HomeMy WebLinkAboutTR-91-83 WSDa'f`NdNff[1GE REPORT #3
CORPORATION OF THE TOWN OF NEWCASTLE
40 TEMPERANCE STREET
BOWMANVILLE, ONTARIO
L1C3A6 TELEPHONE 623-3379
REPORT TO COUNCIL
HELD DECEMBER 12, 1983
T R - 83 - 91
SUBJECT: MAILING MACHINE LEASE/PURCHASE
RECOMMENDATION:
It is respectfully recommended:
1 . that this report be received; and
2{�}lthat Council take one of the following actions: �' (a) accept the lease from
PB Leasing to lease one only Pitney Bowes Model 5600 Mailing Machine at a
quarterly cost of $491 . 13 for a period of 36 months with a purchase buy-out
option of 20% ($857) at the end of the lease period; that Council subsequently
adopt the attached by-law authorizing the execution of a lease with PB Leasing
Etobicoke , Ontario in respect of the mailing machine; ,or
(b) purchase one only Model 5600 Mailing Machine at a cost of $4,285.00 from
Pitney Bowes of Canada, Don Mills with funds to be provided from the projected
1983 General Surplus.
BACKGROUND AND COMMENT
The lease for the mailing machine in Treasury expires on December 31 , 1983. This
machine has a unique capability for cheque signing which is necessary for the processing of
cheques in addition to its basic mail processing function. The cost of this feature is
approximately $1 ,800.00 and is compatible with a Pitney Bowes product. It is apparent that
machines with mail processing only are available at a cost marginally less than the
Pitney Bowes product. In view of the fact that the cheque signing meter is owned by the
Town , it would not be economically advantageous to pursue another product.
The current lease with Nabel Leasing for a Model 5600 Mailing Machine began
January 1 , 1979, at a fixed lease rate of $250.23 per quarter. The rates , although
substantially higher, reflects a five year term versus a proposed three year term.
Respectfully submitted ,
4/0",
Kathryn Campbell , C.A. , B Comm.n
p
KAC/lb
Treasurer
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