ITEM 6-L

Council Meeting:  May 26, 1992

TO:       Mayor and City Council

FROM:     City Staff

SUBJECT:  Recommendation to Reject Bid to  Furnish,  Deliver  and
          Mount One (1) New and Unused 20 Cubic Yard Rear Loading
          Refuse Packer Body to a City Owned 54,000 Gross Vehicle
          Weight Rated (GVWR) Cab and Chassis, Bid #2403

Introduction

This report concerns rejection of bid  to  furnish,  deliver  and
mount  one  (1)  new and unused 20 cubic yard rear loading refuse
packer body to a City owned 54,000 GVWR cab and chassis  for  the
Solid Waste Management Division, General Services Department.

Background

In  response  to  published  Notices  Inviting  Bids   (published
February 28,  1992  and  March  2,  1992) to furnish, deliver and
mount one (1) new and unused 20 cubic yard  rear  loading  refuse
packer  body  to  a  City  owned  54,000  GVWR cab and chassis in
accordance with  City  specifications,  bids  were  received  and
publicly  opened and read on March 17, 1992.  Proposal forms were
mailed to twenty-four vendors  and  notices  were  advertised  in
accordance with City Charter and Municipal Code provisions.  Five
proposals were received as follows:

     Scranton Manufacturing                  $25,866.40
     Ray Gaskin Service                      $28,767.44
     The Heil Company                        $34,991.81
     Haaker Equipment Company                $43,933.26
     Dew Par Sales & Service                 $47,294.43

Staff has evaluated the bids and finds  that  they  substantially
exceed  the  amount  budgeted  in  the  FY 1991/92 budget.  Staff
wishes to re-evaluate the need for this piece of equipment.

Budget/Financial Impact

This recommendation does not have a budget or financial impact.

Recommendation

It is recommended that all bids be rejected and staff be directed
to re-evaluate the need for this piece of equipment.

Prepared By:   Pam Wortham, Purchasing Agent
               Theodore Baxter, Buyer