ADOPTED - AUGUST 26, 2008
Agenda Item No. 21
Introduced by the County Services and Finance Committees of the:
INGHAM COUNTY BOARD OF COMMISSIONERS
RESOLUTION ENTERING INTO AN AGREEMENT WITH KEY GOVERNMENT
FINANCING FOR THE FINANCING OF A VACTOR TRUCK FOR THE INGHAM
COUNTY DRAIN COMMISSIONER’S OFFICE
RESOLUTION #08-222
WHEREAS, the Drain Commissioner currently uses a Vactor Truck to clean storm drains; and
WHEREAS, the Drain Commissioner has determined that it is more cost-effective to purchase a new Vactor Truck rather than continue costly repairs on the current 1991 Ford Vactor Truck; and
WHEREAS, the new Vactor Truck has been priced at $308,567.50, with a trade in value for the old Vactor Truck at $12,500 and a $75,000 down payment leaving a total of $221,067.50; and
WHEREAS, the Purchasing Department and the Treasurer’s Office have agreed with the financing of the Vactor Truck through an Installment Purchase Agreement with Key Government Finance at 4.92% interest per annum; and
WHEREAS, the payments to Key Government Finance shall be over a five-year period with the final payment due in 2012 in the amount of $48,558.39 per annum which includes both principal and interest; and
WHEREAS, the estimated life expectancy for the new Vactor Truck is ten (10) years old, costs associated with the purchase of the truck are expected to be recaptured within five (5) years.
THEREFORE BE IT RESOLVED, the Ingham County Board of Commissioners hereby authorizes the purchase of a new Vactor Truck for the Drain Commissioner’s Office, priced at $308,567.50 minus $12,500.00 in trade in of old Vactor Truck and a $75,000.00 down payment leaving $221,067.50 to be paid through an Installment Purchase Agreement with Key Government Finance at 4.92% per annum interest, with five payments of $48,558.39 per annum which includes both principal and interest.
BE IT FURTHER RESOLVED, that the Board Chairperson and County Clerk are hereby authorized to sign any necessary documents after approval as to form by the County Attorney.
COUNTY SERVICES: Yeas: Nolan, De Leon, Copedge, Grebner, Severino
Nays: None Absent: Soule Approved 8/19/08
FINANCE: Yeas: Grebner, Hertel, Weatherwax-Grant, Celentino, Schor, Dougan
Nays: None Absent: None Approved 8/20/08