Title
Consider a memorandum/resolution awarding Bid No. 22-18, Golf Cart Lease, to E-Z-GO and authorizing a sixty (60) month lease agreement with Huntington National Bank for seventy-five (75) golf carts for Stonetree Golf Club in the amount of $193,410.00.
Summary
DATE: June 7, 2022
TO: Kent Cagle, City Manager
FROM: Joseph Brown, Executive Director of Recreation Services
SUBJECT: Stonetree golf cart lease
BACKGROUND AND FINDINGS:
Stonetree Golf Club (SGC) provides recreation for city residents and visitors. Golf carts allow all golfers that utilize the facility to have complete access of play. SGC golf carts are utilized in more than 35,000 rounds and fifty (50) tournaments annually. SGC generates in excess of $1,200,000.00 annually in revenue and of this revenue we receive $300,000.00 from cart rentals. Due to the high amount of usage placed on these golf carts, they are subject to maintenance issues as the age of the carts increases. The proposed equipment lease is meant to replace the current golf cart fleet in use. Indigo Golf Partners recommends the replacement of the golf cart fleet every 4-5 years to ensure that working golf carts are consistently available for SGC patrons.
SGC initiated a 48-month lease in 2017 with E-Z-GO which was financed through TCF Equipment.
The City of Killeen Recreation Services began the process of soliciting bids for seventy-five (75) golf carts. Bid 22-18 was advertised on March 20, 2022 and March 27, 2022 and followed the Texas Local Government Code and the City's Financial Management Policy.
Recreation Services received responses from two (2) companies on April 19, 2022.
Recreation Services, along with Purchasing, evaluated each bid's conformance with the bid information and instructions. Staff recommends E-Z-Go.
Recreation Services is seeking to enter a new lease with E-Z-GO financed through Huntington National Bank for a sixty (60) month lease for seventy-five (75) RXV EliTE lithium powered golf carts....
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