Broken Arrow Municipal Authority
Meeting of: 10/03/2023
Title:
title
Approval of and authorization to execute a 12-month lease with Newterra Corporation Inc., for Two (2) 40HP AIRE-O2 Triton® 2.0 Aerator/Mix
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Background:
We are in desperate need of the aerator/mix to avoid violation with the state. This is a temporary fix until the gearboxes are received/and or fixed. (Nine months out)., We looked at two options one to purchase at a cost of $170,0000 and delivery time of 26 weeks or do a rent to own for a cost of $201,150 with delivery of 2 to 4 days after receipt of the signed contract. Staff is recommending executing the lease to own to avoid any issues at the plant that could result in operational issues that could cause a Notice of Violation with the state.
Cost: $201,150
Funding Source: BAMA Capital Budget
Requested By: Cynthia S. Arnold, Finance Director
Approved By: City Manager’s Office
Attachments: Lease to own contract
Recommendation:
recommend
Approve the rent to own agreement with Newterra and authorize its execution.
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