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HomeMy WebLinkAboutCOM 0685.000 2014-2016 William P.Kenoi • otv o` kms• Deanna S. Sako Mayor ' •P 9: �\,Idlg; Director • 41 T ,s Lisa K.Miura Deputy Director • '+r�TF Of'M►'�'` County of Hawaii Finance Department Yep 25 Aupuni Street,Suite 2103 • Hilo,Hawai`i 96720 (808)961-8234 • Fax(808)961-8569 February 11, 2016 Dru Kanuha, Council Chair and cp --- Members Members of the Hawai`i County Council Hawai`i County Council 25 Aupuni Street Hilo, Hawaii 96720 Re: Resolution for multi-year lease Enclosed is a resolution authorizing the payment of funds for more than one fiscal year for a new multi-year lease agreement for five semi-tractors for the Department of Environmental Management. These vehicles will replace older tractors which have excessive mileage and are in need of frequent repair. The anticipated lease cost is approximately $2,275 per month per unit. If there are any questions, please do not hesitate to call Robin Bauman of the Department of Environmental Management at 961-8179. Deanna S. Sako Director of Finance Enc. cc: Environmental Management Comm--;< 401 -t No. ID$15' Ref. To: Fc, -- Ref. Date FEB 1 1 2016 Hawai'i County is an Equal Opportunity Employer and Provider Form #: B-52 7/18/91 DEPARTMENT OF FINANCE REQUEST FOR COUNCIL ACTION DEPARTMENT: Environmental Management-Solid Waste DATE: 1/25/2016 STAFF CONTACT: Greg Goodale PHONE: 808-961-8515 A. REQUEST: Resolution authorizing the Mayor to enter into a multi-year lease agreement for a period of five (5) years for five (5) Semi-Tractors for the Department of Environmental Management, Solid Waste Division. B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED): The five (5) Semi-Tractors will replace five (5) older model tractors with high mileage and frequent repairs. The repairs for the five (5) older model tractors are costly and it's more practical to lease new Semi-Tractors than to continue repairing high mileage and aged equipment. The Semi-Tractors are used heavily on a daily basis for hauling trailers of residential trash and green waste from various transfer stations to the East Hawai'i Regional Sort Station, Organics Facility, and the East and West Hawai'i Landfills. The five (5) Semi-Tractors will be leased for a period of five (5) years. The purchase price is estimated at $129,000 each. The estimated monthly cost for the lease is $2,275 each or $11,375 for all five (5). Funding for the lease is included in the FY 2015-2016 Budget. This equipment will be leased financed such that the County will own the equipment at the end of the five (5) year lease. • SIGNED: 2: 11L , DATE: t2ul Department Head