For a few dollars more
Tom Hasslinger | Hagadone News Network | UPDATED 12 years, 9 months AGO
COEUR d'ALENE - Two trucks, both with torque, but only one is local.
The city of Coeur d'Alene wants to purchase a pair of 2012 Dodge trucks for its water department, but instead of grabbing up to two with the lowest price tags, one council member wonders if the city should spend a little more to buy a rig from a local dealer.
The city's finance department, however, has made a habit of buying capital at the cheapest price. Playing favorites, it said, might not be the best practice when it comes to spending tax dollars.
The discussion on whether wiggle room should be allowed for local businesses will start Monday.
"If there's a chance to support a local business, I'm going to do it," said Deanna Goodlander, councilwoman. "These are the people who live here. These are the people who pay taxes here."
One of the trucks the city is eyeing is a Dodge 1500 pickup from Dave Smith Motors in Kellogg for $19,550. That was the cheapest quoted price for that model the city's finance department received when it went price shopping.
But the other truck it wants to buy, a Dodge 3500, is from Mountain Home Auto Ranch, the dealer which provides trucks for the state government, in Mountain Home. It quoted Coeur d'Alene the cheapest price for that model at $22,409, $300 cheaper than local Lake City Ford's quote of $22,711 for the exact same truck.
"If it costs us a little more to support the local business ... I think what we need to do is at least talk about it," Goodlander said.
The two trucks being replaced are a 1999 Ford F150 and a 1995 GMC flatbed. Vehicles are generally replaced in departments when they hit 10 years or 100,000 miles, and the older models are then given to other departments to use. The replacement trucks are budgeted in the city's financial plan.
Legally, the city could choose to buy locally.
Idaho statute says cities looking to buy items for $50,000 or more have to send them out to bid, and accept the lowest offer. For items less than $25,000, meanwhile, cities can buy from whom they want.
But City Finance Director Troy Tymesen said he still asks for quotes from state-approved providers on items under $50,000 - which both trucks were - and purchases the one with the lowest price.
Purposely spending more, even if it's locally, is tough to justify or explain during audits, he said.
Then the question on where the boundaries would be drawn would come up.
"What's local?" Tymesen asked.
Would all of North Idaho count? What if an offer from a Post Falls provider came in slightly cheaper than one from Coeur d'Alene? How local would the cutoff be? And how would the dollar amount be figured?
"The law is not 'buy local', the law is 'buy cheap,'" said Dan Gookin, councilman, who doesn't favor changing the current practice to support businesses closer to home. "It tries to take the political aspect out of the process."
Besides, local dealers win bids from other cities, too, he said.
The Public Works meeting is 4 p.m. Monday in the Community Room of the Coeur d'Alene Public Library.