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6
<br /> FINANCIAL IMPACT:
<br /> Staffing
<br /> Should the Board approve these positions on April 16, 2002, staff anticipates that the positions
<br /> could potentially be filled at the earliest by the end of May, meaning that there would be only
<br /> one month of costs associated with the positions in FY 2001-02. The table below outlines the
<br /> anticipated costs for the current fiscal year, as well as annual costs for FY 2002-03:
<br /> Current Fiscal Year 2001-02 Fiscal Year 2002-03 Costs
<br /> Position Costs (includes (includes Salary/Benefits,
<br /> Salary/Benefits, Operations, Operations, and One Time
<br /> and One Time Start-up costs) Start-up costs)
<br /> Landfill Inspector $3,158 $42,338
<br /> Materials Transfer Operator $3,158 $42,174
<br /> Administrative Assistant II $5,324 $41,981
<br /> Total $11,640 . ' ' $ 26,493
<br /> It is important to note that staff anticipates that the total cost of these positions would be offset
<br /> by proposed program fees. The proposed fee schedule will be reviewed by the County
<br /> Attorney, and staff anticipates that the schedule will be ready for Board review during the month
<br /> of May 2002.
<br /> Equipment
<br /> The financial impact associated with acquisition of each piece of equipment is summarized in
<br /> the table below. The more expensive pieces of equipment are to be financed through a local
<br /> bank at an estimated interest rate of 3.75%, for a period of 59 months. Instead of relying
<br /> completely on a drawdown of existing reserves, financing over this period of time will spread the
<br /> capital cost over multiple budget years and reduce the immediate impact on the Solid Waste
<br /> Management enterprise fund reserves. Funding for all outright purchase, down payment,
<br /> annual payment, and interest costs will be provided by the Solid Waste Management enterprise
<br /> fund and no General Fund resources will be necessary.
<br /> Equipment Bid Price Interest Cost Total Cost
<br /> Horizontal Grinder 501,383 39,714 536,078
<br /> Trommel Screen 132,210 13,126 145,336
<br /> Live Floor Trailer 46,872 0 46,872
<br /> Road Tractor 79,669 0 79,669
<br /> Crawler Loader 204,803 20,334 225,137
<br /> TOTALS $964,937 $73,174 $1,038,111
<br /> Includes a down payment of$5,019 with the remaining $496,364 to be financed. The estimated annual
<br /> payments of principal and interest toward this amount will be approximately$110,918 for 4 years with a 5th year
<br /> payment of approximately$92,406.
<br /> 2) The estimated annual payments of principal and interest toward this amount will be approximately$29,487 for 4
<br /> 3ears with a 5th year payment of approximately$27,388.
<br /> > Outright purchase using anticipated savings from current budget that have resulted from lower than expected
<br /> equipment bids earlier in the year and lower expenditures for contracted services.
<br /> (4)Although bidders were asked to supply a cost for outright purchase and a 5-year governmental lease, it is more
<br /> advantageous for the County to pursue bank financing. The estimated annual payments of principal and interest
<br /> toward this amount will be approximately$45,678 for 4 years with a 5th year payment of approximately$42,425.
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