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ARF- 2015 Regular Agenda Item     3. D.    
Regular BOS Meeting
Meeting Date: 09/03/2013  
Submitted For: Jeffrey Hessenius
Submitted By: Dana Sgroi, Contracts Support Specialist, Finance Department
Department: Finance  
Fiscal Year: 2013-2014 Budgeted?: Yes
Contract Dates
Begin & End: 		08-01-13 through 10-31-13 Grant?: No
Matching
Requirement?: 		No
 Fund?: New
Information
Request/Subject
Empire CAT-Replace Compactor Wheel Tips on Caterpillar 816F Compactor at Buckhead Mesa Landfill in Payson, AZ.
Background Information
In May 2000, Gila County purchased an 816F Caterpillar compactor from Empire CAT for a purchase price of $267,380.00. The compactor has been in service at the Buckhead Mesa Landfill, near Payson, Arizona, since it was purchased.
Evaluation
The wheel tips on the 816F compactor need to be replaced. Gila County is a member of the National IPA, a cooperative purchasing group. As a member of the National IPA, Gila County can benefit through an existing contract that Caterpillar has between the City of Tucson and the National IPA, to replace the wheel tips on the compactor. County staff received a quote from Empire CAT dated June 10, 2013, to replace the wheel tips. The amount of the June 10, 2013, quote was $30,961.30 for parts, and an additional $9,902.80 for labor, lodging and travel, for a total amount of $40,864.10. The quote was for wheel tips manufactured by Caron Compactor Company.
 
On July 31, 2013, County staff requested a second quote from Empire CAT utilizing the City of Tucson/National IPA pricing. The wheel tips quoted through the City of Tucson/National IPA pricing are an Empire Caterpillar brand. By utilizing the City of Tucson/National IPA contract, and the Empire CAT brand, the quote was revised to $19,630.50, resulting in a significant cost savings of $21,233.60 or 52%.

The replacement quote comes with a four-year warranty, which is identical to the warranty provided by Caron Compactor Company, however, Recycling and Landfill Management feels the County will get five years use out of the new wheel tips.
Conclusion

Due to procurement policies, all proposed contractual agreements with an aggregate amount valued over $50,000 within a one-year period must have Board of Supervisors' approval. The amount of money the County has spent with Empire CAT from January 1, 2013, to now exceeds the $50,000 aggregate amount; therefore, this expenditure is being brought before the Board of Supervisors for approval.
Recommendation
Recycling and Landfill Management recommends that the Board approve the expenditure of replacing the wheel tips on the Caterpillar 816F compactor, which is located at the Buckhead Mesa Landfill through the City of Tucson/NIPA cooperative agreement with Empire CAT, thereby saving the County $21,233.60.
Suggested Motion
Information/Action/Discussion to approve an expenditure with Empire CAT in the amount of $19,630.50 to replace the wheel tips on the 816F compactor in service at the Buckhead Mesa Landfill. (Sharon Winters)
Attachments
Empire Quote to replace compactor pads 06-10-13
Empire Quote to replace compactor pads-REVISED 07-31-13
City of Tucson Request for Proposal
City of Tucson Contract with Caterpillar
City of Tucson Contract Amendment No. 1
City of Tucson Contract Amendment No. 2
City of Tucson Contract Amendment No. 3
City of Tucson Contract Amendment No. 4
City of Tucson Contract Amendment No. 5
Legal Explanation

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