Title
Development Services Compact SUV - Purchase
History
The 2014 Fiscal Year Budget includes a Board approved line item to purchase one (1) Compact SUV for the Development Services Department at a cost not to exceed $26,000.
Currie Motors of Frankfort, Illinois is the Suburban Purchasing Cooperative Contract vendor for this type of vehicle. Currie Motors submitted a total vehicle cost of $23,989 for a 2014 Ford Escape SE 4-door, four wheel drive (4x4) sport utility vehicle. Currie Motors can deliver in 8 to10 weeks after receipt of order.
As part of the review process, the Vehicle and Equipment Division looked at other vehicles to fill the requirements for this application including the Jeep Compass, Chevy Equinox, and Jeep Patriot. The Escape SUV has the most cost effective price in its class and is the only compact SUV being offered in the Suburban Purchase Cooperative.
Staff also evaluated and compared a purchase versus leasing option [see attached Total Cost of Ownership (TCO) Analysis]. The TCO Analysis is based on a 5-year lease term. Under typical conditions, this vehicle would remain in the fleet for up to ten (10) years. A lease term of that length is generally not available. Because the lease term is only five years, and the Village would generally keep this vehicle in service for approximately 10 years, the lease option as not cost efficient in this case; therefore, staff recommends the purchase of this vehicle.
Staff recommends that approval be given to purchase one (1) 2014 Ford Escape SE 4x4 from Currie Motors of Frankfort, Illinois at a cost not to exceed $23,989.
On May 5, 2014, this item was reviewed and approved by the Public Works Committee and referred to the Board for approval.
Financial Impact
There are funds available in account 010-5006-470200 for the purchase of the 4wd Ford Escape. The purchase price of the 2014 Ford Escape is $2,011 below the budgeted amount.
Recommended Action/Motion
I move to approve the purchase of one (1) 2014 (4WD) Ford Escape SE Vehicle from Currie Motors Fleet of Frankfort, Illinois, in an amount not to exceed $23,989.