HomeMy WebLinkAboutItem 20 - Surplus Fire TruckMEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: BRUNO RUMBELOW, CITY MANAGER s1Q—
MEETING DATE: AUGUST 5, 2014
SUBJECT: RESOLUTION AMENDING THE MINIMUM SALE PRICE AND
THE APPROVAL OF A SALES AGREEMENT WITH FIRETEC
FOR THE SALE OF THE CITY'S SURPLUS BRONTO FIRE
UNIT
RECOMMENDATION:
City Council to consider:
• adopting a resolution amending the minimum sales price of the City's 2002 E -One
118' Bronto Aerial unit to the highest price possible,
• approving a sales agreement with FIRETEC USED APPARATUS SALES for the
sale of the City's 2002 E -One 118' Bronto Aerial unit,
• authorizing the City Manager to execute said agreement
• and take any necessary action.
BACKGROUND:
The City initially tried to sell the unit in 2012 through Brindlee Mountain Fire Apparatus
with no success. Subsequent to those efforts, the Council adopted Resolution 2013-59
declaring the unit to be surplus and authorizing public auction with a minimum bid of
$275,000.
We have placed the unit up for auction twice with Rene' Bates Auctioneers with no
success.
FIRETEC has been in business for 30 years and has expressed interest in trying to sell
the unit for a 5% commission. Their commission is normally 10% but for units in the
$150,000+ range, they are agreeable to the lower rate.
They have suggested an initial asking price of $200,000.
0:\Agenda\08-05-2014\Bronto Sale Contract
The resolution removes the minimum price established in the earlier resolution and
allows the City Manager to accept the best offer that we receive through the efforts of
the proposed sales consultant.
Staff recommends approval.
0:\Agenda\08-05-2014\Bronto Sale Contract
LISTING AND MARKETING COMMISSION AGREEMENT
The undersigned being duly authorized, hereby enter into the following contractual agreement: Firetec
Used Apparatus Sales agrees to market the following apparatus:
Apparatus (year/make/model): 2002 Bronto Skylift
Owned by: City of Grapevine TX
Firetec' will refer to Owner all qualified inquiries Firetec' receives regarding the specified apparatus.
If Owner sells the marketed apparatus or any other apparatus to the customer referred by Firetec', or
anyone acting on behalf of the referred customer, the Owner will pay a commission of 5% of the sale
price (or a minimum of $500) to Firetec® within 10 days of the sale. While Firetec does not require an
exclusive agreement, seller understands that Firetec blankets the market with information and photos
of the apparatus it has been hired to sell. Occasionally buyers will contact sellers without mentioning
Firetec's involvement. Firetec keeps meticulous records of its contacts on each apparatus and strives to
notify sellers of all potential leads. However, it's the responsibility of the seller to confirm with Firetec the
source of the lead prior to sale, as commission may be due.
Owner agrees to notify Firetec', at the time of sale, as to the sale price and the name and address of
the buyer.
This agreement shall be in effect for a period of one (1) year unless extended. Either party may terminate
at any time by notifying the other party in writing. If any sale takes place subsequent to termination, to a
party previously referred by Firetec', the same commission will be paid as if the agreement were still in
effect.
Agreed to by:
Firetec Apparatus Sales
Date
11/1/2013
app.firetec.com
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Authorized Owner
Date
RESOLUTION NO. SttRPILIA5 r(RE
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A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS, AMENDING THE MINIMUM SALE
PRICE APPROVED BY RESOLUTION NO. 2013-59 WHICH
DECLARED A 2002 E -ONE BRONTO FIRE TRUCK AS
SURPLUS PROPERTY AND AUTHORIZED SALE AT
AUCTION AND PROVIDING AN EFFECTIVE DATE
WHEREAS, the City of Grapevine, Texas is in possession of a fire truck that was
declared surplus property by the City Council on June 4, 2013, with the passage of
Resolution No. 2013-59 which established a minimum bid for the sale of the vehicle; and
WHEREAS, the fire truck has been placed up for auction twice with no success and
the City Council finds it is in the best interest of the City to list the vehicle with a new firm
to obtain the highest price possible for the vehicle; and
WHEREAS, all legal prerequisites for the adoption of this Resolution have been
met, including but not limited to the Local Government Code and the Open Meetings Act;
and
WHEREAS, the City Council hereby declares that the approval of this Resolution is
in the best interests of the health, safety, and welfare of the public.
NOW, •. RESOLVED COUNCIL OF OF
GRAPEVINE, TEXAS:
Section 1. That all matters stated in the above preamble are true and correct and
are incorporated herein as if copied in their entirety.
Section 2. That the City Manager, or his designee, is hereby authorized to enter
into an agreement with Firetec Used Apparatus Sales, or any other appropriate vendor, to
list and market for sale the 2002 E -ONE Bronto Fire Truck and to obtain the highest price
possible for this item. There is no minimum sales price and the proceeds from the sale of
the Bronto Fire Truck will be deposited into the Fleet Replacement Fund.
Section 3. That this resolution shall take effect from and after the date of its
passage.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS on this the 5th day of August, 2014.