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ITEM 3.8 Purchase of Tire Machiner yt Ot STeg FO MINNESOTA DEPARTMENT INFORMATION Request for City Council Action ORGINATING DEPARTMENT: REQUESTOR: MEETING DATE: Public Works, Street Department Kevin Lamson, Street Operations Mar. 28, 2016 Manager PRESENTER(s): REVIEWED BY: ITEM #: Consent Agenda Lori Johnson, City Administrator 3.8 AGENDA ITEM DETAILS RECOMMENDATION: Staff recommends purchase of a tire machine from Hanco Corporation for $6,390. ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED? �No No BAC KG RO U N DM U STI F ICATI O N: Staff currently uses Pomps Tire Service out of Rogers for all of our tire repair needs. Since 2012, staff has had to make approximately 45 trips to the Rogers shop to drop off and pick up tire repairs that have totaled roughly $3,600. Most of the repairs are simple enough to make if you have the equipment to mount/dismount the tire. There is also the additional cost of down time dropping off and picking up the tire. Staff has considered purchasing a tire machine in the past and finally budgeted for a machine to purchase in 2016. We have requested quotes for a tire changing machine from Hanco Corporation and Hunter Engineering Company for state contract pricing and we have received quotes of $6,390 and $7,422.95 respectively. Staff is recommending purchase of a tire machine from Hanco Corporation for $6,390. This piece of equipment is budgeted for purchase in 2016 under the Fleet Department's small tools and equipment budget. Staff had placed an initial budget amount of $6,000 for the purchase. The Public Works Subcommittee was presented with this information and recommended that it be placed on consent agenda. SUPPORTING DOCUMENTS: X ATTACHED ❑ NONE -Hanco Corporation quote -Hunter Engineering Company quote MOTION: Motion to purchase a tire machine from Hanco Corporation for $6,390. BUDGET INFORMATION FUNDING: Funding will come from the Fleet I BUDGETED: Department's small tools and equipment budget. X YES m• ACTION TAKEN Metro: 651-456-5600 HANCO CORPORATIONHANCO Toll Free: 1-800-328-7400 2855 Eagandale Blvd. Metro Fax: 651-456-9709 Eagan, MN, 55121-1202 Toll Free Fax:800-328-7401 * Serving The Tire Industry Since 1928 * TEMP CITY OF OTSEGO 13400 - 90TH STREET OTSEGO, MN 55330 I QUOTE .......... * .......... ..... ... ......... ..... ... ...... ..... . . . . ................... 011933 ........... ... . ........ ............. ... .. .. . ... .. . . .. .. . . ......... ...... .. ... .... 01/08/16 999999 Due Upon Receipt 2855 Eagandale Blvd Eagan, MN 55121 ...... .......... .3 ..... ......... . .... . ..... . . ... ....... ......... ................ . . ... ......... .......... ........... -ESPERSON.......... .......... L ..... . . . .......... ..... .... .... ...... ...... .... ....... . . ........... . . ................. ........... ...... ........... STEVE NONE Marc Bollensen NET 1 OTH 01 PREPAID FIRT ................ Marc Bollensen 'T'. STEVE SPRINGER QtorEo�sY CORA9824TI-1 500E Corghi rim clamp tire changer with press arm 1 JEAj 6390.00 1 EA 1 6390.00 763-238-5399 'N"'A"". N .0-- 1 . P . 1 6390.001 Page 1 of 2 HuNrHR Engineering Company Submitted to: City of Otsego 13400 90th Street. NE Otsego, MN 55330 EQUIPMENT PROPOSAL / SALES AGREEMENT Prepared on 1/07/2016 Quoted through: US AUTOFORCE TCX53E (Mfr. sug. price: $9,333.00) 7,055.75 Enhanced Table -Top Tire Changer expandable 0 - Industry -leading High -Power Motor (110/220v) - Double Cylinder Clamping Table - Swing Arm, 2-point Bead Press System' - Interchangeable Polymer M/D Head - 10" - 26" Expanding Table Top - PowerOut bead breaker system - Factory Installation and Training - Standard Accessories RP11-8-11400276 (Mfr. sug. price: $400.00) 367.20 AR46 Expander/Reducer - Adds 4" external clamping OR Reduces external clamping by 5". (6" to 26" for TCX500, TCX505, TCX515, TCX535, TCX550, TCX50, TCX51, TCX53) ( 7" to 28 for TCX575) 1 5 Prices subject to change without notice: Subtotal $7,422.95 ($9,733.00 MSRP) This proposal is good through 02/06/2016 + freight (estimated) $300.00 Total investment $7,722.95 Proposal includes installation and on -site training by a Hunter Technical Representative. Electrical and compressed air connections to equipment are not included on this quotation. Estimated delivery: Prices Do Not Include taxes or freight charges