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4.1 Emergency Services Vehicle Procurement Request for City Council Action DEPARTMENT INFORMATION ORIGINATING DEPARTMENT REQUESTOR: MEETING DATE: Administration Emergency Service Director Rausch September 25, 2023 PRESENTER(s) REVIEWED BY: ITEM #: Chief Rausch City Administrator/Finance Director Flaherty 4.1 – Emergency Services Vehicle Procurement STRATEGIC VISION MEETS: THE CITY OF OTSEGO: Is a strong organization that is committed to leading the community through innovative communication. Has proactively expanded infrastructure to responsibly provide core services. X Is committed to delivery of quality emergency service responsive to community needs and expectations in a cost-effective manner. Is a social community with diverse housing, service options, and employment opportunities. Is a distinctive, connected community known for its beauty and natural surroundings. AGENDA ITEM DETAILS RECOMMENDATION: City staff is recommending that the City Council approve four fleet vehicles purchase. ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED? Yes No BACKGROUND/JUSTIFICATION: City staff is requesting authorization for the purchase of fleet vehicles for the Emergency services Department as part of the 2026 Fleet Capital Improvement Plan (CIP). As outlined in the plan, staff are requesting approval to procure four vehicles for the department to support the essential operations and enhance the City’s ability to serve the community effectively. (Detailed memo attached). This purchase falls within the expected cost range and projected apparatus fleet budget of $4,000,000. The Administrative Subcommittee reviewed the quotes and the Emergency Services fleet acquisition plan at the September 13 meeting and recommended that the purchase be forwarded to the City Council. Each vendor has provided the City draft purchase agreements/contracts which are currently in review by City Attorney Kendall. Pending approval by the City Council, City Attorney Kendall will negotiate necessary edits to the documents, and upon recommendation, the documents will be executed by the Mayor and City Clerk. SUPPORTING DOCUMENTS ATTACHED: • Memo from Emergency Services Director • MacQueen (Pierce) – Purchase Agreement (Draft) • Midwest Fire – Proposal and Purchase Contract (Draft) POSSIBLE MOTION PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES: Motion to approve the purchase of four vehicles for the Emergency Services Department, to approve the Sourcewell contract fees, to approve the construction contingency, each as outlined in the memo included in the packet, and that the purchase agreements are approved in form, subject to modifications by the City Attorney, and to authorize the Mayor and City Clerk to execute the agreements on behalf of the City. BUDGET INFORMATION FUNDING: BUDGETED: Fund 214 – Fire Reserve Yes (2026) City of Otsego│13400 90th Street NE, Otsego, MN 55330│Ph. 763.235.3166 Fire & Emergency Services Department Date: September 25, 2023 To: City Council From: Daryl Rausch, Emergency Services Director Subject: Request for Authorization to Purchase Fleet Vehicles – Emergency Services Department. I am writing to seek authorization for the purchase of fleet vehicles for the Fire & Emergency Services Department as part of the multi-year Fleet Capital Improvement Plan (CIP). As outlined in the plan, we are requesting approval to procure four vehicles for our department to support our essential operations and enhance our ability to serve the community effectively. City staff has met with four manufacturers who submitted specifications for review and refinement. Three companies chose to submit quotes for various apparatus. These quotes were reviewed, and staff recommends that the vendors (as attached in the quotes) be contracted to build the apparatus as shown herein. Details of the vehicle request: 1. Number of Vehicles: 4 2. Vehicle Type: • 1 - 2026 Pierce Enforcer 7010 Rescue Engine (1500 GPM/1000 Gallon On-Board Water) with a 218” Rescue Body. • 1 - 2026 Pierce Enforcer 110 Foot Rear Mount Ladder Platform (2000 GPM Pump/500 Gallon On-Board Water) • 1 - 2025 Freightliner 2-106 4WD / Midwest Fire Equipment / Type III - Wildland Urban Interface Pumper (1250 GPM Pump/750 Gallon On-Board Water) with a WUI Body • 1 - 2025 Freightliner 2-106 2WD / Midwest Fire Equipment / 2500 - Gallon Tender (Tanker) with a 1000 GPM PTO pump City of Otsego│13400 90th Street NE, Otsego, MN 55330│Ph. 763.235.3166 3. Cost: The quoted cost for each vehicle, based on SourceWell Contract pricing is: • 1 - 2026 Pierce Enforcer 7010 Rescue Engine $1,103,938 • 1 - 2026 Pierce Enforcer Ascendant 110 Foot Rear Mount Ladder Platform $1,740,860 • 1 - 2025 Freightliner M2-106 4WD / Midwest Fire Equipment / Type III - Wildland Urban Interface Pumper $538,498 • 1 - 2025 Freightliner M2-106 2WD / Midwest Fire Equipment / 2500 - Gallon Tender $403,507 • We also request that the council approve a 1% construction contingency of $38,436 due to any modifications, technological changes or new features that may become available before construction of these units commences in early 2026. • There is also a SourceWell Contract fee of $2,000 for each vendor contract ($4,000 total). 4. Budget Allocation: These purchases are accounted for within the planning for the formation of the Emergency Services Department and will be funded through accumulated vehicle replacement and ARPA funding. 5. Delivery Timeline: The delivery of these vehicles is anticipated in 2026. The decision to proceed with the purchase of new fire apparatus currently is influenced by the intricate web of supply-chain challenges and the impending changes in emissions standards. The ongoing global supply-chain disruptions have led to prolonged lead times for essential equipment like fire apparatus. These vehicles will be delivered in time for our department to function as the primary response agency beginning January 1, 2027. Please feel free to reach out to me if you have questions or need further information. Sincerely, Daryl A Rausch Emergency Services Director EM-111 08/30/2023 1 PURCHASE AGREEMENT This Purchase Agreement (together with all attachments referenced herein, the “Agreement”), made and entered into by and between MacQueen Equipment, LLC, as Delaware corporation DBA MacQueen Emergency (“MacQueen”), and City of Otsego, (customer) is effective as of the date specified in Section 3 hereof. 1. Definitions a. “Product” means the fire apparatus and any associated equipment furnished for the Customer by MacQueen, pursuant to the specifications. b. “Specifications” means the general specifications, technical specifications, orientation, and testing requirements for the Product contained in the MacQueen Proposal for the Product prepared in response to the Customer’s request for proposal. c. “MacQueen Proposal” means the proposal provided by MacQueen attached as Exhibit C prepared in response to the Customer’s request for proposal. d. “Delivery” means the date MacQueen is prepared to make physical possession of the Product available to the Customer. 2. Purpose This Agreement sets forth the terms and conditions of MacQueen’s sale of the Product to the Customer. 3. Term of Agreement This Agreement will become effective on the date it is signed and approved by MacQueen’s authorized representative pursuant to Section 26 hereof (“Effective Date”) and, unless earlier terminated pursuant to the terms of this Agreement, it will terminate upon the Customer’s Acceptance and payment in full of the Purchase Price. 4. Purchase and Payment The Customer agrees to purchase the Product specified on Exhibit A for the total purchase price of $2,864,632.00 (“Purchase Price”). Prices are in US Funds. NOTE: Upon final inspection at the factory for pick-up or delivery, the customer will need to supply a “Certificate of Insurance” and “FULL PAYMENT” prior to release of the vehicle, unless prior arrangements for vehicle’s release have been made. 5. Future Changes Various state or federal regulation agencies (e.g., NFPA, DOT, EPA) may require changes to the Specifications and/or the Product and in any such event any resulting cost increases incurred to comply therewith will be added to the Purchase Price to be paid by the Customer. Any future drive train upgrades (engine, transmission, axles, etc.) or any other specification changes have not been calculated into our annual increases and will be provided at additional cost. The Company reserves the right to update pricing in response to manufacturer-imposed increases as a result of PPI inflation. The Company will document and itemize any such price increase for the Customer’s approval before proceeding. 6. Agreement Changes The Customer may request that MacQueen incorporate a change to the Products or the Specifications for the Products by delivering a change order to MacQueen; provided, however, that any such change order must be in writing and include a description of the proposed change sufficient to permit MacQueen to evaluate the feasibility of such change (“Change Order”). Within seven (7) business days of receipt of a Change Order, MacQueen will inform the Customer in writing of the feasibility of the Change Order, the earliest possible implementation date for the Change Order, of any increase or decrease in the Purchase Price resulting from such Change Order, and of any effect on production scheduling or Delivery resulting from such Change Order. MacQueen shall not be liable to the Customer for any delay in performance or Delivery arising from any such Change Order. A Change Order is only effective when counter-signed by MacQueen’s authorized representative. Only the listed customer person(s) specified on Exhibit A may be able to authorize and sign the Change Order. EM-111 08/30/2023 2 7.Cancellation/Termination In the event this Agreement is cancelled or terminated by the Customer before completion, MacQueen may charge a cancellation fee. The following charge schedule based on costs incurred may be applied: (a) 10% of the Purchase Price after order is accepted and entered by MacQueen; (b) 20% of the Purchase Price after completion of approval drawings, and; (c) 30% of the Purchase Price upon any material requisition. The cancellation fee will increase accordingly as costs are incurred as the order progresses through engineering and into manufacturing. MacQueen endeavors to mitigate any such costs through the sale of such Product to another purchaser; however, Customer shall remain liable for the difference between the Purchase Price and, if applicable, the sale price obtained by MacQueen upon sale of the Product to another purchaser, plus any costs incurred by MacQueen to conduct any such sale. 8.Delivery, Inspection, and Acceptance a.Delivery Delivery of the Product is approximately 31-34 (Bid 1035) and 34-36 (Bid 1036) months of the Effective Date of this Agreement. Risk of loss shall pass to Customer upon Delivery. Delivery shall be made and title documentation shall pass upon Customer’s complete fulfillment of its obligations arising under Section 4 hereof. Due to global supply chain constraints, any delivery date contained herein is a good faith estimate as of the date of this order/contract, and merely an approximation based on current information. Delivery updates will be made available, and a final firm delivery date will be provided as soon as possible. b.Inspection and Acceptance Upon Delivery, Customer shall have fifteen (15) days within which to inspect the Product for substantial conformance to the material Specifications, and in the event of substantial non-conformance to the material Specifications to furnish MacQueen with written notice sufficient to permit MacQueen to evaluate such non- conformance (“Notice of Defect”). Any Product not in substantial conformance to material Specifications shall be remedied by MacQueen within thirty (30) days from the Notice of Defect. In the event MacQueen does not receive a Notice of Defect within fifteen (15) days of Delivery, Product will be deemed to be in conformance with Specifications and Accepted by Customer. 9.Notice Any required or permitted notices hereunder must be given in writing at the address of each party set forth below, or to such other address as either party may substitute by written notice to the other in the manner contemplated herein, by one of the following methods: hand delivery; registered, express, or certified mail, return receipt requested, postage prepaid; or nationally-recognized private express courier: MacQueen Equipment, LLC 1125 7th Street East St. Paul, MN 55106 City of Otsego Daryl Rausch, Director of Emergency Services 13400 90th Street Otsego, MN 55330 10.Standard Warranty The equipment sold herein will be manufactured by Pierce Manufacturing, Inc. and any warranties are attached hereto as Exhibit B and made a part hereof. Any additional warranties must be expressly approved in writing by Pierce’s authorized representative and MacQueen. a.Disclaimer Other than as expressly set forth in this agreement, neither Pierce, its Parent Company, Affiliates, Subsidiaries, Licensors, suppliers, distributors, dealers, including without limitation, MacQueen, or other respective officers, directors, employees, shareholders, agents or representatives, make any express or implied warranties with respect to the products provided hereunder or otherwise regarding this agreement, whether oral or written, express, implied or statutory. Without limiting the foregoing, any implied warranty against infringement, and the implied warranty of condition of fitness for a particular purpose are expressly excluded and disclaimed. Statements made by sales representatives or in promotional materials do not constitute warranties. EM-111 08/30/2023 3 b. Exclusions of Incidental and Consequential Damages In no event shall MacQueen be liable for consequential, incidental or punitive damages incurred by Customer or any third party in connection with any matter arising out of or relating to this Agreement, or the breach thereof, regardless of whether such damages arise out of breach of warranty, tort, contract, strict liability, statutory liability, indemnity, whether resulting from non-delivery or from MacQueen’s own negligence, or otherwise. 11. Insurance MacQueen maintains the following limits of insurance with a carrier(s) rated A- or better by A.M. Best: Commercial General Liability Insurance: Products/Completed Operations Aggregate: $ 2,000,000 Each Occurrence: $ 2,000,000 Umbrella/Excess Liability Insurance: Aggregate: $ 5,000,000 Each Occurrence: $ 5,000,000 The Customer may request MacQueen to provide the Customer with a copy of a current Certificate of Insurance with the coverages listed above. Worker’s Compensation. The Contractor shall obtain and maintain for the duration of this Contract, statutory Worker’s Compensation Insurance and Employer’s Liability Insurance as required under the laws of the State of Minnesota. Product Liability Insurance. Contractor must submit a Certificate of Insurance listing the manufacturer's product liability insurance coverage. Liability insurance shall be a minimum amount of $5,000,000.00 with coverage attained with a minimum of $1,000,000.00 underlying insurance and $4,000,000.00 umbrella coverage. Submitted Certificate shall name the apparatus manufacturer, insurance company, policy number, and effective dates of the insurance policy. 12. Indemnity The Customer shall indemnify, defend and hold harmless MacQueen, its officers, employees, dealers, agents or subcontractors, from any and all claims, costs, judgments, liability, loss, damage, attorneys’ fees or expenses of any kind or nature whatsoever (including, but without limitation, personal injury and death) to all property and persons caused by, resulting from, arising out of or occurring in connection with the Customer's purchase, installation or use of goods sold or supplied by MacQueen which are not caused by the sole negligence of MacQueen or Pierce. 13. Force Majeure MacQueen shall not be responsible nor deemed to be in default on account of delays in performance due to causes which are beyond MacQueen’s control which make MacQueen’s performance impracticable, including but not limited to civil wars, insurrections, strikes, riots, fires, storms, floods, other acts of nature, explosions, earthquakes, accidents, any act of government, delays in transportation, inability to obtain necessary labor supplies or manufacturing facilities, allocation regulations or orders affecting materials, equipment, facilities or completed products, failure to obtain any required license or certificates, acts of God or the public enemy or terrorism, failure of transportation, epidemics, quarantine restrictions, failure of vendors (due to causes similar to those within the scope of this clause) to perform their contracts or labor troubles causing cessation, slowdown, or interruption of work. 14. Default The occurrence of one or more of the following shall constitute a default under this Agreement: (a) the Customer fails to pay when due any amounts under this Agreement or to perform any of its obligations under this Agreement; (b) MacQueen fails to perform any of its obligations under this Agreement; (c) either party becomes insolvent or become subject to a bankruptcy or insolvency proceedings; (d) any representation made by either party to induce the other to enter into this Agreement is false in any material respect; (e) the Customer dissolves, merges, consolidates or transfers a substantial portion of its property to another entity; or (f) the Customer is in default or has breached any other contract or agreement with MacQueen. 15. Relationship of Parties Neither party is a partner, employee, agent, or joint venture of or with the other. EM-111 08/30/2023 4 16.Assignment Neither party may assign its rights and obligations under this Agreement unless it has obtained the prior written approval of the other party. 17.Governing Law; Jurisdiction Without regard to any conflict of law’s provisions, this Agreement is to be governed by and under the laws of the state of Minnesota in Wright County District Court. 18.Facsimile & Electronic Verified Signatures The delivery of signatures to this Agreement by facsimile transmission and/or electronic verified shall be binding as original signatures. 19.Entire Agreement This Agreement shall be the exclusive agreement between the parties for the Product. Additional or different terms proposed by the Customer shall not be applicable, unless accepted in writing by MacQueen’s authorized representative. No change in, modification of, or revision of this Agreement shall be valid unless in writing and signed by MacQueen’s authorized representative. 20.Conflict In the event of a conflict between the Customer Specifications and the MacQueen Proposal, the MacQueen Proposal shall control. 21.Additional Orders Company, at its sole discretion, will allow the terms of this contract to be extended to both the Customer, as well as to other Municipal, State, or Federal agencies for similar unit(s). Company will allow tag on / additional orders for up to three (3) years from the date of contract execution. To facilitate pricing, Company will quote the original price plus manufacturer’s price increases or Producer’s Price Index (PPI) whichever is greater as it applies to either Fire Apparatus and/or commercial heavy truck industries. Additionally, any regulatory changes (NFPA, EPA, Engine Emissions, FMVSS, etc.) will also have to be added to the price as they become applicable. Change orders to the original specification will need to be authorized, signed, and accepted by Company. Any entity using this tag-on/additional orders program will be required to sign a new contract commencing the relationship. Additionally, if required by the Purchaser, any new tag-on / additional orders that require a “separate” Performance bond will be separately priced. This contract, including its appendices, embodies the entire agreement between the parties relating to the subject matter contained herein and merges all prior discussions and agreements. No agent or representative of Company has authority to make any representations, statements, warranties, or agreements not herein expressed and all modifications of amendments of this agreement, including any appendices, must be in writing and executed by an authorized representative of each of the parties hereto. No surety of any performance bond given by Company to the Customer in connection with this Agreement shall be liable for any obligation of Company arising under the Standard Applicable Warranty. 22.Prompt Payment to Subcontractors. Pursuant to Minnesota Statutes § 471.25, Subdivision 4a, the Contractor must pay any subcontractor within ten (10) days of the Contractor’s receipt of payment from the City for undisputed services provided by the subcontractor. The Contractor must pay interest of one and one-half percent (1½ %) per month or any part of a month to subcontractor on any undisputed amount not paid on time to the subcontractor. The minimum monthly interest penalty payment for an unpaid balance of $100.00 or more is $10.00. For an unpaid balance of less than $100.00, the Contractor shall pay the actual penalty due to the subcontractor. A subcontractor who prevails in a civil action to collect interest penalties from the Contractor shall be awarded its costs and disbursements, including attorney’s fees, incurred in bringing the action. 23.Data Practices/Records. A. All data created, collected, received, maintained or disseminated for any purpose in the course of this Contract is governed by the Minnesota Government Data Practices Act, Minn. Stat. Ch. 13, any other applicable state statute, or any state rules adopted to implement the act, as well as federal regulations on data privacy. B.All books, records, documents and accounting procedures and practices of the Contractor and its EM-111 08/30/2023 5 subcontractors, if any, relative to this Contract are subject to examination by the City. 24.U.L. Certification. Contractor shall furnish City with a Certificates of Testing for the Manufacturer's Preliminary Test and the ULI Certification Tests. 25.Delivery Manuals. Upon delivery of the Apparatus, Contractor shall supply the following copies of delivery manuals on each Apparatus: 1. All warranties required by the Contract Documents; 2. Engine manufacturer's certified brake horsepower curve showing the maximum no load governed speed; 3. Manufacturer's record of pumper construction details, per NFPA; 4. Manufacturer's run-in Certification with preliminary test results; 5.Pump Manufacturer's Certification of Hydrostatic Test; 6.Pump Manufacturer's Certification of Pump Test results; 7.The Certification of Inspection/Test of Fire Department Pumper by Underwriters Laboratories, Inc.; 8. Weight documents from a certified scale showing actual loading on the front axle, rear axle, and overall vehicle (with the water tank full but without personnel, equipment, and hose); 9. At least two copies of the complete operation and maintenance manual covering the completed Apparatus as delivered including the pump, emergency lighting and sirens, portable fire pump, portable or built-in generator, or either furnished accessories; 10. Wiring diagrams of electrical systems, installed by Apparatus manufacturer; and 11. A Delivery Manual, consisting of a 3-ring notebook type binder with reference tabs for each section, shall be furnished to include the following item: individual component manufacturer instructions and parts manuals, warranty forms for body, warranty forms for all major components, warranty instructions and format to be used for compliance with warranty objections, routine service forms/publications, and technical publications or training guide for major components. 26.Signatures This Agreement is not effective unless and until it is approved, signed and dated by MacQueen’s authorized representative. Accepted and Agreed to: MACQUEEN EQUIPMENT, LLC Signature: ________________________________ Name: ___________________________________ Title: ___________________________________ Date: ___________________________________ CITY OF OTSEGO Signature: _______________________________ Name: __________________________________ Title: __________________________________ Date: __________________________________ Signature: _______________________________ Name: __________________________________ Title: __________________________________ Date: __________________________________ EM-111 08/30/2023 6 EXHIBIT A – PURCHASE PAYMENT TERMS & CONDITIONS MacQueen Equipment, LLC, 1125 7th Street East, St. Paul, MN 55106 Customer Name City of Otsego Date September 19, 2023 Quantity Chassis Type Body Type Price per Unit 1 Enforcer 110' Ascendant Aerial $1,740,860.00* 1 Enforcer PUC Pumper $1,103,938.00* *Sourcewell Consortium Pricing, Member ID 30397. *Sale Price includes $10,000.00 per unit for loose equipment & installation. PERFORMANCE BOND OPTION: If a Performance Bond is required add $7,216.00 to the contract price. Initial here to accept: . 100% PREPAYMENT OPTION: DUE FIFTEEN (15) DAYS FROM CONTRACT SIGNGING TO BE APPLICABLE. If 100% prepayment is made fifteen (15) days from contract signing, deduct $269,098.00 from contract price. Payment due with contract is $2,595,534.00 OR $2,602,750.00 with Performance Bond. Initial here to accept: . Only the below listed person(s) are authorized to make changes to product specifications on behalf of the Customer. Name Title This contract is available for inter-local and other municipal corporations to utilize with the option of adding or deleting any Company available options, including chassis models. Any addition or deletion may affect the unit price. “PAYMENT TERMS” 100% of contract price or any balance is due prior to vehicle(s) release at the Pierce Manufacturing Plant (Appleton, WI OR Bradenton, FL). “TAXES” Federal, State, and Local Taxes are not included in the contract price. “LATE PAYMENT” A late fee of .033% of the sale price will be charged per day for overdue payments beginning ten (10)days after the payment is due for the first thirty (30) days. The late fee increases to .044% per day until the payment is received. [NOTE: If deferred payment arrangements are required, the Customer must make such financial arrangements through a financial institution acceptable to MacQueen.] All taxes, excises and levies that MacQueen may be required to pay or collect by reason of any present or future law or by any governmental authority based upon the sale, purchase, delivery, storage, processing, use, consumption, or transportation of the Product sold by MacQueen to the Customer shall be for the account of the Customer and shall be added to the Purchase Price. All delivery prices or prices with freight allowance are based upon prevailing freight rates and, in the event of any increase or decrease in such rates, the prices on all unshipped Product will be increased or decreased accordingly. Delinquent payments shall be subject to a carrying charge of 1.5 percent (1.5%) per month or such lesser amount permitted by law. MacQueen will not be required to accept payment other than as set forth in this Agreement. However, to avoid a late charge assessment in the event of a dispute caused by a substantial nonconformance with material Specifications (other than freight), the Customer may withhold up to five percent (5%) of the Purchase Price until such time that MacQueen substantially remedies the nonconformance with material Specifications, but no longer than sixty (60) days after Delivery. If the disputed amount is the freight charge, the Customer may withhold only the amount of the freight charge until the dispute is settled, but no longer than sixty (60) days after Delivery. MacQueen shall have and retain a purchase money security interest in all goods and products now or hereafter sold to the Customer by MacQueen or any of its affiliated companies to secure payment of the Purchase Price for all such goods and products. In the event of nonpayment by the Customer of any debt, obligation or liability now or hereafter incurred or owing by the Customer to MacQueen, MacQueen shall have and may exercise all rights and remedies of a secured party under Article 9 of the Uniform Commercial Code (UCC) as adopted by the state of Minnesota. THIS PURCHASE DETAIL FORM IS EXPRESSLY SUBJECT TO THE PURCHASE AGREEMENT TERMS AND CONDITIONS DATED AS OF September 19, 2023 BETWEEN MACQUEEN AND City of Otsego (customer) WHICH TERMS AND CONDITIONS ARE HEREBY INCORPORATED IN, AND MADE PART OF, THIS PURCHASE DETAIL FORM AS THOUGH EACH PROVISION WERE SEPARATELY SET FORTH HEREIN, EXCEPT TO THE EXTENT OTHERWISE STATED OR SUPPLEMENTED BY MACQUEEN HEREIN. Is Customer Name and Address listed on page 2 to be used on Certificate of Origin (CO)? Yes No If not, please provide correct name and address to be listed on CO. ____________________________________ _____________________________________________________________________________________________ Is there a lienholder? Yes No If yes, please provide lienholder information. _______________________________________________________ _____________________________________________________________________________________________ City of Otsego Apparatus Proposal Midwest Fire has prepared two (2) separate fire apparatus proposals for Otsego Emergency Services: 1. One (1) All-Poly Series 2,500 Gallon Tanker-Pumper with 1,000gpm PTO Pump on a 2025 Year Model Freightliner M2-106 PLUS Regular Cab Single Axle Chassis Proposal Price: $403,507 2. One (1) All-Poly Series 750 Gallon 4x4 Pumper with 1,250gpm PTO Pump on a 2025 Year Model Freightliner M2-106 PLUS Crew Cab 4x4 Single Axle Chassis Proposal Price: $538,498 *Both apparatus are to be purchased using Sourcewell Cooperative Purchasing. PURCHASE CONTRACT Date: Customer Name *(Sourcewell Member Name - if purchased through Sourcewell) Address City/State/Zip Midwest Fire Sourcewell Contract: 113021-RCK (Sourcewell Member Name) Sourcewell Membership: (Sourcewell ID#) Dear Customer: We hereby propose and agree to furnish, after your acceptance of this proposal and the proper execution by: (“Customer”) and an officer of Midwest Fire Equipment & Repair Co. (“Midwest Fire”) the following apparatus and equipment: (Type of Apparatus Being Purchased) All of which are to be built in accordance with the specifications, clarifications and exceptions attached, and which are made part of this agreement and contract, to be completed same in: 260 business days after receipt of truck chassis by Midwest Fire, subject to all causes beyond our control. NOTE: CHASSIS PRICING IS ESTIMATED FOR THE CURRENT MODEL YEAR. DUE TO VENDORS INCREASE IN PRICING, GOVERNMENT MANDATES (EPA, ETC.), OR MODEL YEAR ACTUAL PRICING DIFFERS, PRICING WILL BE RE-PRICED UPON MIDWEST FIRE RECEIPT OF CHASSIS INVOICE FROM OEM. Apparatus Proposal Price $ - Chassis Proposal Price Total Proposal Price:$ $ - Apparatus & Chassis Proposal Price $ - Apparatus Sourcewell Pricing (Discount) $ Midwest Fire has accounted for an additional $15,000 in surcharges and price increases from Chassis OEM in the Chassis Proposal Price. Any amount less than the Chassis Proposal Price on the final chassis invoice will be credited back to the (Department’s Name) on the final payment. Any amount exceeding the Chassis Proposal Price on the final chassis invoice will be the responsibility of the (Department’s Name). Customer is responsible for taking possession of the apparatus and/or equipment at the Midwest Fire location in Luverne, Minnesota, unless otherwise agreed to in a writing signed by Midwest Fire and Customer. Terms: A deposit in the amount of $10,000 shall be paid within 10 business days upon acceptance of this Proposal by the Customer. The balance of the value of the chassis less the deposit shall be paid within 10 business days of Midwest Fire receiving formal notification that chassis is complete from the OEM. Customer is responsible to pay the remaining balance in full upon acceptance of apparatus. Midwest Fire will honor the price & terms quoted in this purchase contract for a period of 30 days from the date noted above. Beyond the contract deadline date, all pricing and terms are subject to change. Pre-Construction Meeting: Within twenty-one calendar days after contract signing, Customer is responsible to join Midwest Fire for an in person, conference call or video based, Pre-Construction Meeting to review project specifications in depth. Midwest Fire will support the Pre-Construction meeting with the Lead Salesperson for the project, Project Manager, and Subject Matter Experts as required. Any changes made to the project during the Pre- Construction meeting will be calculated at standard pricing. No change order fee is charged. Change Orders: Any change to the apparatus and/or equipment after the contract is signed will require a change order. After the Pre-Construction meeting is held, any future change will be subject to a minimum change order fee of $500 (processing, engineering changes, documentation), plus the change order cost. Any returned parts may be subject to a restocking fee and depending on the lead time of items included on the change order, the completion date of the apparatus may change. Force Majeure: Neither party shall be liable or responsible to the other party, or be deemed to have defaulted under or breached this contract, for any failure or delay in fulfilling or performing any term of the contract (except for any obligation to make payments to the other party hereunder), when and to the extent such party’s failure or delay is caused by or results from the following events: (1) acts of God; (2) flood, fire, earthquake, tornado, or explosion; (3) war, invasion, hostilities, terrorist threats, or acts, riot, or other civil unrest; (4) government order, law, or action; (5) embargoes or blockades in effect on or after the date of this contract; (6) national or regional emergency; (7) strikes, labor stoppages or slowdowns, supply chain shortages or disruptions, unforeseen price changes and cancellations by OEMs, or other industrial or manufacturing disturbances; or (8) power outages or shortages, inadequate transportation services, or inability or delay in obtaining supplies of adequate or suitable materials. The party impacted by any of the above force majeure conditions shall give notice to the other party within five calendar days of learning of such condition(s), stating the period of time the occurrence is expected to continue. The party impacted by any of the above force majeure conditions shall resume the performance of its obligations as soon as reasonably practicable after the removal of the condition. Taxes Responsibility of Customer: Any and all sales, use, environmental, ad valorem, or excise tax or any other similar taxes, fees, duties, or charges of any kind imposed by any governmental authority on any amounts payable by Customer under this contract shall be the sole responsibility of Customer. No Liability for Consequential or Indirect Damages: Neither Midwest Fire nor its representatives is liable for consequential, indirect, incidental, special, exemplary, punitive or enhanced damages, lost profits or revenues, or diminution in value, arising out of or relating to any breach of this contract, regardless of whether such damages were foreseeable or whether or not Midwest Fire was advised of the possibility of such damages. Binding Effect: This contract shall be binding upon and inure to the benefit of the parties hereto and their respective successors, assigns, heirs, and beneficiaries. No amendment or modification of this contract is effective unless in writing and signed by each party. Governing Law: This contract shall be governed by the laws of the State of Minnesota. Entire Agreement: This contract, and any change orders, constitutes the sole and entire agreement of the parties with respect to the subject matter contained herein and supersedes all prior and contemporaneous understandings, agreements, representations and warranties, both written and oral, with respect to such subject matter. Severability: If any term of this contract is invalid, illegal, or unenforceable in any jurisdiction, such invalidity or unenforceability shall not affect any other term or provision of this contract or invalidate or render unenforceable such term or provision in any other jurisdiction. Jurisdiction and Venue: Any claims, causes of action, disputes, legal proceedings, or litigation arising between the parties arising under or in connection with this contract or the formation thereof shall be brought solely in Rock County, Minnesota. Customer, by entering into this contract, hereby submits and consents to jurisdiction in the State of Minnesota. Exclusion of Warranties: EXCEPT AS OTHERWISE PROVIDED TO CUSTOMER IN WRITING, THERE ARE NO OTHER WARRANTIES WHICH EXTEND BEYOND THE DESCRIPTION ON THE FACE OF THIS CONTRACT, AND CUSTOMER ACCEPTS APPARATUS AND/OR EQUIPMENT “AS IS.” Respectfully submitted, Sarah J. Atchison President & CEO Midwest Fire Equipment & Repair Company We, the Customer, agree to accept the above proposal and hereby enter into the purchase contract with signature below: Customer/Business Name (please print) Business Address __________________________________________ Printed Name __________________________________________ Signature Date __________________________________________ Title NOTICE FINAL SPECIFICATIONS: Attached you will find the final & comprehensive specifications for your truck. Read them carefully. This document serves as formal notice that the attached specifications provide the entire scope of work & design for the truck that Midwest Fire Equipment & Repair Company (Midwest Fire) is manufacturing for you. Any & all equipment, features, accessories, mounts, graphics, etc. to be included with your truck is/are detailed in this final specification document. CHANGE ORDERS: The attached specifications are final & comprehensive. The project design for this truck is officially frozen (Design Freeze) as of this date. Any future changes must be mutually agreed upon through an official written Midwest Fire Change Order, executed (signed) by both Midwest Fire & the purchaser. Further, the purchaser understands that any future design changes may impact both project cost and timeline. Purchaser will hold Midwest Fire harmless from any potential liability incurred as a result of project delays resulting from any Change Orders. FINAL PAYMENT, TRANSFER OF OWNERSHIP & TRAINING: The Purchase Contract states clearly that: 1) at the conclusion of your project & prior to taking possession, you will pay the balance remaining on the purchase price of your truck, in full. 2) you will take physical possession of the truck & receive any & all training on the operation of your truck at the Midwest Fire facility in Luverne, Minnesota. I hereby acknowledge that I have received & fully understand the above information. ___________________________ _____________________ Purchaser Date IF THE EQUIPMENT/ITEM/FEATURE IS NOT DETAILED IN THE SPECIFICATIONS FOR YOUR TRUCK AND YOU DO NOT HAVE A CHANGE ORDER, SIGNED BY BOTH YOU & MIDWEST FIRE, DETAILING THE CHANGE/ADD OF THE EQUIPMENT/ITEM/FEATURE FOR YOUR TRUCK, IT WILL NOT BE INCLUDED ON YOUR TRUCK.