Title
Resolution to Approve Golf Cart Lease Agreement with CCB's, LLC, DBA Golf Cars Plus ($68,904.00 annually)
Memorandum
Attached for your review and action is a resolution to enter into a contract with CCB's LLC (DBA Golf Cars Plus) to lease 97 golf carts and three utility vehicles for the 2020 and 2021 seasons with an option to renew for the 2022 and 2023 seasons, for use at Huron Hills and Leslie Park Golf Course. The current golf cart lease expired at the end of the 2019 season.
Both Huron Hills and Leslie Park Golf Courses offer golf carts for rental. This is a significant revenue generator for both courses. In FY2019 golf cart rentals resulted in approximately $248,000 in revenue.
An Invitation to Bid (ITB #4602) was advertised on the Michigan Inter-governmental Trade Network as well as on the City of Ann Arbor Purchasing website.
Three bids were received by the City:
Golf Cars Plus
97 Golf carts (2019) at $114.00 per month for six months: $66,348.00
2 Utility carts (2016) at $126.00 per month for six months: $1,512.00
1 Beverage cart (2016) at $174.00 per month for six months: $1,044.00
Total: $68,904.00 per year
Midwest Golf & Turf
97 Golf carts (2020) at $110.67 per month for six months: $64,409.94
2 Utility carts (2020) at $326.97 per month for six months: $3,923.64
1 Beverage cart (2020) at $689.26 per month for six months: $4,189.56
Total: $72,523.14 per year
Spartan Distributors, Inc.
97 Golf carts (2020) at $204.52 per month for six months: $119,030.64
2 Utility carts (2019) at $376.07 per month for six months: $4,512.84
1 Beverage cart (2016) at $276.01 per month for six months: $1,656.06
Total: $125,199.54 per year
Staff recommends moving forward with Golf Cars Plus and their annual bid of $68,904.00 per year. In this case the lowest bidder offered used carts from 2019 while the second lowest bidder offered carts from 2020. However, the low bidder was significantly more affordable on their utility cart bids, resulting in the ove...
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