Title
Resolution to Approve Amendment No. 2 to Golf Cart Lease with Pifer Inc. (NTE $57,618.00)
Memorandum
Attached for your review and action is a resolution to amend the current lease with Pifer Inc. to lease 99 golf carts for the 2016 season for use at Huron Hills and Leslie Park Golf Courses for an amount not to exceed $57,618.00. The current lease with Pifer Inc. expires in December 2015.
Budget/Fiscal Impact: Funding is available for FY2016 in the approved Parks & Recreation Services General Fund and in the approved budget plan for FY2017.
Both Huron Hills and Leslie Park Golf Courses offer golf carts for rental. This is significant revenue generator for both courses. In FY2015 golf cart rentals resulted in approximately $220,000.00 in revenue.
Leslie Park Golf Course has been working towards designing and constructing a new golf cart storage facility that will allow for a transition from gas carts to electric. The original goal was to have this facility completed in the spring of the 2016 - thus the reason for the end of the current golf cart lease for gas carts in 2015. The City has since combined the design and engineering for the cart storage building with another building project within the City (a storage facility for recycle / compost carts) for better bid purposes and potential cost savings for both projects. However, the combining of these projects has delayed the cart storage facility completion seven - ten months, pushing the transition to electric golf carts at Leslie Park to the 2017 season. This leaves the golf courses with a one year gap (the 2016 golf season) in which a fleet of golf carts is needed for lease.
The current vendor of our golf carts (Pifer, Inc.) has agreed to honor the existing lease conditions for another year. The original Invitation to Bid (ITB #4259) was advertised on the Michigan Inter-governmental Trade Network as well as on the City of Ann Arbor Purchasing website and bids were received from fo...
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