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B3. Award Bid - Used Motor GraderPublic Works Department MONTA NA TO: FROM: SUBJECT: MEETING DATE: 201 l s` Avenue East PO Box 1997 Kalispell, MT 59903 Phone: 406-758-7720, Fax: 406-758-7831 www.katispell.com /public_works MEMORANDUM Doug Russell, City Manager'�Z Susie Turner, PE, Director of `Public Works Used Motor Grader September 8, 2015 BACKGROUND: Bids for a Used Motor Grader were opened on Monday, September 1, 2015. The procurement scope included the purchase of one used Motor Grader and options for trade for Streets Division trade-ins. The four bid options were listed as follows: • Option "1" is for a used Motor Grader - No trade in • Option "2" is for a used Motor Grader - less trade in of Cat 140G Motor Grader • Option "3" is for a used Motor Grader less trade in of John Deer 570A Motor grader • Option "4" used Motor Grader less trade in of CAT 140G and John Deer 570A Out of the three prospective companies who obtained bid packets two responsive bids were received as listed below. Company Option 1 Option 2 Option 3 Option 4 RDO Equipment Co. $140,000.00 $95,000.00 $124,000.00 $79,000.00 Western States $177,680.00 $132,680.00 $167,680.00 $122,680.00 Western States submitted three bids on different types of used motor graders with only one meeting or exceeding the bid specifications. This unit was used in the bid comparison. RDO Equipment Co. was determined to be the low bidder and their bid met or exceeded all of the minimum specifications. STAFF RECOMMENDATION: Award the bid for the Used Motor Grader to RDO Equipment Co. in the amount of $79,000.00. ACTION REQUESTED: Motion to award the bid for a Used Motor Grader with Option "4" to RDO Equipment Co. for$79,000.00. FISCAL EFFECTS: The purchase of the Used Motor Grader will be funded by the Special Maintenance Streets Replacement Fund line item 2500-421-430245-940: Used/Refurbished Grader. A total of $200,000 was budgeted in Fiscal Year 15/16 for the purchase of a Used Motor Grader. ALTERNATIVES: As suggested and approved by the City Council.