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HomeMy WebLinkAboutFCS-12-035 - T12-026 Steel Pipe, BMI & Brass Fittings1 Staff Report KI~rCx~.~T~R Finance and Corporate Services Department www.kifthenerca REPORT TO: Committee of the Whole DATE OF MEETING: 2012-03-26 SUBMITTED BY: Larry Gordon, Director of Supply Services PREPARED BY: Ryan Scott, Buyer, 2216 WARD(S) INVOLVED: N/A DATE OF REPORT: 2012-03-09 REPORT NO.: FCS-12-035 SUBJECT: T12-026 -Steel Pipe, BMI & Brass Fittings RECOMMENDATION: That Tender T12-026 -Steel Pipe, BMI & Brass Fittings, be awarded to Marks Supply, Kitchener, Ontario, at their tendered price of $49,266.57, plus H.S.T. of $6,404.65, for a total of $55,671.22, with an option to renew for two (2) additional twelve (12) month terms. BACKGROUND: Steel Pipe, BMI & Brass Fittings are an ongoing maintenance, repair and operational (MRO) requirement of Kitchener Utilities. The estimated average annual spend over the past three (3) years was $46,095.89. REPORT: Tenders were advertised publicly in The Record, on the City of Kitchener website and the Internet through the Ontario Public Buyers Electronic Tendering Information System. Documents were downloaded by fourteen (14) interested parties, and by the closing date of Thursday February 23, 2012, four (4) tenders had been received. Tenders were reviewed by W. Malcolm, Director of Utilities, C. Pavlinich, Senior Stores Attendant, and S. Agnello, Supervisor of Stores, who elected to award the project to Marks Supply, Kitchener, Ontario. The following tenders were received: Bid Price Adjusted Bid Price Desco Plumbing and Heating Supply Marks Supply EMCO Corporation Noble Canada Inc Kitchener ON $ 49,992.13 Kitchener ON $ 55,671.22 Kitchener ON $ 58,875.74 Kitchener ON $ 89,465.96 $ 49,551.93 The tender received from Desco Plumbing and Heating Supply did not meet the mandatory specification for "All weld fittings (4" to 8" inclusive) are to be TB188" confirmed. TB stands for ii)-1 Taper Bore. Taper bore fittings are used to allow a smooth bond at the point where the pipe is welded to the fitting. This creates a smooth transition which allows the material to flow through it without interruption. On a none-taper bore fitting, a jut out /inconsistency of surfaces at the union would interrupt the flow of the material. The flow of material would erode the inside of pipe at that union and create a leak or rupture. The price for Steel Pipe, BMI & Brass Fittings has decreased 7% from the previous contract. ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: Theme: Financial Management Strategic Direction: Ensure responsible use of public funds within a supportive policy framework. The City of Kitchener's purchasing policies and practices ensure openness, fairness and transparency in the procurement of goods and services. FINANCIAL IMPLICATIONS: Funding will be provided from various city operating accounts when consumed. COMMUNITY ENGAGEMENT: Not applicable ACKNOWLEDGED BY: Dan Chapman, Deputy CAO & City Treasurer, Finance and Corporate Services 11-2