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HomeMy WebLinkAboutCOM 0578.000 2016-2018 Harry Kim •ooMzY of".`,:, Deanna S. Sako Mayor 07.• Y . �,��,�,,: Director {*(iti\`,.:-.4.,_.,..Tim,,-‘•t1'''. .fi:,3:*Ifil w.r ey. ,rE pp 40- _ C County of Hawaii .c) Finance Department r-- 25 Aupuni Street,Suite 2103 • Hilo,Hawai`i 967203>rn (808)961-8234 • Fax(808)961-8569 ' is.,, ' ''. L1) October 26, 2017 Valerie Poindexter, Council Chair and Members of the Hawai`i County Council 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 new multi-year lease agreement for two 200 kw emergency generators to be used by the Department of Environmental Management, Wastewater Division. This equipment is needed to serve as backup generators for sewer pump stations which do not require greater capacity in the event of a power failure. 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. c: Environmental Management <9. L5. 31 l- 11 Comm. No. S78 Ref. To:, _ CL Ref. Dote CT34 I7 Hawaii County is an Equal Opportunity Employer and Provider Form #: B-52 7/18/91 DEPARTMENT OF FINANCE REQUEST FOR COUNCIL ACTION DEPARTMENT: Environmental Management DATE: 09/8/17 STAFF CONTACT: Dora Beck PHONE: 961-8513 A. REQUEST: Resolution authorizing the Mayor to enter into a multi-year lease agreement for five (5) years for two (2) 200 KW emergency portable generators for the Department of Environmental Management Wastewater Division. • B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED): The Wastewater Division is requesting to lease finance: Two (2) 200KW Emergency Generators. The 200 KW emergency generators will be used to power sewer pump stations in the event of a power failure and will cover all other facilities (smaller) not covered by the 600KW generator (larger facilities). Most pump stations have a standby generator on site however these generators are getting old and are requiring more maintenance. If a power outage occurs and an emergency/standby generator is unavailable, it is very likely that a sewer spill to ground or state waters will occur. The purchase price is estimated at $360,000 ($180,000 each). The estimated monthly lease payment is $6,500.00. This equipment will be lease financed such that the County will own the equipment at the end of the five year lease. Funding for this equipment is budgeted in the FY17-18 budget, but delivery of this is not expected until next fiscal year due to the long lead time for this equipment. SIGNED: JAS :`. - DATE: ?1,077-- 171. Department Head