BOARD01713

• Board Meeting Date: 7/28/2003
• Description: CF Section - Tamarisk Control and Eradication Update
• Board Meetings - Doc Type: Memo

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Owning & Operating Cost Estimate for High Capacity Tamarisk Clearing and Mulching Equipment
Hydro Ax 721E and FECON Bull Hog shredder.. 50% of land occupied by Tamarisk
[High end costs]

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Items
Initial Investment
Salvage Value
Amount to Depreciate
Economic Life
Machine Days per Year
Hours Worked Per Day
Available Machine Hours, hrslyr
Average acres cleared per hour
Total acres cleared per year
Interest Rate
Equipment Insurance Rate
General Liability Insurance Rate
Repair Cost Ratio
Repair Cost, $/Life
Fuel, $/US gal,
Fuel consumption per hour
Tire Replacement Cost

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Mulching Equipment Fixed Costs
Depreciation, $Iyr
Interest & Insurance $/yr
Total Fixed Costs $/yr
Total Fixed Costs $/hr

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Mulching Equipment Variable Costs
Maintenance & Repair, $/hr
Fuel, $/hr
Lubricant, $/hr
Tires, $/hr
Total Variable Costs, $/hr

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Mulching Equipment Labor Costs
Equipment operator $/hr
Taxes, Benefits, Overhead @40%, $/hr
Multiplier for travel and setup at 25%, $/hr
Total Labor Costs $lhour

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Total Mulching Equipment Costs $/hr

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Herbicide Spray Equipment Costs
ATV spray equipment and mixing systems
Salvage Value
Amount to Depreciate
Economic Life
Equipment costs $/hr
Interest & Insurance $/hr
Maintenance $Ihr
Fuel $/hr
Lubrication $/hr
Total Herbicide Equipment Costs $/hr

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Total Herbicide Labor Costs $/hour

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Herbicide Costs $Iacre
Herbicide Costs $/hr

Total Herbicide Application Costs $/hr

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Transport. 5-ton tractor truck
Scheduling and Reserve Fund. $/hr

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Total Equipment/Labor/Chemical Costs $/hr

Total Costs per acre treated $/acre

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$
$
$

300,000.00
75,000,00
225,000,00
8,00
200,00
8.00
1280,00
1,00
1280,00
9%
2%
5%
0,35
105,000,00
1,50
8,00
10,000.00

$
$
$

$
$
$
$

28,125,00
36,000,00
64,125,00
50.10

$
$
$
$
$

10,25
12,00
3,00
1,54
26.79

$
$
$
$
$

20,00
8,00
7,00
35.00

111,89

$
$
$
$
$
$
$
$
$
$
$
$
$
$
$

7,500,00
1,875,00
5,625,00
4,00
1,46
0,70
0,51
1,50
0,38
4.56

35,00

90,00
90.00

129.56

19.53

30.00

$

290.98

$

290.98

Comments

Hydro Ax with Bull Hog shredder and trailer
At 25% of initial value

Assumes 75% availability

Assumes 80% active clearing, 20% transport and setup
Very dense tamarisk growth

Initial investment times repair cost ratio

6,500 hours life expectancy

Lubrication costs are 25% of fuel costs

At 25% of initial value

At 35% of total costs 1 economic life / Available hours
At 1.0 gallons/hour
Lubrication costs are 25% of fuel costs
Based on 1,280 hours of available equipment use

Same as Mulching equipment labor costs

Garton 4 application, Average = 1.0 gal/acre at $90/gal, includes surfactant

Lease for truck, insurance, fuel, maintenance at 10,000 mi/yr & $2,50/mi