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8.4 Awd Caterpillar Compactor CITY OF SALINA REQUEST FOR COMMISSION ACTION DATE T I ME 4/19/93 4:00 P.M. AGENDA SECTION: Administration ORIGINATING DEPARTMENT: APPROVED FOR N0. 8 General Services AGENDA: I" M ./. ? , BY: BY Item: Report on T,andfill Compactor Bid Background: The 1993 City Budget Sol/d Waste Fund (from landfill user fees) budgeted $320,000 for replacement of major equipment. The City received bids on a landfill compactor (to replace an existing unit) on March 2, 1993 as follows: Meet all specifications: Foley Tractor Co., Salina - Caterpillar 826C $272,952 Victor L. Phillips Co., Topeka/Wichita - Rex 3-55B $253,786 Vary from specifications: Foley Tractor Co., Salina - Caterpillar 816B $171,415 Berry Tractor Co., Wichita - Bomag $267,812 The two bids proposing Bomag and Cat 816B are no longer under consideration due to size (Cat 816B) or deficient engine cooling system (Bomag). Analysis: Staff analysis on this project compared the CAT 826C with the Rex 3-55B, as well as the larger Rex 3-70. The Rex 3-70 was not bid by Victor L. Phillips, but in actuality, is the best comparison with the Cat 826C, in terms of weight and performance. Staff assumed that, had the Rex 3-70 been bid, its price would have been somewhat above the Rex 3-55 and perhaps still lower than the Cat 826. City staff did a complete and very thorough investigation into these landfill compactors. Staff gave particular attention to contacting numerous current users of Caterpillar and Rex compactors, including some of the largest landfill management companies in the country (Laidlaw, Waste Management, Browning-Ferris). COMMISSION ACTION MOTION BY SECOND BY TO: CITY OF SALINA REQUEST FOR COMMISSION ACTION DATE TIME 4/19/93 ~4:00 P.M. ' AGENDA SECT 1 ON: OR I G I NAT I NG DEPARTMENT: APPROV ED FOR N0. General Services AGENDA: ITEM NO. BY: Frank Weinhold BY: Page 2 In addition to initial price, other factors must be given careful attention in this major purchase, including: operating performance and capability; repair history and cost; availability and reliability of service (both during and after warranty). The City must also take into account potential growth in future requirements of the Salina landfill. Conclusions: After very careful consideration, staff has reached the following conclusions: 1. Performance and Capability - While both the Rex and Caterpillar machines are of good quality and each has its distinct advantages and disadvantages, staff believes the Cat 826 would provide better overall performance in meeting current and future needs at our landfill, in comparison with either the Rex 3-55 or Rex 3-70. 2. Reliability, Repair Needs and Service: Our research indicates to us that costs and p~edictability of operating and repairs would likely be best with the Caterpillar 826, particularly beyond the warranty period. Foley Tractor of Salina has an excellent history of providing parts and service to the City. While Victor L. Phillips is a large and well-known company in Kansas and Missouri, the City does not have a recent history with that firm. You should note that V. L. Phillips has indicated their willingness to have some maintenance performed by a firm in Salina. Parts, repair service and minimization of downtime are critical with this landfill equipment. It will be our primary means of maintaining compliance with federal and state operating regnlations. Based on our analysis, we believe Foley and Caterpillar will best serve our needs. Staff Recommendation: Staff recommends the City Commission authorize the purchase of a Caterpillar 826C landfill compactor from Foley Tractor Co. of Salina, Kansas for $278,952. Note: Staff anticipates the issuance of temporary notes to finance this equipment, with the possibility of including this purchase in a landfill construction bond issue. COMMISSION ACTION MOTION BY SECOND BY TO: P.O. Box 38726 · Denver, CO 80238 · (303) 973-8808 Apr il 1, 1993 Dennis Kissinger City Manager 300 West Ash P.O.Box 736 Salina, KS 67402 Dear Dennis, I finally got the cost figures from Lee's Summit Mo to use as an example for the 3-55B operating costs. I apologize for the length of time it took to get this information, but as I said, the city was in budget meetings all last week. Also listed below are 10 of the most important features of the Rex Trashmaster. These are not necessarily the only features but are the ones we feel make the Trashmaster a superior machine for landfill use. 1) Full Width Compaction (10'-0) on every pass. There is no need to index the machine over to compact what is under the machine like a loader type machine has to do. Productivity is increased. 2) Easy access to engine and drive train components through the spring assist tilt hood and crank open belly pan. 3) Fenders over all wheels reduces damger from flying debris off of wheels, operate as effective knock-off bar, and serve as easy access to cab as well as work platform for working on engine. 4) Drive line protection and enclosed 20" diameter disc drive line brake require much less maintenance than exposed brake lines, external brakes at each wheel, and exposed drive line components. 5) Ail hydraulic components are mounted high on the machine to reduce possibility of damage from flying debris. Hydraulic lines are spiral wrapped and hydraulic cylinders are mounted high and away from trash. 6) Our low center of gravity and exclusive cleat design give the Trashmaster superior traction and crushing capabilities even on sideslopes. 7) Large cab with excellent visability in all directions. Almost 360 degree view of surroundings utilizing our side facing seat and most importantly a great view of the Semi-U trash blade designed for superior carrying and spreading capability. construction machinery 8) Large 76.5" diameter wheels reduce the rolling resistance found on units with smaller wheels. This is particularly important on first pass when spreading garbage and the footing is soft. Much less potential for the Rex unit to get stuck in a soft spot. This coupled with a 176 lbs./H.P, weight to H.P. ratio, a No Spin rear differential, and the exclusive Rex two-piece Trak Lok cleat, the REx Trashmaster is second to none in traction and spreading capabilities. 9) Proven engine and drive train components including Detroit Diesel, Rockwell, and Twin Disc (Cat Design) 10) Rex designed cable traps, and access holes in the wheels will reduce maintenance and repair costs by keeping debris from wrapping around the axle housing and causing potential damage to the axle and planatary seals. All of the above features, coupled with a average fuel consumption of 6-7 gallons per hour, make the Rex Trashmaster the most effective and efficient landfill compactor on the market Cost figures from Lee's S~u~.,it are as followings and includes all routine maintenance and repairs but not fuel or operator. This machine was sold with only standard warranty so all routine maintenance and some of the repairs were done by the city. 1986 model Trashmaster 3-55 Hours approx. 11,000 (hour meter was replaced approx. 5,000 hours) NOTE: These costs are for the last (most recent) 6,000 hours. The first 5,000 hours there were no records kept or they are now unavailable. Remember these would be the more expensive hours because of the machine age. I know the transmission was repaired at 10,000 hours and reflect $10,000.00 or more of the total number and the cleats should have been replaced in this last 6,000 hours. From Jan. 1990 - Present, the city of Lee's S%u~.~,it has spent $39,000.00 on the machine including all routine maintenance, repairs, lube, oil, filters etc. Also this machine has no extended warranty of any kind which will reflect a higher repair cost. This reflects a $6.50 / hour repair / maintenance cost which by any measure is very good. I think this is everything we have talked about to this point. Should you required additional information feel free to contact me at your convenience. Once again, thanks for your interest in Rex. Rmga rds, teve Daigh, Regional V.P. REASONS FOR THE CITY OF SALINA TO B~Y THE CATERPILLAR NACHiNE 1. Caterpillar is recognized as the leader of the industry in construction and landfill equipment. It is reliable machinery,'and gives the customer the best return on his investment. 2. The performance of the Caterpillar machinery stands on its own reputation with the various contractors, and governmental municipalities using the product. 3. Service for our product is right here in Salina, which I feel is a big advantage, and dollar savings for the City of Salina. Our trips are real short to the landfill, which provides faster up time, and less down time for you, which in my opinion is very crucial to the City of Salina. 4. Parts availability is the best that the industry can provide. This is where Caterpillar has made it's reputation, and this is why the contractor prefers Caterpillar machinery. Here again is a plus for the City of Salina by Foley Tractor Company having a dealer outlet store right here in Salina. I might add that the engine in the Caterpillar 623E elevating scraper you presently own and operate at your landfill is the same, therefor this makes it easier to stock filters and parts for you. 5. The stability of our machine with four wheels is better on the slopes in a landfill compared to that of a three wheeled vehicle. A fine example is that they have outlawed the manufacturing of three wheeled all terrain vehicles. 6. Production wise, our 74,000 pound Caterpillar 826C landfill compactor will compact 800 tons of garbage a day vs our 50,000 pound Caterpillar 816B landfill compactor at 500 tons per day, and it looks like to me that the Rex 3-55B at 52,000 pounds could handle about the same as our 50,000 pound machine. 7. Figuring the cost per pound, and as a savings to the City of Salina in this factor is as follows. The Caterpillar 826C cost $278,952.00, and weighs 74,000 pounds, which equals $3.77 per pound vs the Rex 3-55B machine cost $258,786, and weighs 52,000 pounds, which equals $4.98 per pound. 8. We will use the Caron compactor wheel on the Caterpillar $26C, which is recognized as the leader of the landfill industry. You presently own a Caterpillar 936 landfill compactor with these wheels. 9. We bid these machines under the life cycle costing, which we ~~the maximum repairs, ~ the scheduled maintenance on filters~lubricants~labor, and~~ a buy back at 5 years or 7,500 hours whichever occurs first. We did this on all the proper documents the City of Salina provided us, and we back this up with a ~z~(~~e~. Our competition did not bid the life cycle portion of the bid sheet. 10. Last, but not least, is the excellent working relationship that Foley Tractor Company has had with the City of Salina since 1958. Thank-you F~y Tractor Company Sales Representative