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HomeMy WebLinkAboutCOM 0325.000 2024-2026 C.Kimo Alameda,Ph.D. • -U Diane Nakagawa •� r 1:�%�:t; Director Mayor -A•e•r William V.Brilhante Jr. + ;;:�;�` Malia A.Kekai Managing Director Deputy Director County of Hawaii Finance Department 25 Aupuni Street,Suite 2103 • Hilo,Hawai`i 96720 (808)961-8234 • Fax(808)961-8569 C) May 15, 2025y c Dr. Holeka Goro Inaba, Council Chair and c)-� Members of the Hawaii County Council -2 Hawai`i County Council 25 Aupuni Street Hilo,Hawai`i 96720 Re: Resolution for multi-year lease Enclosed is a resolution authorizing the payment of funds for more than one fiscal year for a multi-year lease agreement for three fire apparatuses,which are fire engines, for the Fire Department. The engines will replace units at the Haihai, Kealakekua and Makalei Fire Stations. The estimated cost is $30,897.70 per month for each engine. If there are any questions,please do not hesitate to call Kazuo Todd, from the Hawai`i Fire Department at 961-2900. Diane Nakag a Director of Finance Enc. c: Fire SZe • 2og '2s • Comm. N . L2S Ref.To: rt, Hawaii County is an Equal Opportunity Employer and Provideref. Oahe MAY 2 1, 2025 Form#: B-52 7/18/91 DEPARTMENT OF FINANCE REQUEST FOR COUNCIL ACTION DEPARTMENT: Hawaii Fire Department DATE: 5/6/25 STAFF CONTACT: Kazuo Todd PHONE: 932-2900 A. REQUEST: Please prepare a resolution authorizing the payment of funds- in a later fiscal year and for more than one fiscal year-for a multi-year lease of three fire apparatus (vehicles)for the Fire Department. The lease would specifically be for a five(5) year lease term for critically needed units to replace older fire apparatus. B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED): As part of our Apparatus Replacement Program,we intend to replace Engines 3 (Haihai), 6 (Kealakekua), and 21 (Makalei). These are front-line vehicles that are past their recommended service life resulting in ,increasing repair and maintenance costs, as well as prolonged down times and unreliability. Anticipated costs are$5,000,000 plus interest over a five year lease term. The estimated lease cost for each engine is estimated at $30,897.70 per month and $370,772.40 annually. The start of the lease payments will be based on delivery date, which is estimated to begin four years from the Notice to Proceed. The combined estimate is $92,693.10 per month, $1,112,317.20 annually. SIGNED: DATE: 5/6/2025 De ment Head