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HomeMy WebLinkAboutFCS-13-117 - T13-057 - Conventional Cab & Chassis REPORT TO: Jeff Willmer, Chief Administrative Officer DATE OF MEETING: 2013-07-18 SUBMITTED BY: Larry Gordon, Director of Supply Services, 519-741-2200 ext. 7214 PREPARED BY: Laurie Stecho, Supervisor of Purchasing, 519-741-2200 ext. 7089 WARD(S) INVOLVED: N/A DATE OF REPORT: 2013-07-10 REPORT NO.: FCS-13-117 SUBJECT: T13-057 – Three (3) 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 T13-057 – Three (3) 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 Viking Cives Ltd., Mount Forest, Ontario, to at their tendered price of $205,029., plus H.S.T. of $26,653.77, for a total of $231,682.77. BACKGROUND: These units will replace 211300, 213300 and 221306, as approved for replacement in the 2013 Annual Fleet Equipment Review. These units are 12 years old on a nine (9) year lifecycle. REPORT: This Tender was advertised publicly on the City of Kitchener website and the Internet through the Ontario Public Buyers Electronic Tendering Information System. Documents were th downloaded by ten (10) interested parties, and by the closing date of Thursday, July 4, 2013, one (1) tender had been received. The tender was 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 $ 231,682.77 * 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 2013 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 T13-057 Three (3) Supply and Install Snow and Ice removal equipment. Estimated Cost for this Tender Tender T13-057 costs including HST $ 231,683 less: HST rebate on tender (23,045) Net Cost Being Awarded 208,638 A Projected Costs for Additional Outfitting 24,000 Total Estimated Cost for this Tender $ 232,638 C Budget for this Tender Replacement of Operations units 211300, 213300 and 221306 $ 300,000 B Estimated Surplus/(Deficit) for this Tender (B - C) $ 67,362 D 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