City Administrator Kelley Bloodworth believes lease-agreements are the best option for the City of Henrietta when replacing heavy equipment. The option was discussed during Monday’s city council meeting.
The city started looking at different options when the transmission failed in the street department’s 16-year-old backhoe. The transmission will have to be replaced, costing the city an estimated $11,000.
Another backhoe, used at the city’s convenience center, is even older, manufactured sometime around 1986. It needs a new fuel injection pump, costing about $800.
The city has begun the bid process with different companies. The five-year will be similar to agreements used by the county to purchase road graders. Like a balloon note, the city would pay small monthly payments until the note is do. At that point, the equipment company gives the city a guaranteed buy back, and the process starts over with a new piece of equipment.
“That way, we’re not investing more into a 16-year-old, or even 24-year-old machine, than it is worth,” said Bloodworth.
The lease would cost the city an estimated $6,900 per year. Lease-purchase bids received so far have allowed for 800-1,000 hours of use per year, the street department has used its backhoe an average of 400 to 500 hours per year.
Aldermen approved a proposition to increase rates at the city’s R.V. facilities located at Hapgood Park.
Rates will increase from $7 to $15 per night. It is the first increase in rates since the park opened in 1994. In addition, aldermen increased the maximum length of stay at the park from 72 hours to seven days.
Bloodworth said that in the past the city had given campers permission to stay longer than the 72 hours if the campers were there for job related reasons such as road work crews. The council decided to continue with the practice.
Aldermen approved a measure to move the dividing line between the city’s east ward and west ward to within a 10 percent deviation, as required by the state the state. The line was moved east from Henrietta Street to Angelina Street, bringing the deviation to within 2.8 percent. The east ward now has a population of 1,565, and the west a population of 1,576, based on the 2010 census.
The change must be approved by the secretary of state by February.
In other business, aldermen approved a resolution for the taxation of goods in transit; approved the annexation of a property owned by K.P. Evans, located on North Centennial Parkway, near Thaxton Road; and approved all consent items.