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<br />$20,000 to $25,000. :fie stated that once a value is established, the sale of the vehicle to <br />Nowthen can proceed. <br /> <br />Councilmember Elvig stated that you never get the real value of something when you sell it and <br />asked if there was any reason. for the City to hang onto the fire engine. He stated that he also <br />feels the value to someone of this fire engine may be $75,000 even though the appraisal came in <br />at $25,000. <br /> <br />Fire Chief Kapler stated that the appraisal should show what the vehicle would be worth on the <br />open market. He stated that it is important to note that the old fire engine is not without <br />problems, which is why the City has purchased a new vehicle. He stated that the body is rusting <br />out and is not as dependable as he would like. He stated that one of the other issues is that the <br />City just doesn't have space for it. He is hopeful that the new engine can be stored in the Public <br />Works building until the fire fighters have been thoroughly trained on the new vehicle. <br /> <br />Chair Strommen stated that there is value to the City in selling it to someone that the City has a <br />lP A with because the City will still benefit from its use. <br /> <br />Councilmember Look asked if the companies who did the appraisals actually purchase vehicles. <br /> <br />Fire Chief Kapler stated that Brindlee Mountain is considered an appraisal company, and do list <br />used vehicles on their website, but he is not sure of Berry Emergency Vehicles. <br /> <br />Councilmember Look asked if $20,000 was what they would pay for the vehicle. <br /> <br />, <br /> <br />Fire Chief Kapler stated that Brindlee stated that they would list the vehicle for $20,000 and <br />would accept between $12,000 and $15,000 for it. He stated that he does not think they buy <br />used vehicles, but only list them as brokers. <br /> <br />Chair Strommen noted that the revenue from the sale would help offset the costs for the new <br />vehicle and asked if the City had a number already plugged into the budget. <br /> <br />Finance Officer Lund stated that this item was carried over from 2007 and there is $360,000 in <br />the budget for the new vehicle. <br /> <br />Councilmember Elvig stated that the City has discussed this with Burns Township and they are <br />expecting the $20,000 cost. <br /> <br />Fire Chief Kapler stated that this has only been discussed at a committee level, not the full board, <br />but agreed that $20,000 had been discussed. <br /> <br />Motion by Councilmember Look, seconded by Councilmember Elvig, to recommend that the <br />City Council accept staffs recommendation of establishing the value of the fire engine at <br />$20,000 and offering it to Burns Township/Nowthen for that cost. <br /> <br />Finance Committee / June 24, 2008 <br />Page 2 of5 <br />