HomeMy WebLinkAboutFCS-14-036 - T14-009 Cooling Tower Replacement - City HallStaff Report
rTC.�r R finance and Corporate Services Department www.kitchener.ca
REPORT TO: Committee of the Whole
DATE OF MEETING: 2014 -03 -03
SUBMITTED BY: Larry Gordon, Director of Supply Services, 519 - 741 -2200
ext. 7214
PREPARED BY: Rudy Kruppa, Buyer, Supply Services, 519- 741 -2200 ext.
7217
WARD(S) INVOLVED: N/A
DATE OF REPORT: 2014 -02 -18
REPORT NO.: FCS -14 -036
SUBJECT: T14- 009 Cooling Tower Replacement — City Hall
RECOMMENDATION:
That Tender T14 -009 Cooling Tower Replacement — City Hall, be awarded to Roberts Onsite
Inc., Kitchener, Ontario at their tendered price of $178,750., including alternate items of
$13,750., plus H.S.T. of $ 23,237.50, for a total of $201,987.50.
BACKGROUND:
The Cooling Tower is a major component of the cooling system at Kitchener City Hall. The
Cooling Tower was installed when City Hall was built in 1993. It is past its life cycle and requires
replacement. .
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 thirty -nine (39) interested parties, and by the closing date of Thursday January 30th, 2014,
eight (8) tenders had been received.
The tenders were reviewed by P. Christner, Building Operator, G. Tollar, MNE Engineering Inc.,
J. Edmondson, Manager of Projects /Energy Management and R. Kruppa, Buyer who concur
with the above recommendation.
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The following tenders were received:
Roberts Onsite Inc.
Nelco Mechanical Limited
Superior Boiler Works and Welding Limited
Rainbow Mechanical Services Limited
Brenner Mechanical Inc.
Cimco Refrigeration
Absolute Cooling Tower Inc.
Western Mechanical Ltd.
Bid Price Bid Price
including
Alternate
Pricin
Kitchener ON
$186,450.00
$201,987.50
Kitchener ON
$220,237.00
$236,057.00
Stoney Creek ON
$224,702.76
$232,838.76
Concord ON
$239,719.95
$255,963.70
Waterloo ON
$254,250.00
$269,787.50
Toronto ON
$269,905.60
$286,391.72
Barrie ON
$281.370.00
$309,620.00
Barrie ON
$298,320.00
$314,140.00
The tender called for a galvanized steel cooling tower with an alternate price for stainless steel.
Stainless was the preferred; however, there was concern that there was insufficient budget for
the stainless steel option. The stainless option will give the tower an extended life of 15 years.
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), is fair and reasonable for a project of this scope and the upset limit
is within the funding available (B) for this project. Funding for this project is included within the
approved capital budget. The estimated surplus (D) will be closed out.
Financial Summary for Tender T14 -009
City Hall Cooling Tower Replacement
Estimated Cost
Tender T14 -009 costs, including HST
less: HST rebate on tender
Net Cost Being Awarded
Projected Costs
Estimated Cost
Available funding:
2014 Budget Funding Cooling Tower Replacement
Total funding available
201,987.50
(20,091.50)
181,896.00 A
181,896.00 C
200,000.00
200,000.00 B
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Estimated Surplus /(Deficit) (B - C)
COMMUNITY ENGAGEMENT:
18,104.00 D
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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