Title
Resolution to Approve Golf Cart Lease with CCB'S, LLC ($69,951.72/yr)
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 2017 and 2018 seasons for use at Huron Hills and Leslie Park Golf Course. In addition, under the terms of the lease, the City at its option, could extend the lease for the 2019 session. The current golf cart lease expired at the end of the 2016 season.
Budget/Fiscal Impact: Funding is available in the FY2017 approved Parks & Recreation Services General Fund budget and will be included in the budget plan for FY2018 and FY2019.
Both Huron Hills and Leslie Park Golf Courses offer golf carts for rental. This is significant revenue generator for both courses. In FY2016 golf cart rentals resulted in approximately $230,000.00 in revenue.
An Invitation to Bid (ITB #4455) was advertised on the Michigan Inter-governmental Trade Network as well as on the City of Ann Arbor Purchasing website.
Four bids were received by the City:
Pifer Inc $63,960.00 per year
$108.00 per cart (2013 model)
*Work utility carts asked for in the ITB were not included in the bid per specifications
Golf Cars Plus $69,951.72 per year
$112.46 per cart (2017 model)
Spartan Distributors $102,137.28 per year
$164.91 per cart (2017 model)
Midwest Golf & Turf Vehicles $105,580.86 per year
$167.85 per cart (2017 model)
Staff recommends moving forward with the second lowest bidder in this instance. In this case the lowest bidder offered used carts from 2013 while the selected bidder is providing brand new carts from 2017 for only $4.46 per cart per month more. Per bid language, the City has the right to award in the best interest of value to the City. Brand new carts from 2017 will provide a better experience for guests, better appearance, better fuel economy and likely result in less maintenance issues and carts out of service than...
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