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HomeMy WebLinkAboutFCS-14-155 - T14-086 Snow and Ice Removal EquipmentStaff Report rTC.�r R finance and Corporate Services Department www.kitchener.ca REPORT TO: Committee of the Whole DATE OF MEETING: 2014 -08 -25 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: 2014 -08 -12 REPORT NO.: FCS -14 -155 SUBJECT: T14 -086 - 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 T14 -086 - Three (3) Units of Snow and Ice Removal Equipment, which consists of a dump box, wing and front plow, 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 $212,460., plus H.S.T. of $27,619.80, for a total of $240,079.80. BACKGROUND: These units will replace 221307, 221310 and 221311 at INS — Operations, as approved for replacement in the 2014 Annual Fleet Equipment Review. The units are twelve (12) years old with a nine (9) year lifecycle. These units are used for summer and winter road maintenance; salting, plowing, leaf pickup, asphalt work and hauling aggregates. 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 downloaded by six (6) interested parties, and by the closing date of Thursday August 14, 2014, one (1) tender had been received. The Tender was reviewed by M. Born, Manager of Fleet, who concurs with the above recommendation. 1xii. - 1 The following tender was received: Bid Price Viking Cives Ltd. Mount Forest ON $ 240,079.80 * 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 purchase of this scope and the upset limit is within the budget allowance (B) provided within the budget. Funding for this equipment is included within the approved capital budget. The estimated surplus (D) will remain within the Equipment Reserve Fund to fund future equipment purchases. Tender T14 -086 Supply three (3) Snow and Ice Removal Equipment to be mounted on Tandem Rear Axle Conventional Cab and Chassis Estimated Cost for this Tender Tender T14 -086 costs including HST less: HST rebate on tender Net Cost Being Awarded Projected Costs for Additional Outfitting Total Estimated Cost for this Tender Budget for this Tender Replacement of Operations units 221307, 221310 and 221311 Estimated Surplus /(Deficit) for this Tender (B - C) COMMUNITY ENGAGEMENT: $ 240,079.80 $ (23,880.50) $ 216,199.30 A $ 25,000.00 $ 241,199.30 C $ 285,000.00 B $ 43,800.70 D INFORM - 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 1xii. - 2