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Home My WebLink About02-94 Resolution No. 02-94 RESOLUTION AUTHORIZING EXECUTION OF AN AGREEMENT WITH KOVATCH MOBILE EQUIPMENT FOR A FIRE TRUCK BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that pursuant to Elgin Municipal Code Section 5 . 02 . 020B (9) the City Council hereby finds that an exception to the requirements of the procurement ordinance is necessary and in the best interests of the city; and BE IT FURTHER RESOLVED that Olufemi Folarin, Interim City Manager, be and is hereby authorized and directed to execute an agreement on behalf of the City of Elgin with Kovatch Mobile Equipment for a fire truck, a copy of which is attached hereto and made a part hereof by reference . s/ Ed Schock Ed Schock, Mayor Presented: March 13 , 2002 Adopted: March 13 , 2002 Omnibus Vote : Yeas : 7 Nays : 0 Attest : s/ Dolonna Mecum Dolonna Mecum, City Clerk KNIE FIRE APPARATUS By Kovatch Mobile Equipment Corp. One Industrial Complex Nesquehoning, PA 18240 (717) 669-9461 Phone (717) 645-7007 Fax www.kovatch.com URL FIRE APPARATUS AGREEMENT OF SALE THIS AGREEMENT is made between Kovatch Mobile Equipment Corp., of Nesquehoning, Pennsylvania, ("Company")and: City of Elgin, IL Legal Name of Buyer 150 Dexter Court Elgin Kane/Cook IL 60120 Address City County State Zip 847-931-6175 ("Buyer") Phone Number 1. ACCEPTANCE: Company agrees to sell and Buyer agrees to purchase the fire apparatus and equipment("Apparatus")described in the Specifications incorporated as Exhibit A of this contract and in accordance with the terms and conditions set forth herein. In the event that both Company Specifications and Buyer's Bid Specifications are incorporated and are in conflict, Company's Specifications will apply. 2. DELIVERY SCHEDULE: The Apparatus will be ready for delivery F.O.B. To Elgin IL City State in approximately 260-300 days after receipt of CONTRACT/9HA Shat Company's facilities in Nesquehoning, Pennsylvania. 3. PRICE: Buyer will pay to Company as the Purchase Price for the Apparatus the sum of: ,l'Hg.EE HUNDRED FORTY EIGHT THOUSAND FOUR HUNDRED SIXTY FOUR AND NO - - - - - - - - 00/100 Dollars ($ 348 ,464.00 ) This purchase price includes the following taxes: None Any applicable taxes not specifically noted above will be paid by the Buyer directly,or will be added to the Purchase Price and paid by Company. If Buyer claims exemption from any tax, Buyer agrees to furnish the applicable exemption certificate(s) (forms to be attached) and to indemnify and save Company harmless from any such tax, interest or penalty, which may at any time be assessed against Company. PAGE 1. 4. TERMS OF PAYMENT: Terms of payment will be: A Cash due upon signing $ -0- Upon completion/receipt of chassis........$ -0- Cash due upon delivery..........................$ (B) Check appropriate method of payment for balance due: X Balance due at time of delivery -- Conditional Sales Contract- Financing* Lease-Purchase Agreement- Financing" * Details of financing: simple interest rate of -- %for-- Years,with -- % down payment required: at time of delivery-- /at time of signing -- All financing plans must be signed and received by Company prior to delivery. (C) NO PAYMENT of any amount will be made to a Sales Representative without prior written approval from Company. 5. CONTINGENCIES: Company will have no liability to Buyer for any loss or damage arising directly or indirectly from any delay in delivery due to strikes,inability to obtain materials,fires,accidents,or any other causes beyond Company's control. 6. WARRANTY: Company warrants new Apparatus of its own manufacture against defective workmanship and materials for a period of one year from date of delivery to the original Buyer. Under this Warranty,Company's liability and Buyer's remedy is limited to Company furnishing Buyer, without cost,parts and labor required to replace defective material or workmanship when there is no indication of misuse,neglect,improper maintenance,accident or overloading of KME manufactured Apparatus. Defects must be reported to Company in writing by Buyer within the warranty period. Parts and labor will be supplied after inspection by an authorized KME Fire Apparatus Service Center or approved alternate with findings approved by the KME Service Manager. Defective parts are to be shipped prepaid to Company when requested. This Warranty does not apply to: (1) Normal maintenance or upkeep items such as adjustment of pump,valves,belts, etc.,or items subject to normal deterioration; (2) Commercial chassis not manufactured by Company, items supplied by commercial chassis manufacturer, or trade accessories not manufactured by Company. Warranty on these items is limited to the supplying manufacturer's warranty, if any; (3) Any vehicle that has received alterations or repairs without the express authorization of Company which, in Company's reasonable judgment, affects the reliability or operation of the Apparatus. SEE ATTACHED WARRANTY STATEMENTS PAGE 2. 7. DISCLAIMER OF CONSEQUENTIAL DAMAGES: COMPANY EXPRESSLY DISCLAIMS ANY LIABILITY FOR CONSEQUENTIAL OR INCIDENTAL DAMAGES WHICH MAY BE SUSTAINED BY BUYER, INCLUDING BUT NOT LIMITED TO THOSE ARISING FROM THE USE, INABILITY TO USE, MAINTENANCE OR REPAIR OF THE APPARATUS, WHETHER UNDER THEORIES OF BREACH OF EXPRESS OR IMPLIED WARRANTY; NEGLIGENCE, STRICT LIABILITY, OR OTHERWISE. 8. CANCELLATION: This contract is subject to cancellation by Buyer only upon payment to Company of reasonable cancellation charges, which will take into account expenses already incurred and commitments made by Company and Company's anticipated profit. 9. ENTIRE AGREEMENT;AMENDMENTS: This contract,including its appendices,embodies the entire understanding between the parties relating to the subject matter contained herein and merges all prior discussions and agreements between them. No agent or representative of Company has authority to make any representations, statements, warranties or agreements not herein expressed. All modifications or amendments of this agreement,including the appendices,must be in writing signed by an authorized representative of each of the parties hereto. 10. SEVERABILITY: If any provision hereof will for any reason be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability will not affect any other provision,and this contract will be construed as if the invalid, illegal or unenforceable provision had never been contained in it. 11. CHANGES IN COMMERCIAL SPECIFICATIONS: Specifications on commercial components of the apparatus, manufactured by companies other than KME, are subject to change without notice. Specifications for such components will be as available at the time of manufacture of the Apparatus. Company will not be held liable for any specification deviations from the original contract specifications on such components made by their original manufacturer. PAGE 3. EXPLANATION OF CONTRACT AMOUNT BASE BID PRICE: $ 349 ,991. 00 The following options are selected additional to the apparatus bid price at the cost listed with each: Deleted 100% Performance bond requirement - Deduct : $1 , 527 . 00 CONTRACT TOTAL WITH SELECTED OPTIONS: $ 348 ,464. 00 PAGE 4. IN WITNESS WHEREOF,Buyer and Company have caused this contract to be executed by their duly authorized representatives this x % day of�_ 20 L City of Elgin, IL Buyer's Legal Name TITLE: tG�v►� C„v.� �'1a,.�� TITLE: BY: BY: TITLE: TITLE: Kovatch Mobile Equipment Corp. ("Company") BY: L*4 J °�•,^ Sales Representative Nick D. Swartz This proposal and contract is not a valid and binding obligation until accepted,dated and approved at Kovatch Mobile Equipment Corp., Nesquehoning, Pennsylvania. ACCEPTED AND APPROVED BY KOVATCH MOBILE EQUIPMENT CORP.,FIRE APPARATUS DIVISION: BY. TITL o DATE. PAGE 5. City of Elgin Agenda Item No. M February 22 , 2002 SAFE COMMUNITY TO: Mayor and Members of the City Council FROM: Olufemi Folarin, Interim City Manager SUBJECT: Purchase of Fire Truck PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information to purchase a rescue pumper for the Fire Department . BACKGROUND In 2001, the Fire Department went out for competitive bids for a rescue pumper. The specifications were extremely detailed and described a customized piece of equipment . Four bids were received; all bids had some deviations from the specifications . Two bids had major deviations from the specifications that made their bids non-responsive . Of the two remaining, acceptable bids, Kovach Mobile Equipment (KME) was the lower priced by $20, 000 and was awarded the contract for a pumper in the amount of $348,464 . The Fire Department is scheduled to replace another pumper this year. KME has informed the Fire Department that it is willing to furnish another pumper, meeting the bid specifications, at the 2001 price . Since KME would build an identical unit, the engineering savings can be passed to the City in the form of no price increase. It is anticipated that if this unit were rebid, prices would increase by at least three percent . KME has not indicated that it would propose its 2001 bid price in a new bid. KME has also stated that it could start production on this unit almost immediately, thus ensuring an early delivery time. This purchase would require an exception to the procurement ordinance, which would be in the City' s best interest in this case . Accepting KME' s bid extension would save the City a significant ?01111 amount of money, provide a vehicle specifically designed to meet the needs of the City and be able to put the vehicle into service in a shorter time frame . Fire Truck Purchase February 22 , 2002 Page 2 GROUPS/INTERESTED PERSONS CONTACTED None. FINANCIAL IMPACT There was $350, 000 budgeted in 2001 in account number 275-0000- �` 791 . 91-48 (Riverboat Fund) , project number 287100, to purchase a fire engine. These funds are still available to cover the contract cost of $348, 464 . r EGAL 'IMPACT This purchase would require an exception to the Procurement Ordinance . ALTERNATIVES The Council could reject the recommendation and formal, sealed bids would be solicited for the equipment . RECOMMENDATIONS It is recommended that the City Council grant an exception to the procurement ordinance and award a contract for a pumper truck to Kovach Mobile Equipment in the amount of $348, 464 . Respectfully submitted, Olufemi F a n Interi y Manager GAC Attachment FIRE DEPARTMENT RESCUE PUMPER TABULATION OF BIDS CITY OF ELGIN Kovatch Mobile Equipment Pierce Manufacturing Inc Seagrave dire Apparatus Truck Centers American One Industrial Complex P O Box 2017 Division LaFrance Invitption to Bid: 01-014 Nesquehoning PA 18240 Appleton WI 54913-2017 105 E 12th Street 2280 Formusa Road Date of Opening: 2/21/01 Clintonville WI 54929-1590 Troy IL 62294 Department: Fire is Descr k , unt" . t.. w Amount Item"# i tion ' ' Amount Amount" Amo Price for one rescue pumper as specified $349,991.00 $340,358.00 $369,211.00 $317,373.00 Less Trade-In for 1981 Ford/Pierce -6.000.00 -3,500.00 -5,000.00 -4,000.00 Net Price $343,991.00 $336,858.00 $364,211.00 $313,373.00 Delivery ARO 7 months ,Payment Discount if an