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HomeMy WebLinkAbout91-0925 Automotive Natural Gas 9 )- o9as RESOLUTION ACCEPTING THE PROPOSAL OF AUTOMOTIVE NATURAL GAS, INC. FOR CNG CONVERSION EQUIPMENT BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that Larry L. Rice, City Manager, be and is hereby authorized and directed to accept the proposal dated August 6, 1991 on behalf of the City of Elgin of Automotive Natural Gas, Inc . for compressed natural gas vehicle conversion equipment, a copy of which is attached hereto and made a part hereof by reference. s/ George VanDeVoorde George VanDeVoorde, Mayor Presented: September 25, 1991 Adopted: September 25, 1991 Omnibus Vote: Yeas 6 Nays 0 Recorded: Attest: s/ Dolonna Mecum Dolonna Mecum, City Clerk AUG - 6 - 9 1 T U E 1 1 : 1 7 ANGI P _ 0 2 • Automotive Natural Gas, Inc. 265 North Janesville Street • Milton, Wisconsin 53563 • Phone (608) 868-4626 August 6, 1991 CITY OF ELGIN ATTN: Mr. Terry Podzimek 150 Dexter Court Elgin, IL 60120 RE: Quotation No. 0007-0891 Dear Terry: Per your letter dated July 30, 1991, below is Automotive Natural Gas, Inc. quote to provide all required equipment to convert your six (6) vehicles. 1991 Cklevrolet Caprice #52 1 ea. ANGI AAFS Kit 2 ea. Cylinder, 3000 PSI, 13" x 54", 950 CF 2 ea. Cylinder Brackets 2 ea. Cylinder Valve 1 ea. Computer Fix, 8789-6C 1 ea. Vapor Seal, Two Cylinder Price $ 3, 125.20 1991 Cllevro,et Caprice #60 1 ea. ANGI AAFS Kit 1 ea. Cylinder, 3000 PSI, 13" x 44", 750 CF 1 ea. Cylinder Bracket 1 ea. Cylinder valve 1 ea. Computer Fix, 8789-6C 1 ea. Vapor Seal, Single Cylinder Price $ 2,114.70 12$7 Dodge Van 345 1 ea. ANGI AAFS Kit 1 ea. Cylinder, 3000 PSI, 10" x 50" , 588 CF 1 ea. Cylinder Bracket 1 ea. Cylinder Valve • 1 ea. Computer Fix, 8789-3 1 ea. Vapor Seal, Single Cylinder Price $ 1,936.65 AUG - 6 - 9 1 T U E 1 1 = 1 8 ANGI P _ 0 3 • CITY OF ELGIN ATTN: Mr. Terry Podzimek August 6, 1991 Page 2 of 3 RE: Quotation No. 0007-0891 1989 GNQ Subirban 4817F 1 ea. ANGI AAFS Kit 1 ea. Cylinder, 3000 PSI, 10" x 40", 458 CF 1 ea. Cylinder Bracket 1 ea. Cylinder Valve 1 ea. Computer Fix, 8789-6 1 ea. Vapor Seal, Single Cylinder Price $ 1,901.70 1989 Plymouth Surance t90 1 ea. ANGI AAFS Kit 1 ea. Cylinder, 3000 PSI, 10" x 34" , 367 CF 1 ea. Cylinder Bracket • 1 ea. Cylinder Valve 1 ea. Computer Fix, 8789-3 1 ea. Injector Simulator, 8789-8 1 ea. Vapor Seal, Single Cylinder Price $ 1,953.95 2.991 Ford kick-up . 93 1 ea. ANGI AAFS Kit 1 ea. Cylinder, 3000 PSI, 10" x 50", 588 CF 1 ea. Cylinder Bracket 1 ea. Cylinder Valve 1 ea. Computer Fix, 8789-2 Price $ 1,935.75 NOTE: Pricing is for equipment only, installation labor is not included. All materials F.O.B. Milton, Wisconsin. Prices quoted are protected for forty five (45) days and do not include any applicable taxes. • A U G - 6 - 9 1 T U E 1 1 1 8 A N G I P - 0 4 CITY OF ELGIN ATTN: Mr. Terry Podzimek August 6, 1991 Page 2 of 3 RE: Quotation No. 0007-0891 Thank you for the opportunity to quote on your six (6) vehicles . We look forward to working with your company If you have any further questions, please give me a call at 608/868-4626. Sincerely, � I�\ hn rt antral Regional Sales Manager JJH/cls A U G - 6 - 9 1 T U E 1 1 _ 1 9 ANGI P . 0 S VIDA Automotive Natural Gas, Inc. 265 North Janesville Street • Milton, Wisconsin 53563 • Phone(608)868-4626 CONDITIONS OF SALE ANGI agrees to sell to Purchaser certain unique twin-fuel systems and related refueling equipment (hereinafter "equipment" or "goods" ) in order that Purchaser may make use of compressed natural gas (CNG) as an alternative fuel to gasoline. The equipment purchased shall be described and listed on the Purchase Order attached and made a part of hereof. This Agreement is made subject to the following terms and conditions which control over conflicting statements in the Purchase Order. 1. PAYMENT. Purchaser shall pay to ANGI 30% of the equipment price upon submission of Purchase Order. 30% upon arrival of major components in Seller's facility. 30% upon delivery of equipment. 10% balance of the equipment price shall be due "net-30 days' from the date of shipment. For complete or partial turnkey sale, the payment terms for the installation shall be determined separately. Shipment shall be F.O.S. Milton, Wisconsin or other place of origin. sales, use and/or excise taxes shall be born by Purchaser. Any unpaid balance shall be subject to delinquency charge of one and a half percent (1.5%) per month. 2. WARRANTY. ANGI hereby warrants that the equipment delivered hereunder shall be free of defects in material and workmanship appearing within ONE YEAR from the date of delivery. Purchaser must give written notice of any defect covered by this warranty to ANGI within thirteen (13) months of the date of delivery. For any defect covered by this warranty ANGI shall repair or replace the equipment. This warranty does not cover labor costs and other contingent expenses for the diagnosis of defects or for removal and reinstallation of the equipment. Such repair or replacement shall be Purchaser's exclusive remedy for breach of this Agreement or negligence. In no event shall ANGI be liable for any special or consequential damages arising directly or indirectly from the use of the equipment sold hereunder. This warranty does not extend to any equipment which has been (a) subject to misuse, neglect, accidents, Acts of God, or causes of a similar nature; (b) repaired or altered by anyone other than ANGI , without ANGI's prior approval; or (c) improperly installed by anyone other than ANGI or someone under its' direction. This warranty is in lieu of all other warranties except ANGI shall pass through any warranty issued by a manufacturer of any of the equipment. EXCEPT TO THE EXTENT P1OHIBITED BY APPLICABLE LAW, THE ONLY WARRANTY OF ANGI MADE IN CONNECTION WITH THIS AGREEMENT IS THE EXPRESS WRITTEN WARRANTY ON THE FACE HEREOF. THERE ARE NO ORAL OR IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR PARTICULAR PURPOSE, OR OTHERWISE OF ANGI WHICH EXTEND BEYOND THE DESCRIPTION ON THE FACE HEREOF. ' A U G - 6 - 9 1 T U E 1 1 : 1 9 A N G I P _ 0 6 3. LIMITATION OF LIABILITY. ANGI's liability hereunder is limited to the terms of the express written warranty and in no event shall ANGI be liable to purchaser or any third persons for any special or consequential damages of any type including, but not limited to, damage to or loss of other property, loss of profits or revenues, down time, or claims of third parties. 4. TECHNICAL ASSISTANCE. ANGI shall provide technical manuals, drawings and/or instructional materials with the equipment purchased hereunder. Unless the sale is of equipment only, ANGI shall provide • the services of such number of technicians as may in its sole discretion be required to assist in start-up and in training of Purchaser's employees in installation, operation, and maintenance of the equipment purchased hereunder. Such technicians shall be provided on an advisory basis only. ANGI shall not be liable to Purchaser or any other person growing out of the activities of such technicians including negligence. Purchaser hereby waives any claim. 5. PURCHASER'S DUTIES. Purchaser shall within thirty (30) days after the shipping date of the compressor have the refueling facilities, including ail necessary gas and/or electrical supply hook-ups, completed in accordance with all applicable governmental codes regulations, and ordinances so as to permit start-up of the refueling equipment. If the agreement is for either a partial or complete turnkey sale, purchaser shall, in addition, make available to ANGI all vehicles for which ANGI is required to install equipment purchaser hereunder. Such vehicles shall be in good operating condition and shall be made available for installation at a rate or not less than three (3) per week for each mechanic supplied directly or indirectly by ANGI. In the event Purchaser shall enter into a sale-lease-back or similar arrangement with any third party, Purchaser shall execute all required documents so as to allow payment • to ANGI in accordance with paragraph 1 hereof. 6. CANCELLATION BY BUYER. In the event buyer shall cancel its order or any portion thereof, before the date of shipment, Buyer agrees to pay a sum equal to a "percent" of the full purchase price of such • goods. In the event Buyer's cancellation should occur within 30 days after the receipt of Buyer's Purchase Order the "percent" calculation fee will be 5%; within the next 30 days 10%; and, in the event cancellation should occur after 60 days, the cancellation fee will be 201 . It is understood that the cancellation fee shall be in lieu of enforcing the contract by Seller and shall be considered liquidated damages. It is agreed that this sum is a reasonable approximation of the actual damages which it is presently anticipated would result from Buyer's cancellation and that it is inserted here not as a penalty but for the sole purpose of avoiding the difficulties of proof of the actual damages. In no event may Buyer cancel after seller has deposited the goods with the carrier for shipment to Buyer. hijn • ;40OFE'_ Agenda Item No . 21/) t�7. ,s 1 h N O 4 August 22, 1991 MEMORANDUM TO: Mayor and Members of the City Council FROM: City Manager SUBJECT: CNG Alternate Fuel Test Program PURPOSE: The intent herein is to provide additional informa- tion relative to a pilot program for the use of Compressed Natural Gas (CNG) . BACKGROUND: Following City Council authorization at your July 24th meeting, staff contacted NI-Gas and Automotive Natural Gas, Inc. (ANGI) to finalize the details for the subject test program. NI-Gas will be involved with the fuel supply, filling capabilities and technical consultation. ANGI will be involved with the conversion equipment and mechanic training. The attached letter from NI-Gas outlines a proposal for a supply of fuel during the trial period. The tank trailer in- volves a delivery charge of $25/hour. The NI-Gas Rate 10 plus natural gas supply charge is 57 .71 cents/gallon. The quote from ANGI lists a separate price for each of the six vehicles . ANGI would also be involved with training our Garage Mechan- ics. Should the City Council approve this test program, it is expected to begin in December after our mechanics have complet- ed the conversion training course. FINANCIAL IMPACT: There is $100,000 in the 1991 Budget (Gener- al Fund, Non-departmental Program Account) for alternate fuel conversions of fleet vehicles. Our total estimate for the four month test program is summarized below: NI-Gas Tank Trailer Deliveries (52 .5 trips @ $50/trip) $ 2 ,625 . 00 NI-Gas CNG Fuel ( 3, 154 gal . @ 57 .71ct/gal . ) 1, 820 . 00 ANGI Conversion Equipment 12,967 . 95 ANGI Installation Labor No Charge City Mechanic (4) Training Expenses (accommodations/meals/travel only) 884 . 00 Total $18,296 . 95 • s:' NORTHERN ILLINOIS GAS One of the NICOR companies P.O.Box 190 Aurora,Illinois 60507-01 9 0 Phone 708 983-8888 Address Reply to Company at: 300 West Terra Cotta Avenue Crystal Lake, IL 60014 815/455-0271 `� '// ' ./"i ' July 10, 1991 t Mr. Robert O. Maim Assistant City Manager City of Elgin 150 Dexter Court Elgin, Illinois 60120-5555 Dear Bob: We appreciate the opportunity to work with you in the evaluation of compressed natural gas as an alternate fuel for the City of Elgin vehicles. This letter will confirm that Northern Illinois Gas intends to provide a CNG tank trailer to be used for refueling the City of Elgins test program vehicles. The trailer has a usable capacity of approximately 54 equivalent gallons. Northern Illinois Gas personnel will transport and refill the trailer as required to conduct the evaluation. It is agreed that the test period will last four months and that there will be no charge to the city for use of the trailer. However, there will be a pickup and delivery charge to transport the trailer between Naperville and Elgin. The fee for this will be $25.00 per hour Portal-to-Portal. Additionally, the natural gas used will be charged to the city in accordance with our Rate 10 plus our gas supply charge which currently is 23.24 cents per therm. A copy of Rate 10 is enclosed. s Also, Northern Illinois Gas will assist the City of Elgin in conducting economic analysis of the program and offer technical support in the conversion of the test vehicles. Please feel free to contact me if you have any questions or concerns regarding this project. Sincerely, Scot F. Koif General Engineer cc: F. Blazek D. Grote T. Lindsay enclosure �aUG 6 - 9 1 TUE 11 = 1 8 ANGI F, — 03 A CITY OF ELGIN ATTN: Mr. Terry Podzimek August 6, 1991 Page 2 of 3 RE: Quotation No. 0007-0891 1989 Gmc Suburban #817F 1 ea. ANGI AAFS Kit 1 ea. Cylinder, 3000 PSI, 10" x 40", 458 CF 1 ea. Cylinder Bracket 1 ea. Cylinder Valve 1 ea. Computer Fix, 8789.6 1 ea. Vapor seal, Single Cylinder price $ 1,901.70 1989 P1ymo}kth Sunclance #90 1 ea. ANGI AAFS Kit 1 ea. Cylinder, 3000 PSI, 10" x 34", 367 CF 1 ea. Cylinder Bracket 1 ea. Cylinder Valve 1 ea. Computer Fix, 8789-3 1 ea. Injector Simulator, 8789-8 1 ea. Vapor Seal, Single Cylinder Price $ 1,953.95 1991 Ford Piok-up #93 1 ea. ANGI RAPS Kit 1 ea. Cylinder, 3000 PSI, 10" x 50", 588 CF 1 ea. Cylinder Bracket 1 ea. Cylinder Valve • 1 ea. Computer Fix, 8789-2 Price $ 1, 935.75 NOTE: Pricing is for equipment only, installation labor is not included. All materials F.O.S. Milton, Wisconsin. Prices quoted are protected for forty five (45) days and do not include any applicable taxes.