AGENDA ITEM
April 7, 2015
Subject:
Public Works Equipment Lease Purchase
Department: Finance
Bids were solicited from eight vendors for the lease purchase of public works equipment
as listed in Exhibit A. The results are as follows:
Arvest Bank –Nevada, MO
Commerce Bank – St. Louis, MO
First National Bank – Nevada, MO
Great Southern Bank – Nevada, MO
Heritage State Bank- Nevada, MO
Metz Banking Company – Nevada, MO
Tax-Exempt Leasing Corporation – Libertyville, IL
U.S. Bancorp Government Leasing and Finance, Inc. – Denver, CO
1.75%
1.72%
no response
2.55%
2.20%
no response
no response
1.76%
The Street, Water and Sewer Funds budgeted to lease purchase the following
equipment: salt spreader attachments, one ton pickup, backhoe, skid-steer loader and
sludge truck. The Street Fund has adequate funds to pay cash for their percentage of
the pickup, backhoe and skid-steer and purchase the salt spreader attachments. The
remaining balance would be financed and repaid from the Water and Sewer Fund. If
approved, the total cash outlay from the Street Fund will be $71,118.00.
Commerce Bank is the best rate and meets the specifications of our request. The
amount to be financed under Exhibit A Option 1 is $248,138 with an annual payment of
$52,217.49.
General Ledger Accounts:
200-5-4401-319
200-5-4401-320
500-4-6501
500-5-4201-319
500-5-4201-320
500-5-4401-319
500-5-4401-320
Exhibit A
Year
2015
2015
2015
2015
Equipment List Option 1
Make and Model
Description
Chevrolet 3500 HD Silverado CK36043
1 ton dually 4x4 crew cab
John Deere 310 SL Backhoe Loader
backhoe
Bobcat Skid‐Steer Loader S650 T4
skid‐steer
Western Star w/ 3000 carbon steel tank sludge truck
Price $ 41,300.00
$ 83,991.00
$ 40,595.00
$ 137,548.00
Total $ 303,434.00
Less down payment $ 55,296.00
Total lease purchase $ 248,138.00
Year
2015
2015
2015
2015
2015
Equipment List Option 2
Make and Model
Description
Chevrolet 3500 HD Silverado CK36043
1 ton dually 4x4 crew cab
John Deere 310 SL Backhoe Loader
backhoe
Bobcat Skid‐Steer Loader S650 T4
skid‐steer
Western Star w/ 3000 carbon steel tank sludge truck
Hyrdaulic Control Salt Spreader
2 salt spreader attachments
Total lease purchase
Price $ 41,300.00
$ 83,991.00
$ 40,595.00
$ 137,548.00
$ 15,822.00
$ 319,256.00
BILL NO. 2015-018
ORDINANCE NO.
A SPECIAL ORDINANCE AUTHORIZING THE CITY OF NEVADA, MISSOURI TO
ACCEPT THE BID AND ENTER INTO A LEASE/PURCHASE AGREEMENT WITH
COMMERCE BANK FOR THE ACQUISITION OF PUBLIC WORKS EQUIPMENT.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF NEVADA, MISSOURI
THAT:
Section 1. The City Council hereby authorizes the City of Nevada, Missouri to accept
the bid and enter into a lease / purchase agreement with Commerce Bank for the
acquisition of Public Works equipment as listed in Exhibit A Option 1 for the amount of
$248,138.00.
Section 2. The City Manager is hereby authorized and directed to execute any and all
documents associated with the lease / purchase of the equipment for the City of
Nevada, Missouri.
Section 3. The form of the documentation will be substantially as submitted to and
reviewed by the City Council subject however to such improvements and clarifications
as are agreed to between the City administration and City Attorney on behalf of the City
and Commerce Bank and its legal advisors.
Section 4. This Ordinance shall be in full force and effect from and after its final
passage.
PASSED, APPROVED, AND ADOPTED by the City Council of the City of Nevada,
Missouri on this 21st day of April, 2015.
________________________________
, Mayor
(seal)
ATTEST:
______________________________
Bev Baker, City Clerk
BID TABULATION
DATE:
DEPARTMENT:
ITEM:
TERMS:
03/31/2015
Finance
Public Works Equipment Lease Purchase
see below
INTEREST RATE
FIVE (5) YEAR TERM
P & I ANNUAL PAYMENT GRAND TOTAL FINANCIAL INSTITUTION
Option 1: $248,138 @ 5 yrs, first payment due one year from contract date
Commerce Bank‐ St. Louis, MO Arvest Bank‐Nevada, MO
U.S. Bancorp Government Leasing and Finance, Inc.‐ Denver, CO
Heritage State Bank‐Nevada, MO
Great Southern Bank‐Nevada, MO
First National Bank‐Nevada, MO
Metz Banking Company‐Nevada, MO
Tax‐Exempt Leasing Corporation‐Libertyville, IL
1.72%
1.75%
1.76%
2.20%
2.55%
no response
no response
no response
x
x
x
x
x
$ 52,217.49
$ 52,284.66
$ 52,278.41
$ 53,001.12
$ 53,546.72
$ 261,087.45
$ 261,423.30
$ 261,392.06
$ 265,005.60
$ 267,733.60
Option 2: $319,256 @ 5 yrs, first payment due one year from contract date
Commerce Bank‐ St. Louis, MO
Arvest Bank‐Nevada, MO
U.S. Bancorp Government Leasing and Finance, Inc.‐ Denver, CO
Heritage State Bank‐Nevada, MO
Great Southern Bank‐Nevada, MO
First National Bank‐Nevada, MO
Metz Banking Company‐Nevada, MO
Tax‐Exempt Leasing Corporation‐Libertyville, IL
1.72%
1.75%
1.76%
2.20%
2.55%
no response
no response
no response
x
x
x
x
x
$ 67,183.38
$ 67,269.80
$ 67,261.75
$ 68,191.59
$ 68,893.57
$ 336,916.90
$ 336,349.00
$ 336,308.76
$ 340,957.95
$ 344,467.85