HomeMy WebLinkAboutResolution - 2008-R0314 - Contract For Tractor-Crawler - Warren Cat - 08_28_2008Resolution No. 2008-RO314
August 28, 2008
Item No. 5.11
RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the City Council of the City of Lubbock hereby authorizes and directs the
Mayor of the City of Lubbock to execute a Contract by and between the City of Lubbock
and Warren Cat of Lubbock, Texas, for a D8 Tractor -Crawler with Dozer Blade per
Buyback Program per RFP 08-070-MA, which Contract and any associated documents,
are attached hereto and made a part of this Resolution for all intents and purposes.
Passed by the City Council this 28th day of August 2008.
TOM MARTIN, MAYOR
ATTEST:
Reber a Garza, City Secretary
APPROVED AS TO CONTENT:
Yearvk6d, Assistant City Manager/Chief Information Officer
APPROVED AS TQ-FORM:
ver, City Attorney
DDres/ WarrenCaMcon Res
August 21, 2008
IContract:8679
Resolution No. 2008-RO314
CONDITIONS OF AGREEMENT FOR
GUARANTEED MAINTENANCE
AND
GUARANTEED MINIMUM REPURCHASE
Proposal #08-070-MA —D8 Tractor, Crawler with Dozer Blade — Buyback Program
1. MANUFACTURER: CATERPILLAR $ 541,625.00
MODEL: D8T
Optional 5 year/5000 hour full machine warranty coverage $ 20,900.00
2. TRADE IN: Mfg & Model: n/a
Serial No. n/a $ n/a
3. AMOUNT PAID TO BIDDER $ 562,525.00
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4. GUARANTEED MAINTENANCE $ -0-
(From delivery to 5 years or 5,000 hours
whichever comes first from date of delivery)
5. SUBTOTAL ( ITEM 3 PLUS ITEM 4) $ 562,525.00
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6. GUARANTEED MINIMUM REPURCHASE
A. From delivery to 5 years or 5000 hours
Whichever comes first.
7. TOTAL COST BID (ITEM 5 LESS ITEM 6)
5 YEAR / 5,000 HOURS
S 260,000.00
$ 302,525.00
ITEM NO. 1
Machine to be equipped as per general bid specification according to CITY of LUBBOCK
specifications. Warranty desired is for FULL MACHINE COVERAGE for 5 years or 5,000
hours of operation, whichever comes first from date of delivery. Attach copy of warranty to
bid. If warranty offered is different than requested, state length and conditions below and
include a copy of the warranty offered.
ITEM NO.4
A. Guaranteed maximum maintenance to be for a period of 5 years from the receiving
date of the equipment or 5,000 hours of operation, whichever comes first.
B. Guaranteed maintenance shall include all parts and labor, except the following:
I. Glass, filters, fan belts, cutting edges, lubricants and fluids, tires (except
defective construction), fuel, electrical system, and other items normally
consumed in day to day operations.
2. Damage resulting from fire, wind storm, flood and rising water, theft,
vandalism, abuse and neglect.
C. The bidder guarantees that the cost of repairs, included in guaranteed maintenance for
the period stated in Item No. 4 on the bid form, represents the maximum amount CITY
of LUBBOCK will have to pay and that any such repair costs in excess of this amount
will be paid by bidder. If the cost of guaranteed maintenance does not exceed the
amount in Item No. 4, then CITY of LUBBOCK will pay only the actual costs.
D. All guaranteed maintenance shall be performed by the bidder. If for any reason other
than lack of parts availability, the equipment is not repaired within 7 working days
from the date of breakdown, the bidder will furnish CITY of LUBBOCK, cost free, a
similar piece of equipment for use until repairs are completed. Bidder will be
responsible for the transportation costs of the loaned piece of equipment.
E. Payment to the bidder for guaranteed maintenance shall be made by CITY of
LUBBOCK as repairs are made and billed to the court. At such time during the five
year maintenance period the amount paid to bidder by CITY of LUBBOCK for
guaranteed maintenance equals the amount bid in Item No. 4 of the bid, the bidder will
assume for the balance of the 5 years or 5,000hours period, all costs for labor and parts
for all required guaranteed maintenance to keep the equipment in safe and satisfactory
operating condition.
F. CITY of LUBBOCK will provide a proper level of maintenance on the equipment
purchased and will follow the recommended practice by the bidder pertaining to oil
change, adjustments, parts replacement and any other maintenance procedure that the
bidder deems necessary for long machine life. Oil Sampling is to be provided by the
bidder at bidders expense. CITY of LUBBOCK will collect the samples and send to the
bidder. A copy of all reports shall be sent to CITY of LUBBOCK.
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G. The bidder can and should make regular maintenance inspections, recommendations,
and written reports to the CITY of LUBBOCK.
H. Only parts recommended by the bidder may be used for maintenance and repairs.
I. CITY of LUBBOCK and the bidder have the right to examine each other's records at
any reasonable time and frequency.
ITEM NO.6
A. The guaranteed minimum repurchase is the amount the bidder will guarantee their
product to be worth at the end of the various specified periods. The combination of
"years" and "hours" is for whichever comes first from date of delivery. The bidder
determines the value and guarantees to perform in any or all of the following manners
if CITY of LUBBOCK so desires. The bidder shall be required to purchase the
machine for the greater of the fair market value or the guaranteed minimum
repurchase amount. The bidder shall be required to render a sealed bid at public
auction for at least the guaranteed minimum repurchase amount. The equipment may
be offered for trade and if so the bidder will guarantee to offer at least the guaranteed
minimum repurchase. The guaranteed minimum repurchase values are an integral part
of the bid evaluation but not necessarily the total basis of awarding any bid.
B. CITY of LUBBOCK will have 30 days at the end of each specified time period to
exercise any repurchase option or that portion of the agreement will be terminated and
CITY of LUBBOCK may then use or dispose of the machine in any manner they desire.
C. If CITY of LUBBOCK disposes of the equipment, rents, leases or sells it before the
specified time, then the obligation of the bidder is ended.
ITEM NO.8
A performance bond in an amount equal to 100% of the guaranteed minimum repurchase may
be required of the successful bidder by CITY of LUBBOCK. This bond must be through a
Texas Insurance Company and be performable in CITY of LUBBOCK, Texas. If CITY of
LUBBOCK requires this performance bond, the successful bidder may add the cost of the
bond to Line No. 3—Amount Paid to Bidder.
All items, 1 through 8, on the bid form must be bid or an explanation provided on a separate
sheet or this bid will not be considered.
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ACCEPTED FOR CITY OF LUBBOCK
CITY OF LUBBOCK
Tom Martin, Mayor
ATTEST:
Reh ca Garza, City Secretary
APPROVED AS TO CONTENT:
Mar Yea od, As istant City Manager/
Chie Financial Officer
APPROVED ASFORM:
Assistant ity Attorney
DATE August 28. 2008
WARREN CAT
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