Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Capital Equipment Contracts topic
No spam. Unsubscribe anytime.
County manager moving to terminate Cat Financial lease; Yancey Brothers to buy back paving equipment
Summary
County staff told commissioners they plan to terminate a December 2024 lease-purchase with Cat Financial for paving equipment; Yancey Brothers will buy back the equipment for $458,000, leaving an $88,755 payment obligation under the contract, and staff said terminating is permitted under a budget-appropriation clause.
County management told the board on June 17 that a lease-purchase agreement entered in December 2024 for paving equipment (total contract $546,755) will be terminated under a contract clause allowing termination if funds are not appropriated. County staff said Yancey Brothers has agreed to buy back the equipment for $458,000, leaving a net payment of $88,755 for the county; the company will pick up four pieces of equipment (a paving machine, three rollers and a tack wagon).
The county manager said the contract contains language that allows termination when monies were not budgeted prior to a fiscal year and that staff has been progressing to terminate the agreement and arrange return of the equipment. The manager also said that if the county were to continue in the paving business it would require approximately eight to 10 additional employees.
No formal board vote to terminate the lease appears in the transcript; the manager described administrative action he is taking under the contract's termination clause. Commissioners received the update and asked questions; staff said they will proceed with the contractual option to terminate if budgetary conditions require it.
Action recorded in transcript: no formal motion or vote recorded on the lease termination; county manager stated staff is pursuing contract termination permitted by the agreement language.
