TRANSMITTAL LETTER FOR BOARD MEETING OF APRIL 3, 2014
COMMITTEE ON ENGINEERING
Mr. David St. Pierre, Executive Director
Title
Authority to allow Hanson Material Services to accept the bid for sale of the off-road haul truck, in the amount of $75,500.00, Contract 77-235-2F, Thornton Composite Reservoir, Calumet Service Area, Account 401-50000-645620
Body
Dear Sir:
On June 27, 2002, an agreement was executed between the District and Hanson Material Services (Hanson), formerly Material Service Corporation, for the purchase of an off-road haul truck for use in mining the North Lobe of the Thornton Quarry as part of Contract 77-235-2F, Thornton Composite Reservoir. According to the agreement the truck was purchased by Hanson in July 2002. Per the agreement, the District reimbursed Hanson for the purchase of the truck. The mining for the North Lobe was completed on March 1, 2014. Per the agreement, upon completion of mining, Hanson has the option to retain the truck for its own use, to arrange for the sale of the truck, or to salvage the truck if it cannot be sold.
The truck appears to be operational and Hanson chose to sell the truck. Therefore, Hanson solicited bids for its sale in March 2014. The bids received, listed in order of magnitude, are as follows:
Crown-Head and Company $75,500.00
Banks Equipment $65,000.00
Howell Tractor $55,000.00
Thoesen Tractor $38,000.00
As indicated, the bid from Crown-Head and Company, in the amount of $75,500.00, was the highest bid. The Engineering Department has reviewed the bids and found them reasonable and acceptable.
It is hereby recommended that the Board of Commissioners authorize the Director of Engineering to accept the amount of $75,500.00 per the agreement with Hanson Material Services.
It is further requested that the Chairman of the Committee on Finance and the Clerk be authorized and directed to deliver its release of financing statement and collateral to the purchaser upon receipt of funds.
Funds will be restored to Account 401-50000-645620.
Requested, Catherine A. O'Connor, Director of Engineering, WSS:KMF
Recommended, David St. Pierre, Executive Director
Respectfully Submitted, Frank Avila, Chairman Committee on Engineering
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for April 3, 2014