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HomeMy WebLinkAboutFCS-13-107 - T13-026 - Hot Mix Asphalt REPORT TO: Jeff Willmer, Chief Administrative Officer DATE OF MEETING: 2012-07-18 SUBMITTED BY: Larry Gordon, Director of Supply Services, 519-741-2200 ext. 7214 PREPARED BY: Steve Rudak, Buyer, 741-2200 ext. 7213 WARD(S) INVOLVED: N/A DATE OF REPORT: 2012-06-13 REPORT NO.: FCS-13-107 SUBJECT: T13-026 - Hot Mix Asphalt RECOMMENDATION: That Tender T13-026 - Hot Mix Asphalt, be awarded as follows: CoCo Paving Inc., Stratford, Ontario, Kitchener Asphalt Limited., St. Clements, and OntarioDufferin Construction Company, London, Ontario , for work south of King Street; , for Innovative Surface Solutions Canada, Ajax, Ontario work north of King Street; and , for high performance cold mix, at their tendered unit prices, with an option to renew for two (2) additional twelve (12) month terms. BACKGROUND: Asphalt is an on-going maintenance, repair and operational requirement for repair/restoration of city streets, walks and pathways. This tender is based on fixed unit prices, for a one year term and on an estimated representative sampling of asphalt materials used in the previous year. Actual spend will depend on the level of construction activity throughout the term of the contract. The average annual spend over the past two (2) years was $357,712.42 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 fifteen (15) interested parties, and by the closing date of Thursday May 16, 2013, five (5) tenders had been received. The following tenders were received: Bid Price Innovative Surface Solutions Canada Ajax ON $ 147,363.30 * CoCo Paving Inc. Petersburg ON $ 310,823.45 * Kitchener Asphalt Limited St. Clements ON $ 635,274.70 * Dufferin Construction Company London ON $ 806,311.50 * Brantco Construction Cambridge ON $ 859,704.00 Innovative Surface Solutions Canada bid one item and the unit price for the item is low bid. CoCo Paving Inc., provided pricing on five items out of the nine listed, so the award for south of King Street is split between CoCo Paving Inc., and Kitchener Asphalt Limited, who provided pricing on all items. The award of this tender is split in order to allow Operations staff efficient access to materials based on the proximity of the work site in relation to the asphalt pick-up locations. The price increased an average of 1.8% from the 2011 tender. The tenders were reviewed by S. Berry, Manager, Maintenance Operations, and C. Greenwood, Operations Supervisor, 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: Funding will be provided from various operating accounts as required. 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