,000
161,000
2009
338,000
338,000
2010
2011
371,800
371,800
Total
1,023,800
1,023,800
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Operational Impact/Other I '
These purchases will include a limited warranty and will reduce the annual maintenance and repair costs as compared to the vehicles replaced.
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*MONEY WILL NOT BE USED IN 2007.
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