Loading...
HomeMy WebLinkAboutREP FC 350 02/26/1991 REPORT OF THE COMMITTEE ON FINANCE Date: February 26, 1991 Re: 'Comm. 2308 Place: Councilroom Time: 10 : 00 a .m. Chairman and Members Hawaii County Council Hilo, Hawaii 96720 Your Committee on Finance, to which was referred Resolution No . 291-91, reports as follows : The purpose of Resolution No . 291-91 is to obtain authorization for the Mayor to enter into a five-year lease agreement, with purchase option, for the acquisition of sixteen (16) refuse trailers for solid waste operations islandwide. Your Committee is aware that the County Council adopted the Department of Public Works ' (DPW) Solid Waste Equipment Improvement/Replacement Program on September 19 , 1990 and acknowledges therein, it was proposed, to accelerate the replacement cycle for refuse trailers to 5 years or purchase 8 trailers per year (based on fleet size of 35) . Your Committee notes the proposed resolution is a request to lease rather than purchase refuse trailers, and further notes the agreement is for 16 rather than 8 refuse trailers, as was previously approved. However, your Committee was assured by the Finance Director the proposed lease would improve the cash flow while establishing an equipment replacement schedule. He added that during the term of the lease the County can depreciate the equipment and at the end of 5 years will own the trailers . Section 10-11 of the Hawaii County Charter also requires that any contract, lease or other obligation requiring the payment of funds from the appropriations of a later fiscal year or of more than one fiscal year shall be made or approved by resolution. Your Committee on Finance concurs with the intent of Resolution No . 291-91 and reco ends its adopt ' on. HELENS H. HALE, C £IRWIu •N AL-.4-10-t____ 1, -_ -AIWA,ROBERT H. MA . •KAN$, VICE CHR. BRIAN J 'I DE I • ■ 04044 111 '111."...........i 4414, P*I T• SHI DOMI .0, MEL : ER u R • I, MEM: HARRY 11 RUDDLE, MEMBER SPENCER K. SCHUTTE, MEMBER POL FC REPORT NO, 350 ADOPTED: MAR 6 1991