HomeMy WebLinkAboutFCS-13-190 - P13-079 - Preferred Beer Sponsorship AgmtStaff Report
I r finance and Corporate Services Department wvwuukitchenerra
REPORT TO: Committee of the Whole
DATE OF MEETING: 2013 -12 -09
SUBMITTED BY: Larry Gordon, Director of Supply Services, 519 - 741 -2200
ext. 7214
PREPARED BY: Steve Rudak, Buyer, 519 - 741 -2200 ext. 7213
WARD(S) INVOLVED: N/A
DATE OF REPORT: 2013 -11 -28
REPORT NO.: FCS -13 -190
SUBJECT: P13 -079 —Preferred Beer Sponsorship Agreement: KMAC
& Golf Courses
RECOMMENDATION:
That Proposal P13 -079 — Preferred Beer Sponsorship Agreement: KMAC & Golf Courses be
awarded to Molson Coors Brewing Company, Toronto, Ontario, for a total investment of
$560,000. over the initial five (5) year term, with an option to renegotiate for one (1) additional
five (5) year term, subject to mutual agreement.
BACKGROUND:
The Enterprise Division of the Community Services Department is responsible for the efficient
operation of a number of recreational facilities including the city's licensed venues that generate
significant revenues. The facilities included are the KMAC, Rockway and Doon Valley Golf
Clubs, Sportsworld, Don McLaren, Grand River, Lions, Queensmount Arenas and the Activa
Sportsplex.
The successful proponent provides, as recognition for the sale and advertising of their brand
and product, certain incentives paid as sponsorship allowances in set intervals throughout the
term of the agreement. Additionally, there are annual marketing and social media expenditures
to further enhance the overall programing.
REPORT:
Tenders were advertised publicly on the City of Kitchener website and the Internet through the
Ontario Public Buyers Electronic Tendering Information System. Documents were downloaded
by seven (7) interested parties, and by the closing date of Friday November 15, 2013, two (2)
proposals had been received.
The following proposals were received:
Molson Coors Brewing Company Toronto ON
Labatt Breweries of Canada Ancaster ON
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The proposals were reviewed by K. Kugler, Director, Enterprise, and P. Pickard, Manager,
KMAC & Arenas who concur with the above recommendation.
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 total investment by the successful proponent over the term of agreement is $560,000.
COMMUNITY ENGAGEMENT:
Potential vendors are informed of bid opportunities through the public posting of bid documents
as outlined in the City's Purchasing By -Law. Vendors, local media and the general public are
informed of purchasing recommendations to Council through the public reports which are
included with the Council agenda the week prior to the Council meeting.
ACKNOWLEDGED BY: Dan Chapman, Deputy CAO & City Treasurer, Finance and Corporate
Services
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