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HomeMy WebLinkAbout860870.tiff services DES MOINES FLEET MAINTENANCE/212 SOUTHEAST RACCOON STREET/DES MOINES,IOWA 50309/515-283-4959 NOBLE J. BEARDSLEY Regional Manager August 19, 1986 Mr. Donald D. Warden, Director Department of Finance & Administration Weld County Greeley, Colorado 80632 Dear Don: Please accept this letter as the formalization of our agreement of August 14, 1986. On that date, the Commission approved the budget for the third year of the contract in the amount of $1,019,850 based on a fleet size of 401 units. This agreement is consistant with the budget adjustment procedure specified in section 3. 10, paragraph (a) of the contract. It will be greatly appreciated if you will signify your agreement by signing one of these documents and returning it for the company's record. Thank you for your continued confidence in our program to serve Weld County's fleet management and maintenance needs. Sincerely, Noble J. Bea dsley, Regional M ger ARA Managed gistics Systems, I c. NJB/lh r.7- Concur: Adroe, 860810 MEMORAIMUM Wilkro Board of County -.Commissioner Date e.ptswbr.r % 19% COLORADO From Lcrajd D. words Subject:_ARA rontrnrt Amendment Attached is the annual contract amendment from ARA for 1987. As discussed in the early warning budget sessions, the ARA contract shows a substantial increase but costs for parts appear to be Justified based upon actual ccst records from ARA. Contract includes an added "parts chaser" and 4% COLA. The contract amount is still below the actual 1982 ccunty cost of $1,029,425. With inflation of 28.9% over the five year period, the savings appears to be 29.8%, or $307,078 annually, not considering fleet size increase of over 15%. Cost comparisons for the last three years are as fellows: 1985 1986 1987 Fleet size 351 385 401 Parts $ 301 ,000 $ 372,904 $ 500,000 Payroll 293,388 334,180 362,750 Overhead 85,000 54,036 55,100 Fee 75,000 84,028 102,000 TOTAL $ 754,388 $ 845,148 $1,019,850 Funds are budgeted to accommodate the contract amount. Recommend authorizing Chairman tc sign attached amendment letter. Hello