HomeMy WebLinkAboutCOM 0323.000 2018-2020 Harry Kim .JMty Os M..dY Deanna S. Sako
Mayor ��L� ,• Director
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Steven A. Hunt
a- = Deputy Director
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County of Hawai 1
Finance Department
25 Aupuni Street,Suite 2103 • Hilo,Hawaii 96720
(808)961-8234 • Fax(808)961-8569
May 30, 2019
Aaron Chung, Council Chair and co c,
Members of the Hawai`i County Council ,,, .
Hawai`i County Council
25 Aupuni Street
Hilo, Hawai`i 96720 :ice
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 semi-tractors for the Department of
Environmental Management. These vehicles will replace older tractors which have been
classified as unrepairable.
The anticipated lease cost is approximately $8,000 per month for two semi-tractors. 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
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Hawai'i County is an Equal Opportunity Employer and Provider Ref. date MAY 31 2019
Form #: B-52
7/18/91
DEPARTMENT OF FINANCE
REQUEST FOR COUNCIL ACTION
DEPARTMENT: Environmental Management DATE: 05/15/19
STAFF CONTACT: Mike Kaha PHONE: 961-8270
A. REQUEST:
Resolution authorizing the Mayor to enter into a multi-year lease agreement for a period of five (5) years for
two (2) Semi-Tractors for the Department of Environmental Management, Solid Waste Division.
B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED):
The Solid Waste Division is requesting to lease finance two (2) Semi-Tractors to be used to transport refuse
from the East Hawaii Regional Sort Station (EHRSS) to the West Hawaii Sanitary Landfill (WHSL).
The South Hilo Sanitary Landfill (SHSL) is projected to have less than 5 months of remaining air space. Due
to regulatory restrictions, the County is unable to construct a new landfill in East Hawai'i. The County will be
transporting the debris from EHRSS over to WHSL. This operation requires at least eight (8) truck tractors to
accomplish this work of hauling refuse to the WHSL. Due to accidents that caused two (2) of our truck
tractors to become classified as unrepairable, the Division is needing to replace these lossess in order to
accomplish operations.
The purchase price is estimated at $200,000.00 each, or$400,000.00 for two (2) Semi-Tractors. The
estimated lease payments is $8,000.00 per month for two Semi-Tractors.
Funding for the lease is not included in the FY 2018-2019 budget as the delivery of these Semi-Tractors is
not expected until next fiscal year due to the long lead time for this equipment. This equipment will be leased
financed such that the County will own the equipment at the end of the five (5) year lease.
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SIGNED: 1441 DATE: 740�
Department Head