Price change when awarded

[deluge2]

Has anyone run into a problem with the price they put for truck(brush) in the grant and what they spent. Did you have to drop a lot of stuff off of it? What are people paying now for a new brush truck?

[ktb9780]

Has anyone run into a problem with the price they put for truck(brush) in the grant and what they spent. Did you have to drop a lot of stuff off of it? What are people paying now for a new brush truck?

If you didn't get a pretty firm quote up front that might be an issue for you.

[deluge2]

We didn't and the main reason why is low bid. We also up till now make it so the dealer must have a repair facility. This all changes what we want to what we get.

[ktb9780]

We didn't and the main reason why is low bid. We also up till now make it so the dealer must have a repair facility. This all changes what we want to what we get.

If you will give me a call at 800-992-0272 Ext 3111 (ignore the recording and just push 3111 when it starts) I can speak with you about this problem.

[tomwnh]

Could part of the problem here be the time between getting the quote from a dealer to the time a department knows it is getting funds and then orders a truck? Last year grants were applied for in the spring. Awards were made late fall and winter, 7 to 10 months later or even longer. During that time prices went up on everything. I sell trucks and we were hit with price adjustments for fuel surcharges twice during that period let alone other price increases from suppliers. I can only quote 60 days without getting approval from the factory and even then they will only go out another 30 days. Just look at what has happened to the cost of fuel the last three weeks. If you know there is going to be considerable time between the quote and award you try to factor that in but then, as a salesman you could price yourself out of the deal.

Go to any store, price anything and ask them to hold that price for 6 months or better. isn't going to happen unless they add considerable money to protect themselves.

Also, were any changes made when you went to place the order? Even minor ones? Did you ask for prices knowing you were going to be months before ordering? Did you ask why the price changed? Have all your costs stayed the same in the last year or so?

[ktb9780]

Could part of the problem here be the time between getting the quote from a dealer to the time a department knows it is getting funds and then orders a truck? Last year grants were applied for in the spring. Awards were made late fall and winter, 7 to 10 months later or even longer. During that time prices went up on everything. I sell trucks and we were hit with price adjustments for fuel surcharges twice during that period let alone other price increases from suppliers. I can only quote 60 days without getting approval from the factory and even then they will only go out another 30 days. Just look at what has happened to the cost of fuel the last three weeks. If you know there is going to be considerable time between the quote and award you try to factor that in but then, as a salesman you could price yourself out of the deal.

Go to any store, price anything and ask them to hold that price for 6 months or better. isn't going to happen unless they add considerable money to protect themselves.

Also, were any changes made when you went to place the order? Even minor ones? Did you ask for prices knowing you were going to be months before ordering? Did you ask why the price changed? Have all your costs stayed the same in the last year or so?

I can certainly feel your pain here and sympathize, as we face the same problem by the time the awards are announced. I tell my clients to realistically expect that the truck is going to be somewhat more expensive than orginally quoted and that they should be prepared with a plan to fund those differences themselves. If they go into it with the thought that the grant is going to cover anywhere from 75-95% of the costs, then they should be prepared to come up with any differences. That way there are no surprises. You still end up making out like a bandit with the Feds picking up 75% of the costs, a fact that most taxpayers will applaud, not condemn.

[Greenacres2]

Time lag will be an issue in pricing for almost everything in this program. Before applying for 2006 AFG, we:
1. Found a few brush trucks that would fit our need
2. Asked for current pricing
3. Inquired as to the cost of performance bond
4. Applied for an amount equal to our preferred vehicle, grossed up by 2% for performance bond and 6% for the chassis. (I discussed this in the budget portion of our narrative--so the reviewers had a sense that we were not overstating the cost). (in the application development stage, we expected a 10% increase in chassis cost, but used 6% to stay under what we thought would be a workable solution for cost/benefit.)

Once we were awarded, we published for bids according to our desired spec. The award amount was a little low, but not all that much. When we met with our Township officials to discuss the bids--our required match was not only within reason, they upped the ante a few thou to allow for a diesel pump with integrated fuel supply--an option we highly desired but did not apply for thinking it to be a "want, not a need".

If deluge2 made any mistake, it was in not seeking pricing prior to applying. Because of the change in emission stanards during the 2006 AFG season, truck prices in particular were hard to get a grip on--for 2007 it will be SCBA. Next year it will be something else.

Getting current pricing is important, but it's also imperative to know what NFPA, DOT, EPA or changes are in the works for whatever you are applying for. As long as the current pricing is reasonable, a "fudge factor" can safely be built into the request safely so long as it too is reasonable. At least that's my opinion. I've been wrong before.

Proper planning goes beyond assembling the basic demographic stuff and helps to make success easier to handle.

Good luck.

earl

[Greenacres2]

Deluge2--my wife (fellow firefighter who got me started on grant writing) read my last post and said i sounded mean to you. No offense intended, just trying to share my thoughts. Hopefully--you'll be able to come up with the spread and get the vehicle you need!!

As for us, we're hoping for rain and the July 1 delivery date to get here soon!! So far we've ducked the brush fires that have popped up around us, but we did have to spend $750 to replace the clutch on the '73 so we could respond to the fields.

earl (kinder, gentler!!)

[deluge2]

No bad feelings here. We keep the price down to make it look good. After talking with Kurt on the phone I understand what you both were saying. I have a feeling the town won't say no to a few more bucks if we get it.

Thanks for the input.