HomeMy WebLinkAbout2019-10-16 19-384 Order
10/16/201919-384
10/16/2019
19-384
Public Works
Order
N/A
Title, Order
Authorizing Award of Bid to Nortrax in the amount of $193,000 for a Front End Loader (Life-cycle Cost)
This order will authorize the purchase of a front end loader from Nortrax for the net amount of
$99,000. On October 2, 2019, the City received three (3) bids ranging from $99,000 - $114,000 net
of the required buyback.
As has been the City's practice when purchasing certain pieces of equipment, this loader was bid
utilizing the life-cycle costing method. Under this costing method, vendors must agree to purchase
the unit back at the end of a period for a predetermined price. For this bid, Nortrax is the low bid as
the new loader would cost $193,000, with a guaranteed buyback of $94,000 for a final net life cycle
cost of $99,000.
Finance Committee
10/07/2019
Recommend for passage
50
Consent
10/16/201919-384
CITY OF BANGOR ORDER
10/16/2019
19-384
Weston
Authorizing Award of Bid to Nortrax in the amount of $193,000 for a Front End Loader (Life-cycle Cost)
Whereas, in the past, the City has utilized the life cycle costing method to purchase equipment; and
Whereas, under this costing method, vendors must agree to purchase the unit back at the end of a period for
a predetermined price.
Whereas, on October 2, 2019, the City received three (3) bids ranging from $99,000 - $114,000 net of the
required buyback.
Be it Ordered by the City Council of the City of Bangor that, the bid for a front end loader under the life cycle
cost method is hereby award to Nortrax, with a purchase price of $193,000 , a guaranteed buyback of
$94,000 which results in a net lifecycle cost of $99,000.
IN CITY COUNCIL
OCTOBER 16,2019
CO 19-384
PASSED
CITY CLE