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<br />,I Il I, . r; ~(i 5 1 :4HPM <br /> <br />\~~~~~Jt <br />1"- <br /> <br />Highway <br />Department <br /> <br />Keith D. Berndt, P.E. <br />Cnullly ElIgitlt:cr <br /> <br />Richard S. Sil::~ <br />Superintendent <br /> <br />ThlJma~ H. SI.lUt:y, HE. <br />Design and Construction <br />Supervisor <br /> <br />1201 West Main Avenue <br />~~O. Box 691:1 <br />Wcst Fargo, North Dakota <br />'l807R-069R <br /> <br />701-29R,B70 <br />Fax 701-298-23Y5 <br /> <br />Cass County HighwaY DePt. <br /> <br />N!I.oh~Y p, ~ <br /> <br />June 6, 2005 <br /> <br />Mr. Rarry Welch <br />Operations Manger <br />Butler Equipment Company <br />3402 36th A ve. South <br />P.O. Rox 9559 <br />Fargo, ND 58106 <br /> <br />RE: Rental of' (5) Caterpillar l40H motor gruder <br /> <br />Deur Mr. Welch: <br /> <br />The signed equipment huyers order tonns for the suhject motor grader <br />rentals are hereby returned. The letter pruvides clarification and confirms <br />our understanding ofthe agreement between Butler Machinery and Cass <br />County. <br /> <br />It is agreed that the Caterpillar Financial Services Corporation Equipment <br />lluyers order is only heing used as a vehicle for Butler Machinery to <br />tinance thestl units. The l,;onditions and terms of the rental agreement will <br />be spelled out in a subsequent document to be signed by Uutler Machinery <br />Company and Cass County Government at the time of delivery. Delivery <br />is expected in the winter of 2005/06. The essence of the agreement is as <br />follows: <br /> <br />. There will be a 1 year rental contract for each Motor Grader. <br />. Cass County may renew the rental contract each year I(.lr up to 5 years. <br />. The purchase price of ea.ch unit ($174,530 respectively) will be statcd <br />dea-rly in each rental agreement <br />. The monthly rental rate. The 140(J model will he $2,007.H2 respectively. <br />. This is nol a leuse purchase agreement <br />. It is agreed that a Butler Machinery Company document entitled "Rates <br />and Conditions of ^grccment" pertaining to the five motor graders to be <br />signed at the time or delivery will supersede the Caterpillar FinunciaL <br />Services Corporation Governmental Lease-Purchase Agreement. <br /> <br />Sincerely. <br /> <br />Darrell Vanyo <br />Cass County Commission Chair <br />