Consideration to Approve a Bid and Lease Agreement with Hincklease
This fall two Police vehicles were damaged by lighting. The proceeds from the insurance company were not enough to replace both of the vehicles. With budgetary constraints the City does not have the extra funds needed for a capital purchase. In talking with several other police departments in Wyoming and Utah it was found that they are having good success with leasing. A new police vehicle is about $30,000. Thus replacing the damaged vehicles by purchasing them would cost about $60,000. The proposed lease will allow the City to lease two (2) new police vehicles for about $15,000 a year for three (3) years for a total capital cost of $45,000.
Suggested Motion: I move to award a bid for police vehicles to Hincklease for an amount of first year leasing costs not to exceed $16,000 and to approve a lease agreement(s) with Hincklease for the lease of two (2) police vehicles for a term of 36 months as it has been determined to constitute a significant benefit and give an economic benefit to the City and the public in the absence of an extended term contract.