HomeMy WebLinkAbout1998-11-16 Finance Committee MinutesFinance Committee
Meeting Minutes
November 16, 1998
Councilors Attending: Jun Tyler, Pat Blanchette, Gary Palmer, Joe Bedard
StaffAttend'mg: Edward Bauer, Ron Heller, Pols Stumpfei, Norm Hemmum,
Arthur Stockus
1. E.ecave Session: Land Acquisition
q. Executive Session- Pmneiv Disrosition
3. Bids:
m Cable Production Facility (Legal Department)
WBGRof Bangor
A representative from WBGR attended the meeting and showed the Committee a brief videotape
of their facility operation. Ed Barrett commented that at this point there are questions about this
proposed because WBGR was the only proposal received. One concern is that WBGR is located
just outside of the City and far from its developed mea Staff would an the opportunity to talk
further with WBGR Staffdid look m City owned facilities to try and locate something already
¢,)'sting but did not find anything that mWd be used. Erik SmmpfW suggests that ifan agreement
is negotiated that it be only a one yeu Weemmt for l9W. The Committee drectedstaffto
continue discussions with WBGR and to come back to the Committee with a one year agreement.
b. Zero Turning Radius Mower (Golf Course)
R.D. FaWimer of Brewer (M,609A0)
The Golf Course purchased a mown in September and RD. Faulkner has agreed to sen the
second one for the same price. The budget was originally based on the purchase of a more
expensive mower. Staff determined that two much less expensive mowers would better meet the
requirements ofthe Golf Course. Approved.
C. Renovations of 51 Vacant Military Housing Units on Randolph
Drdve/Maxwen Lane (Community Development)
R & K Construction of Brewer and Intown Maintenance & Management of
Orono
There were five bids received. T.I. Manval originally recommended awarding the comma to
both R & K Construction and Imowm Maimenance & Management because of the classmates of
thebids. Dave Pellegrino explained that Ws can not be done. The low bidder has already made
arrangements to buy supplies needed and the material can not be cutin halfwhile holding the
contractor to the same prices. Dave's recommendation is to award to It d Construction asa
primary contractor and (Mown Maintenance & Mansgemmt, as the back up contractor.
Howard Weldon oflntown Maintenance & Management felt that R & K's bid was non-
responsive. Dave indicated that was the appearance m the time ofbid opening since there was a
request for two copies of the bid and R & K bad forgotten to put one price on the extra copy, but
everydungwascompleteontheorigind. Staff feels that R& Kmetthe intent ofrequestforbid
and the recommendation is to go with R& K for the primary contractor. Approved.
d. Calcium and Magnesium Chloride (Public Services)
W.H. ShurlleR of S. Portland ($5,700); Harcross Chemicals, Inc. of
Westbrook ($3,576); and Chemical Solutions of Franklin, MA ($3,500)
Award liquid calcium chloride services to W.H. Shurdef, the only bidder at 1.90 per gallon.
Award the anhydrous calcium chloride to Harems Chemicals, the low bidder at $298 par ton.
Award the liquid magnesium chloride to Chemical Solutions, Inc., the only bidder a $1.75 per
Sagas. Approved.
e. "U' Channel Sign Posts (Public Services)
While Sign of Stillwater ($10,451)
Recommendation to purchase the 1300 "U' channel sign ports from White Sign of Stillwater, the
low bidder at $6.37 each for the 4' posts and $10.86 each for the 9' posts.Approved.
E Plow& Wing Assembly for Case Loader (Motor Pool Department)
H.P. Fairfield, Me., of Skowhegan ($16,997)
Most of the City's plows are Frink brand plows and have been purchased from H.P. Fanfold for
same years. The low bids were reviewed by Arthur Stockus and Bob Dawes. They are
recommending that the City not buy the low bid item from Maine Municipal Truck and instead go
with H.P. Fairfield primarily for quality and service concems.
A representative from Maine Municipal spoke to the Committee about concerns with the
recommendation. Maine Municipal Track guarantees that the Viking equipment bid will meet or
exceed the performances standards of the Frivk equipment. Atwo-year warranty is oftered on
their product line. Items are either in stock or Viking has a quick mm around time in getting the
particular item. The initial installation is 2.3 weeks at the most, after the equipment is received.
Maine Municipal Track is new to Maine within the past three years. Than expertise and the
quality of the equipment is excellent. Councilor Blanchette commanded that in looking at a memo
from Arthro Stoclma, he noted that in visiting Mame Municipal's site, there was a lank of
inventory. It is crucial that if a track breaks down, that it be feed as quickly as possible. Pat
asked if there was a reason why they didn't carry inventory here in Mame? It was explained that
they as cuncr ly building thew inventory in Msme. The support from Viking to Maine Mmlcipal
has been great. They have not had any problems in getting supplies. They do not have a big
amount of storage space at ties tint; but this is being addressed.
Arthro pointed out that his objection W purchasing Viking equipment has nothing to do with
Maine Municipal Equipment. The problems are with Viking and their product. The
represmmtive from Maine Municipal Equipment explained that they will do everything within
their power to back up their equipment and take care of it on a finely basis. Councilor Tyler
commented that he bas concent with the bid specification itself. Themisab)dderwhois
contending that they most the specification requirements in the bid document. If this is true, are
the bid specifications adequate? Dave Pellegrino answered that he agrees there are two
responsive bidders. The suggestion was made to throw them out and redo the specs. Dave
objected and would not do that because he felt that if the specs were re -done, there would be
specs that brink would meet and Viking would not meet. This bid bas to be decided on the terms
of the merits. Maine Municipal Truck Equipment is the low bidder, but additional concerns have
been raised. Viking in the past has not Ixum great with service and quality. HP. Fairfield has
been excellent in the past because they back it up. They take care of the service and than deal
with the manufacturer. Arthur does art feel that Maine Municipal was the most responsive
bidder The bid sheets were vague. City spe ificatiore were subjective on the part of Maine
Municipal. References given by Maine Municipal Equipment for similar installations tamed out to
be misleading.
A representative from H.P. Fairfield explained that they have a large inventory of parts and
ecimpssmt. They have road mechanics In theh employ to belp if the City needs help with
servicing. The concentration is on support and service
Approved recommendation to award to H.P. Fairfield.
4. 91 her Sine - Mewed Sewer Lien
This workout agreement is for a matured sewer lien and outstanding real estate tures. Ms.
Hughes has applied for a hardship abatement and the State circuit breaker program. Staff
recommends a sir month workout agreement. By that time, staff will know what the taxes will
be. At that time, it can be re -written to include any outstanding taxes. Approved.
5. Phyacal Damage Coverage for Certain City Vehicles
Staff recommends purchasing physical damage coverage for some City vehicles. Someofthe
vehicles are valued at $30,000 or more and the smallest dent can result in 44,000 to $5,oW worth
of damage. The cost for this coverage is a Flat rate of $91/unit This applies to coWsion and
comprehmsivecoveragewitha$250deductible. Committee rewnunends staff going forward
and come back with a recommendation.
:)iFR1AYi:Si#1R#>sVmd•IIf�:Lifd4Z•]i
Mr. Donovan has asked on now into aworkout agreement to pay all the outstanding taxes for the
above property. rhepayment would be $73.00 per month for 12 months. Approved.
T 250 State Street - Workom Alugeme_nt
Lary, and Dome Fieri curemly have a workout agreement and are asking that the bagoon be
extended for mother 12 months. The payment would stay at $200 per month. They have kept up
on thar current agreement and current taxes. Approved.
8. 279 Hammond Street - Tex Pavmeat
Machiw Savings Bank has a first priority interest in the above property. They did not receive
notice of the City's line on the property for FY96 and wish to redeem the property per their rights
under Some law. The City must accept payment and quit claim back to Mr. Smith. The property
is currently placarded and has code issues. Machias Savings Bank is prepared to loan Mr. Smith
the necessary, amount to pay all outstanding tax balances and sewer balances due. This would
amount to $6,400. After the amount are paid, Mr. Smith plans to sell the property and the new
owners will clear the property for new development. Dan Wellington has indicated that if the new,
owners do not clear the property, the City would be able to take possession by condemnation and
clear it ourselves. This will be put on the next Council Agenda.
This was tabled from the last meeting due to code issues to be looked at. This is for a matured 96
Gen towed as a 97 and 9g tax Gen and the first half of 99 as well as $746 in past due property
taxes. There see 2, 2-erut buildings on one lot. One is completely placarded and the second is the
residence. The ownere has begun work on one fothe buildings and is in the process of refinancing
the property to address code issues. Staff recommends accepting the payment Approved.
Ron Heller explained that staffwlG be issuing two series ofbonds. One series of $3.4 million
-- under a standard type bond issue. The second series will he used to head both the housing
purchase on Randolph Drive as well as the Pastern Maine Healthcare building on Sylvan Road.
Staff will be trying to privately place the $14 minion with a local bank. [t would be a 3-4 year
note with tM1em. A memo was provided to the Committee with more details on the bond issue.
With no further business to discuss, the meeting adjoumed.