To: Honorable Mayor and Members of Town Council
Through: David L. Corliss, Town Manager
From: Jeff Brauer, Director of Parks and Recreation
Title
Resolution Approving an Equipment Acquisition Agreement with Pattlen Enterprises, Inc., d/b/a L.L. Johnson Distributing Company, Inc., for the Purchase of Golf Course Maintenance Equipment
Body
________________________________________________________________________________
Executive Summary
The purpose of this resolution is to request Town Council approval of an equipment acquisition agreement with Pattlen Enterprises, Inc., d/b/a L.L. Johnson Distributing Company, Inc., to purchase equipment for the maintenance of Red Hawk Ridge Golf Course.
The lease for the course’s current equipment expired in 2021 and many pieces are now in need of replacement. With the addition of the proposed new equipment and the repurposing of the majority of the existing equipment, the maintenance team will have the necessary tools and resources to continue to provide the first-class playing conditions that customers have come to expect.
History of Past Town Council, Boards & Commissions, or Other Discussions
Town Council approved the most recent equipment lease-purchase from LL. Johnson Distributing Company with financing from Wells Fargo in 2016. The total amount financed was $300,148.38 over 5 years, giving the course monthly payments of $5,375.95. The equipment under this purchase consisted of the following:
• One fairway mower
• One spray unit
• Two greens mowers
• One aerator
• One rough mower
• One utility vehicle
• One roller
• One pro sweep unit
• One pull-behind turbine blower
Discussion
Under this proposed acquisition agreement, staff would like to acquire the following pieces of equipment in 2022:
• One Toro Groundmaster 3300 4WD rotary trim mower
Replaces 25-year-old equipment
• One Toro Groundmaster 3500-G
Replaces 17-year-old equipment
• One Toro Workman HDX - 4WD Diesel (Kubota) work vehicle
Replaces 17-year-old equipment
• One Toro ProPass 200 Wireless Topdresser
Attaches to above workman
• One Toro Reelmaster 3100-D Sidewinder trim mower
Replaces 17-year old equipment
• Three Toro Greensmaster 3150-Q Greens mower
Replaces 12-year-old equipment
• One Toro Groundsmaster 4500 rough mower
Replaces 12-year old equipment
• OneGreenPro 1260 greens roller
Replaces 12-year old equipment
• Two Toro Reelmaster 5410-D Fairway mower
Replaces 7-year-old equipment
• One Toro ProCore 864 Fairway Aerator (new)
Allows staff to core cultivate twice as fast
• One Toro Bullseye QuickGroom 550 (new)
Allows staff to top dress more efficiently
• One First Products VC60 3-PT tractor mount Vericutter (new)
Allows staff to dethatch turf
L.L. Johnson Distributing Company has been serving the Colorado market as a family-owned company since 1976 and is celebrating its 46th anniversary this year. The sales, service and parts divisions have proven to be the leader in Colorado for many years. The employees at L.L. Johnson possess years of experience that provide a solid foundation of knowledge leading to consistent scores of 9 out of 10 on independent blind customer satisfaction surveys.
As a leading worldwide provider of innovative turf, landscape, rental and construction equipment, and irrigation and outdoor lighting solutions, Toro helps customers care for golf courses, sports fields, public green spaces, commercial and residential properties and agricultural fields. Toro values the trust customers place in their people and products and are proud to partner with many sites and events around the world. Customers include St. Andrews Links in Scotland, the Wimbledon Championships, the Super Bowl Stadium, Rose Bowl and Walt Disney World Resort, along with many other professional and collegiate venues.
Budget Impact
Staff elected to use Colorado Multiple Assembly of Procurement Officials (MAPO) pricing from L.L. Johnson Distributing Company. The use of the 2022 Discounted MAPO Contract Pricing (#Omnia2017025) from L.L. Johnson is consistent with the Town of Castle Rock's purchasing policy and ensures that the pricing for all of the equipment has been competitively bid.
Funding for the financed purchase of the equipment is available in the approved budget of the Golf Fund. Staff reviewed financing options from L.L. Johnson, Wells Fargo Equipment Finance and an interfund loan with the Town of Castle Rock to save issuance costs and provide a lower interest rate for the transaction. The Town had the most attractive rate and terms.
The General Fund shall deposit to the Golf Fund the loan amount of $541,815.70 towards the purchase. The Golf Fund shall repay the General Fund the loan amount plus accrued interest over a 5-year period. Annual principal payments will be charged to 214-5390-453.90-30; interest payments will be charged to 214-5390-453.90-20.
Staff Recommendation
Staff recommends that Town Council support the resolution approving the equipment acquisition agreement.
Proposed Motion
“I move to approve the resolution as introduced by title.”
Alterative motions:
“I move to approve the resolution as introduced by title, with the following conditions: (list conditions).
“I move to continue this item to the Town Council meeting on _____ date to allow additional time to (list information needed).”
Attachments
Resolution
Exhibit 1 - Agreement