Agenda - Council - 05/25/1999 - Laserfiche WebLink

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Options two and three are the most logical of the three presented. After the initial cost of start-up and purchasing sign-making equipment, they are almost equal. The replacement cost of switching 3,080 sign blades, if we purchase them through a vendor, will be in the neighborhood of $80,000. This spread out over a five-year replacement.pl,~ would be approximately $16,000 per year. Adding in costs for sign-making equipment would raise this cost to $19,000 over the same period of time. The space needed for a sign-making shop could easily be addressed as we renovate the metal building at the public works site. The only issue left to consider would be the cost of labor. At the present time, if we were to make our own signs we would see a cost savings, on average, of $1.65 per sign blade for materials. For example if a sign blade cost us $20.00 to make, we could buy it for $21.65 from our vendor. Our cost of $20.00 does not include any labor. We as a City will have to decide if versatility and the convenience of a quicker response time, out weighs the approximately $10.00 in labor charges per sign blade. Committee Action: Based upon discussion. Reviewed by: Public Works Supervisor Director of Public Works Finance Officer PW: 05/18/99 [[RA_FSlIVOLIluserslJThielingI~JOICOUNCIL&tROAD&BRIISign Case. doc 05/14/99 I I I $1 I I I I I I I I