RES 96-45 APPROVAL OF SINGLE SOURCE ACQUISITION AND WAIVING BID REQUIREMENTSRESOLUTION NO. 96 - 45
A RESOLUTION of the City of Bainbridge Island, Washington, approving
a single source acquisition and waiving bid requirements.
WHEREAS, BIMC 3.72.040 requires the Council approve any single source equipment
acquisition and the waiving of the bidding requirements, and
WHEREAS, the Council had previously reviewed and approved the Public Works
Department's CAPITAL IMPROVEMENT PROGRAM which indicated a need to replace the
Ditchmaster, and
WHEREAS, Ditchmaster Inc. has provided the City excellent service on the used Ditchmaster
we originally purchased from them in addition to quality and cost-effective equipment and
replacement parts in the past, and
WHEREAS, the present Ditchmaster is costing the City excessive maintenance costs, and
WHEREAS, Ditchmaster Inc. has offered an excellent replacement option.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF BAINBRIDGE ISLAND, WASHINGTON,
DOES RESOLVE AS FOLLOWS:
Section 1. The City's Ditchmaster be replaced on the most cost-effective basis.
Section 2. The replacement equipment should be purchased from Ditchmaster,
Inc. as a single source due to their unique and valuable services, in
addition to their reasonable proposal and quality equipment.
Section 3. The purchasing requirements are waived for this acquisition.
PASSED by the City Council this 21 st day of November, 1996.
APPROVED by the Mayor this 21ST day of November, 1996.
ATTEST/AUTHENTICATE: IJ 1116 _a� K,
Janet K. Wes , Mayor
usan Kasper, City Clerk
FILED WITH THE CITY CLERK:
PASSED BY THE CITY COUNCIL:
RESOLUTION NO.: 96-45
file - wab\agenda\ditchmstr.sglsrcres
RECEIVED
140V - 7 1996
PW/ADM
Memorandum
Date: November 6, 1996
To: Bill Bryan, P.E. - Public Works Director From: Jeff Waite - Operations SupervisoQ�j
RE. Ditchmaster Replacement
As you are aware, the existing Ditchmaster (#52) was scheduled for replacement in 1997. The
machine was manufactured in 1985 and purchased by the City used in 1992 for $112,112. It has
nearly 2000 hours. In the last three years we have spent over $25,000 in repairs with almost $10,000
in 1996 alone. We anticipate it requiring an additional $11,000 of repairs within the next year or two.
Many of the needed repair parts have become obsolete.
Despite the mechanical problems of our existing machine, the Ditchmaster has been an invaluable
asset to our ditch maintenance program. We have operated the new model and, as discussed in the
literature, it is much improved over the older models.
Ditch Master, Inc. of Chehalis, WA, the only supplier within the near vicinity, has provided the City a
proposal for replacing our existing Ditchmaster which we should consider. Through the municipal
finance program offered by the Ford Motor Credit Company, we can lease a new Ditchmaster for
$34,129.72 per year for four years. ( The leased price is $30, 231 less expensive than the purchase
price.) After four annual payments we would own the unit. Ditch Master, Inc. has offered $25,000 for
trade in of our existing unit and has knocked $9,300 off the original purchase price. Thus, our first
year's payment would virtually be $0.
Therefore, in accordance with BIMC 3.72.040, 1 believe that the sole source and special market
conditions requirements have been met in order to waive formal bidding requirements. I
enthusiastically recommend that we take advantage of the special pricing and the lease program
explained above.
Attachments
DrM K-- NIASTER INC.
1975 SOUTH MARKET BLVD.
CHEHALIS, WA 98532
1-800-365-9279
October 8, 1996
Mr. Jeff Waite
City of Bainbridge Island
Department of Public Works
692 Highway 306 N.E.
Bainbridge Island, WA 98110
Subject: DITCH MASTER SPECIAL OFFER
Dear Jed
As we discussed yesterday, Ditch Master has one new and improved Ditch Master left
from this years production. The unit is brand new and offers all our improvements and
versatility. If Bainbridge Island were to take delivery of this unit by December 1996, we
would offer you a factory discount of $9,300.
This unit could be placed on a Ford Municipal Lease program giving you the advantage of
this discount. At the end of each year of the 5, year lease, you can elect to purchase or
continue to lease. Your old Ditch Master Truck could be converted to other uses or sold.
Combining the value of your truck, plus the discount of $9,300 you should be able to
cover most, if not all, of the first years lease program.
Please advise if Bainbridge Island has any interest in this offer as we have only one new
unit left.
Thank you for your considerations,
oB. Still
hn
'j rJ UU • JJ 'J C.. -61
DITCH. MAS'T'ER INC.
1975 South W2rk,et Blvd.
CThehaltia, WA 98532
N�tW (360) 748.3841 1-800-365-9279 FAX 360-748.3841
April 1 S, 1996
Chris Sr. Romain
City of Bainbridge Island
Department of Public Works
692 Highway 305 NE
Bainbridge Island, WA 98110
4-V
Subject: Ditch Master Replacement
Dear Chris:
Ditch Master is pleased to offer you :he following options on replacement of your old Ditch Master.
Through the special Ford Municipal Lease Prognim, Bainbridov Island can lease to own a new 1996 Ditch
Master for.
Monthly Option.
Annual Option:
1996 Model 400 Ditch Master
Bainbridge Island Trade-in
NE LEASE VALUE
$ 2,912.92 (Interest rate 5.65)
534.129.72 (I1i:eresl rate .5.90)
$166,750
<25.000>
$141,750 TOTAL
10.914 Sales Tax
1 2
At the end of each year, you have the option of returning the equipment with no penalty. After 5 years on the
monthly option plan, you own the equipment. or after 4 annual payments, you own the equipment. Your
Trade-in value at that point is $43,500.
In addition, our new systems allow you to use the Ditch Master in other configurations by adding a snow
plow, sand spreader, tailgate conveyor, or any other tool use on a LNT 8(!00 class truck.
Thank you for your interest in Ditch Master and we, look forward to serving the City of Bainbridge Island
Sincerely,,
Vohn B. Stil 'lJ
%President
JBS/sb
11
APR 22 '96 9:06 FROM COML LNDG-MUNICIPALtt2 PAGE.002
Ford Motor Credit Compary
Mr. John Still
Ditch Master, Inc.
1975 S. Market Blvd.
ChehalisE VA 98532
The American Road
P.O. Boot 1739
Oaarbom. Michigan 48121.1739
April 19, 1996
Dear John:
Re: Ford Municipal Finance Program - Quotation for Bainbridge Island 1i 0611ae►, WA
Please review this finance proposal and call me if you have any questions. The following fixed simple
interest rates and payment factors are valid until 8/1/96 and apply to total amounts funded for the
range shown below. A lump -sum $300 Documentation Fee is waived for total transaction amounts
above $50,000.
This quotation is based on the financing of the following equipment: (1) 1996 Ford LNT8000
Chassis/Cab with Ditch' Master Body costing $166,750 less $25,000, down payment/trade difference,
plus 7.71% State sales tax @ $10,928.93 for a net total amount funded of $152,678.93.
offilma No. of Payment PaymeLlt
Total Funded Pmts. Payment Tim!= A.P..B- FAmount
(1150.00042K=_5=1
Opt.#1 $152,678.93 60 Monthly. in Advance 5.65% .019081 $2,913.27*
Opt.#2 $152,678.93 5 Annual in Advance 5.90%- .223561 $34,133.05*
*Sample payment schedule is attached. ,
The Ford municipal iease-purchase finance plan ha& no mileage restriction. no oreoayment Denali,[.
rgquires no security deposft and has a $1 buyout at term end. At lease inception, the new equipment
title/registration would indicate Bairt ridge Island Woudow, WA, as Registered Owner, and Ford Motor
Credit Company, P. 0. Box 1739, Dearborn, MI 48121-1739, as First Lienholder.
Please note: Ford Credit's financing is suhiect to review and 9&o- of the rr unicipal y's two most
rgcent audited financial statementscompleted 'Fact Shiil!et_' and IsignedlUrtel letter along
with mutualhr accertable document ion Sande forms and documentation are attached. An
exception to policy is allowed for police -car transactions (police and sheriff's departments only)
totalling no more than $150,000 in outstandings per entity for terms of three years or less. If those
conditions are met, no audit reports are needed; only the completed 'Fact Sheet' and 'Essential Use'
forms are needed for credit approval.
Thank you for your interest in the Ford Municipal Finance plan, if you have any questions, please call
me at 1-800-241-4199, Ex- 11.
Attachment
R rds,
An Szajg r, etinA Coordinator
Ford Municipal Finance Program
WCH MAUER
Ma7,-,resi n -
p � � creme r i
✓ + _ 9 9 15
BULLETIN
April 18, 1996
DITCH MASTER is committed to the principle of continuous improvement to lower cost
and improve efficiency for the customer. Based on that principle the 1996 DITCH MASTER has
the following major design improvements.
Improvement #1: 1996 DITCH MASTER models are 5 feet shorter, but they have the same
8/10 yard load capability.
BENEFIT: The turning radius has been vastly improved. Overall mobility and applications
have been enhanced.
BENEFIT: A perfectly designed truck. When you load the rear axles to 34,000 lbs, you will
have 15,500 lbs. on the front axle.
Improvement #2: 1996 DITCH MASTERS have a new and greatly improved driveline
system. We installed an Allison 3560MD programmable transmission, eliminated the spicer
auxiliary transmissions and added a CC250 Telma retarder.
BENEFIT: DITCH MASTER's operational envelope has been expanded by 20 to 30 percent.
The 1996 model can run smoothly at 1200/1300 RPM and still control ground speed with less
breaking. This allows faster machine operation when working in sticky or wet materials.
BENEFIT: 1996 models have zero stress on the rear axles. We eliminated all over -torque on
the axles. For customers that have broken axles, this is no longer a problem.
1975 S. Market Blvd., Chehalis Washington 98532 • (800)365-9279 • FAX (360)779-4690
Improvement #3: 1996 models have an optional onboard scale system. This system is
guaranteed accurate to 3% of your load.
BENEFIT: The onboard scale system eliminates the overloading of the vehicle. This system
can provide the customer with a daily printout of load activities. And, it will provide the driver
with front and rear axle loads at all times.
Improvement #4: 1996 models have standard automatic lubrication systems. The truck can be
added as an option.
BENEFIT: Maintenance costs are cut. Proper lubrication is guaranteed on DITCH
MASTER�, 32 lube points.
BENEFIT: The life of wear parts are extended.
Improvement #S: Hydraulics have been redesigned and put on the truck rails.
Interfaces can be provided that will allow installation of other tools, such as snowplow, sand
spreader, tailgate conveyors, etc..
BENEFIT: Hydraulics are easy to access. Maintenance costs are lowered. The DITCH
MASTER is a versatile vehicle; multiuse is now recommended.
Improvement #6: The arm has been redesigned to eliminate bridging while working in wet or
sticky materials.
BENEFIT: With the 1996 DITCH MASTER production goes up, maintenance goes down,
and there are fewer messy cleanups.
Improvement #7: The control console has been redesigned and made smaller. 1996 models
have only 4 levers that control the operation of the DITCH MASTER. Other Functions are
done with toggle switches. The control point uses incremental air valves.
BENEFIT: The cab of the 1996 DITCH MASTER has more free space and is user friendly.
This improvement allows a smoother operation of slide and arm.
Improvement #8: 1996 models standard equipment includes:
Air conditioner
Driver Air Seat
AM/FM Radio
BENEFIT: The. redesign of the control console and inclusion of the above equipment
provides an environment of increased comfort for improved performance of the operator.
1975 S. Market Blvd., Chehalis Washington 98532 • (800)365-9279 • FAX (360)779-4690
2
Improvement #9: To enhance the value of your DITCH MASTER we can provide additional
tools. We can provide system interfaces so that equipment already purchased can be added to
the DITCH MASTER, or provide you with a complete turnkey package.
Options Include:
Snow plow
Sand Spreader (Self loading possible using DITCH MASTER auger)
Front Mounted Broom
Tail Gate Conveyers
2500 lb. Grapple
Onboard Scale System
Du Box Vibrator
If you have a manufacturer preference for any of these options we will do our best to
accommodate your preference.
BENEFIT: The 1996 DITCH MASTER is a high utilization vehicle that provides flexibility
in your fleet.
BENEFIT: The 1996 DITCH MASTER offers lower cost of ownership.
Improvement 910: We provide several auger options:
Standard Ring Application - soft material
Cutting Grooves - vegetation/roots
Carbon Tips - hard material
Improvement #11: Finance program to fit all budgets.
BENEFIT: DITCH MASTER is no longer just'a cash purchase. We have been approved for
the Ford Municipal Lease program. This allow you to get the benefits of DITCH MASTER,
and add capabilities to your fleet for as little as $3,250 per month.
You will love the improvements on the 1996 DITCH MASTER!
Time to trade-in your DITCH MASTER? See our guaranteed trade-in program.
For additional information, please call (800)365-9279.
Sincerely,
John B. Still
President
1975 S. Market Blvd., Chehalis Washington 98532 - (800)365-9279 - FAX (360)779-4690
3