Ordinance 15-31 Authorizing the Purchase of a New Dump Truck and Application for a Loan for Said Purchase

CITY OF HOMER

HOMER, ALASKA

                                                                                                                                                      Burgess

ORDINANCE 15-31

AN ORDINANCE OF THE CITY COUNCIL OF HOMER, ALASKA, AMENDING THE FY 2015 OPERATING BUDGET BY AUTHORIZING THE EXPENDITURE OF $150,000 FOR THE PURCHASE OF A DUMP TRUCK FROM THE GENERAL FUND, AUTHORIZING THE APPLICATION OF A LOAN FOR SAID PURCHASE, AND AUTHORIZING THE CITY MANAGER TO EXECUTE ALL APPROPRIATE DOCUMENTS.

WHEREAS, One of the two Public Works dump trucks has been taken out of service due to extensive frame damage making it cost prohibitive to repair; and

WHEREAS, It is necessary to have two in the work fleet as they are often used simultaneously and to have one available when the other is down for repairs or maintenance; and

WHEREAS, Public Works can utilize the State’s purchase contract and recognize a $27,000 savings from the normal retail price for the same truck; and

WHEREAS, Public Works has looked at used trucks and finds that the age and cost to outfit it to serve their needs makes a new truck purchased through the State contract a preferred option.

NOW, THEREFORE, THE CITY OF HOMER ORDAINS:

Section 1. The Homer City Council hereby amends the FY 2015 Operating Budget by appropriating $150,000 from the Public Works Vehicle Depreciation Fund for the purchase of a new dump truck.

Expenditure:

Account                                           Description                                    Amount                           

152-0383                                         Dump Truck                                  $150,000

Section 2. The Homer City Council hereby authorizes the City Manager to apply for and secure a 2.833% loan (through Construction Machinery Inc.) in the amount of $150,000 for the dump truck purchase for the term of 60 months.

Section 3. This is a budget amendment ordinance only, is not permanent in nature, and shall not be codified.

               ENACTED BY THE CITY COUNCIL OF HOMER, ALASKA this 14th day of September, 2015.

CITY OF HOMER

______________________
MARY E. WYTHE, MAYOR

ATTEST:

____________________________

JO JOHNSON, MMC, CITY CLERK

AYES:

NOES:

ABSTAIN:

ABSENT:

First Reading:

Public Reading:

Second Reading:

Effective Date:

Reviewed and approved as to form:

                                                                                                                                                                                                 ___________________________                                                            ____________________________
Mary K. Koester, City Manager                                                          Thomas F. Klinkner, City Attorney

Date: ______________________                                                            Date: _______________________