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HomeMy WebLinkAboutItem No. 09 - Cost Increase for Purchase of Vessel Engines Page 1 of 2 REPORT TO CITY COUNCIL To:Honorable Mayor and Members of the City Council From:Jason Simpson, City Manager Prepared by:Rick DeSantiago, Public Works Manager Date:September 26, 2023 Subject:Cost Increase for Purchase of Vessel Engines Recommendation Approve and authorize the City Manager to approve $1,957.32 additional funds for Last Chance Performance Marine, Inc. for the inflation cost for the purchase of three (3) Vessel Engines in a total amount not to exceed $72,121.56 in such final form approved by the City Attorney. Background On October 11, 2022, the City Council approved the purchase of three (3) Vessel Engines from Last Chance Performance Marine, Inc., in the total amount of $70,164.24 (including tax). The City of Lake Elsinore has historically purchased and owned 5 vessels. On average, the age of the engines on the City’s vessels is 7 to 8 years. The City maintains all vessels for use by the Sheriff’s Department. Discussion Staff requested authorization and City Council approved the purchase of the following vessels: 1. One (1) 250 Verado XL 2. One (1) 250 Verado XXL 3. One (1) 250 Verado CXXL Due to supply chain disruptions, the Vessel Engines were not available for delivery. Due to increase in production costs, materials, and wages, a surge in demand for products and services, the cost of the vessel engines was increased. The total increase is $1,957.32. Cost Increase for Purchase of Vessel Engines Page 2 of 2 7 3 0 Fiscal Impact Funds are available in the City’s Internal Service Fund for FY23/24. Attachments Attachment 1 - Original Quote Attachment 2 - Buyer's Order te: Engine Size:X 250 Verado XL 1 X 250 Verado XXL 1 X 250 Verado CXXL ASEngine Size: Engine Size: llaNCE 60L S. Sanderson Aaenue Hemet,Ca.92545 1.-951-765-1800 Pe rfo re-, a- ^z e Py'a- r t\ e Name:_City Of Lake Elsinore lustomer Contact:_Louis lustomer Phone: 951-805-9927 Last Chance Perlormance Martne Purchase Agreement PACKAGE PRICE: 1 X 250X1 Verado 5.44" 1.85 Cambered Skeg 1 X 250XXL Verado 5.44" 1.85 Cambered Skeg 1 X 250CXXL Verado 5.44" 1.85 Cambered Skeg Sub Total Subtotal Tax Tax Total Wtax Shipping Shop Supplie lnstalt New Engine / Lake Elsinore Removes old one (Two Different Boats: 945.00 Each) 'E : This is a binding purchase agreement. lf you haoe placed an order for a custom Boat/Engine (you nre not purchnsing from LCPM Stock) you hatte 72 hours from the time you place tlrc order to cancel witlrout recourse. A deposit of S 1000.00 and npprotted uedit( lf Not Cash / Check Deal), is required to a special ordered boat or Engine.Your deposit is non-refundable if qou cancel after the 72 hour cancellation period. lf you order a stock Boat or Engine your deposit is refundable unless yott ha:oe order specialized equipement or rigging. Your deposit is non refundnble once rigging lns begun, You must sign below to acknowleclge you lmue read and understand the terms if this agreement. Sisnnture: Date AL , Sigrtrttttre: ?an Date:8/222022 Confidential Last Chance Performance Marine, lnc. 601 S. Sanderson Avenue Hemet CA92545 951-765-1800 City of Lake Elsinore 130 S. Main Street Lake Elsinore CA 92530 951-674-3124 I hereby agree to purchase the following unit(s) from you under the terms and conditions specified. Delivery is to be made as soon as possible. lt is agreed, however, that neither you nor the manufacturer will be liable for failure to effect delivery. Unit lnformation New/U Year Make Model Serial No.Stock No. Price Buyer's Order 09t12t2023 Order No. 2580 Salesman LYNNE PETERSON New New New 2023 MERCURY 2023 MERCURY2023 MERCURY 250 XL Verad 250XXL Verad 250CXXL Vera 3841 8733 3841 91 83 3B419309 38418733 3841 91 83 38419309 $20,599.00 $20,999.00 $20,999.00 $62,597.00 $0.00 $0.00 $1,799.84 $100.00 $1,990.00 $0.00 $0.00 $0.00 Options: HARNESS HARNESS 5FT HARNESS EXT lOFT HARNESS EXT 1OFT HARNESS EXT lOFT HARNESS-CLEAN PWR HARNESS-PWRSTRlOF X3 FLUrD-PWRSTR@6 CLEVIS KT-RH DUAL, CLEVIS KT.LH DUAL. CLEVIS KT-LH DUAL, COUPLER-43OMM , $0.00 $75.99 $26.99 $26.99 $26.99 $98.99 $122.97 $18.99 $249.99 $264.99 $529.98 $204.99 D D D D D D D D D D D D Unit Price Factory Options Customer Rebate Added Accessories Freight Dealer Prep / Rigging Fee Property/Liability lns. Service Contract Property / Liability Cash Price Trade Allowance Payoff Net Trade Net Sale (Cash Price - Net Trade) Sales Tax Title/License/Registration Fees Document or Administration Fees Credit Life lnsurance Accident & Disability $66,486.84 $0.00 $0.00 $0.00 $66,486.84 $5,634.72 $0.00 $0.00 $0.00 $0.00 Total Other Charges $5,634.72 Sub Total (Net Sale + other charges) $72,121.56 Cash Down Payment $0.00 Amount to Pay/Finance $72,121.56 Notes: PO# FY23-00487 8t31t2023 Trade lnformation Monthly Payment ot $72,121.55 For I Months at 0.00% lnterest NOTICETOBUyER: (1)Donotsignthisagreementbeforeyoureaditorifitcontainsanyblankspacestobefilledin. (2)Youareentitledloacompletelyfilledincopyofthis agreement. (3) lf you default in thJ perforniance of your obligations under this agreement, the vehicle may be repossessed and you may be subiect to suit and liability for the unpaid indebtedness evidenc€d by this agreement. TRADE-IN NOTICE: Customer respresents that all trade in units described above are free of all liens and encumbrances except as noted. 'With Approved Credit. lnterest rates and monthly payment are approximate and may vary from those determined by the lendor. A nA L---YIKCustomer Signature Dealer Signature ----SLA;Thank You for Your Business!