Title
Resolution to Approve Exercising the Purchase Option of the City's Lease Agreement with Leica Geosystems, Inc. to Purchase TCRP1203 R1000 Robotic Total Station for Surveying ($24,999.25)
Memorandum
Attached for your review and action is a resolution to approve exercising the purchase option of the City's Robotic Surveying Total Station Lease Agreement at a cost of $24,999.25. The cost of the Total Station is included in the approved Project Management Services Unit FY 2010 operating budget.
In March 2009, we entered into an agreement with Leica Geosystems, Inc. to lease a new Robotic Surveying Total Station beginning in April 2009 for a monthly payment of $3,985.75, with the option to purchase the equipment by July 10, 2009 for $24,999.25. The presence of the new equipment permitted the City to add a second surveying crew for the ongoing construction staking activities. The option to purchase the equipment in July 2009 was contingent on the City Council's approval of the Project Management FY 2010 operating budget, in May 2009.
Our first surveying crew currently operates the Total Station that we purchased over 10 years ago. The older unit is still in operation but it is not as precise and efficient as the newer model. The Leica TCRP1203 R1000 Robotic Total Station is compatible with our other surveying equipments and will be utilized for all our civil engineering surveying needs including the required work for the design and construction of our capital improvement projects. The new technology for the Total Stations allows a smaller surveying crew to survey an area, and with more accuracy.
With the City Council's approval of the attached resolution, the purchase would need to occur by July 10, 2009.
Staff
Prepared by: Homayoon Pirooz, P.E., Project Management Manager
Reviewed by: Sue F. McCormick, Public Services Administrator
Approved by: Roger Fraser, City Administrator
Body
Whereas, The current work load for the surveying for the City's capital improvement projects requires the operation of more than one survey crew team;
Whereas, The Project Management Services Unit currently owns one surveying Total Station that is over 10 years old;
Whereas, The Project Management Services Unit currently leases a brand new Total station for its second surveying crew team for $3,985.75 per month;
Whereas, The current equipment lease agreement with Leica Geosystems, Inc. provides the City the option to exercise the purchase of the Robotic Surveying Total Station prior to July 10, 2009 for $24,999.25;
Whereas, the today's market price for TCRP1203 Plus R1000 Robotic Total Station is $45,380.00;
Whereas, there are sufficient funds in the Project Management Services Unit 2010 operating budget for the purchase of a new Robotic Total Station; and
Whereas, Leica Geosystems, Inc. received Human Rights approval on April 4, 2009;
RESOLVED, That City Council approve exercising the purchase option of TCRP1203 R1000 Robotic for $24,999.25 by July 10, 2009; and
RESOLVED, That the City Administrator be authorized to take all necessary administrative actions to implement this resolution including the authority to execute and deliver all necessary documents in connection with the purchase after approval as to form by the City Attorney.