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HomeMy WebLinkAboutFCS-12-196 - T12-079 - Snow and Ice Removal Eq REPORT TO: Committee of the Whole DATE OF MEETING: 2012-12-17 SUBMITTED BY: Larry Gordon, Director of Supply Services, 2214 PREPARED BY: Laurie Stecho, Supervisor of Purchasing, 3576 WARD(S) INVOLVED: N/A DATE OF REPORT: 2012-12-03 REPORT NO.: FCS-12-196 SUBJECT: T12-079 - Three Units of Snow and Ice Removal Equipment to be mounted on a 29,937 kg (66,000 lb) G.V.W. Tandem Rear Axle Conventional Cab and Chassis RECOMMENDATION: That Tender T12-079 – Three Units of Snow and Ice Removal Equipment to be mounted on a 29,937 kg (66,000 lb) G.V.W. Tandem Rear Axle Conventional Cab and Chassis, be awarded to Viking Cives Ltd., Mount Forest, Ontario, at their tendered price of $191,442., plus H.S.T. of $24,887.46, for a total of $216,329.46. BACKGROUND: These units will replace 211301, 211303 and 311302 at INS – Operations, as approved for replacement in the 2012 Annual Fleet Equipment Review. This tender is for the fabrication and supply of the dump body and snow plow equipment for three (3) vehicles, which were approved by Council on November 19, 2012. REPORT: This Tender was advertised publicly on the Internet through the City of Kitchener website and the Ontario Public Buyers Electronic Tendering Information System. Documents were downloaded by five (5) interested parties, and by the closing date of Thursday November 29, 2012, two (2) tenders had been received. Tenders were reviewed by M. Born, Manager of Fleet, who concurs with the above recommendation. The following tenders were received: Bid Price Viking Cives Ltd. Mount Forest ON $ 216,329.46 * S&B Services Ltd. Shedden ON $ 240,443.04 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: The net cost for this tender (A) submitted by Viking Cives Ltd., Mount Forest, Ontario, is fair and reasonable for a purchase of this scope and the upset limit is within the budget allowance (B) provided for the replacement of these units. Funding for this equipment was included in the 2012 Fleet Equipment Purchases capital budget. The estimated surplus for this tender (D) will remain within the Equipment Reserve Fund to fund future equipment purchases. Tender T12-079 Supply and Install three (3) Snow and Ice Removal Equipment Estimated Cost for this Tender Tender T12-079 costs, including HST $ 216,329 less: HST rebate on tender (21,518) Net Cost Being Awarded 194,811 A Projected Costs for Additional Outfitting 15,000 Total Estimated Cost for this Tender $ 209,811 C Budget for this Tender Replacement of units 211301, 211303, and 311302 at Operations $ 300,000 B Estimated Surplus/(Deficit) for this tender (B - C) $ 90,189 D COMMUNITY ENGAGEMENT: Not applicable ACKNOWLEDGED BY: Dan Chapman, Deputy CAO & City Treasurer, Finance and Corporate Services