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HomeMy WebLinkAboutFIN-10-175 - P10-119 Fine Paper (Cooperative)l REPORT REPORT TO: Mayor Carl Zehr & Members of Council DATE OF MEETING: 2010-11-15 SUBMITTED BY: Larry Gordon, Director of Supply Services PREPARED BY: Michelle Palmer, Buyer (2216) WARD(S) INVOLVED: N/A DATE OF REPORT: 2010-11-08 REPORT NO: FIN 10-175 SUBJECT: P10-119 -Fine Paper (Cooperative) RECOMMENDATION: That the City of Kitchener participate with the Cooperative Purchasing Group of Waterloo Region onto the Waterloo Region District School Board's Contract, RFP#6213-RW-10 -Supply and Delivery of Fine Paper, which was awarded to Spicers, a Division of PaperlinX Canada Limited, Kitchener, ON, for a three (3) year period, with an option to renew for a further two (2) 12-month periods, subject to mutual agreement. BACKGROUND: In keeping with the general terms and conditions of the Cooperative Purchasing Group of Waterloo Region (CPGWR), the Waterloo Region District School Board requested proposals for the supply and delivery of paper. The City of Kitchener contract for the supply and delivery of fine paper expired October 31St, 2010. Utilizing the Waterloo Region District School Board's contract reduces administrative costs and allows the City to gain economies of scale. Based on historical usage and the submitted pricing, the City will see a 2% cost reduction on paper purchases. Participants of this contract from the Cooperative Purchasing Group of Waterloo Region include: the Waterloo Region District School Board, the City of Kitchener and the Region of Waterloo. The estimated average annual spend over the past three (3) years was $73,500. ix)-1 REPORT: Request for proposals were advertised publicly in The Record and on the Internet through the Merx Tendering System. Eleven (11) potential bidders picked up proposal documents, and by the closing date of Thursday October 21St, 2010, four (4) proposals had been received. The following proposals were received: Spicers, a Division of PaperlinX Canada Limited Kitchener ON Canon Canada Inc. Mississauga ON Xerox Canada Ltd. Saint John NB Buntin Reid Mississauga ON Buntin Reid was disqualified for not meeting two of the mandatory requirements. They did not submit four (4) complete sample packages and did not complete the Form of Agreement with their proposal. The proposals were reviewed by staff from all participating agencies as well as City Staff S. Hill, Communications Division, and M. Palmer, Buyer, who concur with the above recommendation. FINANCIAL IMPLICATIONS: Funding will be provided from Cost Center 4009030 -Corporate Communications /Print Shop Budget estimate is $96,921. The surplus in the account is to cover unanticipated paper usage or fluctuations in the commodity pricing of paper. ACKNOWLEDGED BY: Dan Chapman, General Manager of Financial Services and City Treasurer ix)-2