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Council approves purchase of used grader from O'Keeffe after debate over timing and funding
Summary
The council approved buying a used grader advertised by O'Keeffe for about $112,000, drawing debate over whether FY2026 capital funds should be committed now or reserved for other street equipment. Staff said the purchase would be funded from anticipated FY2026 capital allocations and that a budget amendment will be required.
The City of Perry approved purchasing a used grader from O'Keeffe for approximately $112,000 after a prolonged council discussion about timing, mechanical risk and alternative investments in street equipment.
City Manager Nate described the purchase as an opportunity: the seller had a low‑hour, stored‑indoors unit and suggested Perry’s council would likely approve about $112,000 for the machine—roughly $38,000 below comparable market prices. “The thought process there was, hey, let's buy this now because deals like this don't come up very often… it's relatively new. It's been stored indoors,” Nate said.
Nut graf: Several councilors supported securing the deal to save immediate acquisition cost and to gain local capacity for grading alleys and streets. Others urged caution, saying committing FY2026 capital funds now could preclude other priorities — including a possible lay‑down machine — or leave the city exposed to maintenance risks on an older machine.
Council members asked where the money would come from and whether the city had authority to allocate FY2026 capital funds before next year’s formal budget. Staff replied the purchase is being treated as a forward commitment against anticipated FY2026 capital allocations (the FY2026 capital bucket was cited as roughly $800,000), and would be subject to a future budget amendment to reflect any cash outlays this fiscal year.
Opponents cautioned about mechanical risk for an eight‑year‑old, low‑hour grader sitting idle for long periods: “If hydraulic seals haven't been used in a long time, they'll be dry… and then you'll be working on it,” one councilor said, urging the city consider alternative purchases or renting for another year. Supporters countered that relying on county loaners could wear out county goodwill and that municipal ownership would provide scheduling certainty for local projects.
The council moved to approve consent agenda item C with corrected wording on competitive‑bidding policy and directed staff that a budget amendment would be required when funding is spent. Roll‑call voting recorded a majority in favor with one dissent: Councilmember Williams voted no; other recorded votes were yes.
Ending: Staff said the purchase will proceed and that council will see the necessary budget amendment when the cash flow timing is finalized.
