HomeMy WebLinkAboutFCS-15-119 - T15-059 Fire Hydrant Spring Fall Maintenance Services
REPORT TO: Committee of the Whole
DATE OF MEETING: 2015-08-24
SUBMITTED BY: Michelle Palmer-Novakovic, Director of Supply Services
519-741-2200 ext. 7214
PREPARED BY: Steve Rudak, Buyer, 519-741-2200 ext. 7213
WARD(S) INVOLVED: All
DATE OF REPORT: 2015-08-07
REPORT NO.: FCS-15-119
SUBJECT:T15-059 Fire Hydrants: Spring & Fall Maintenance Services
___________________________________________________________________________
RECOMMENDATION:
That Tender T15-059 Fire Hydrants: Spring & Fall Maintenance Services, be awarded to
Canadian Hydrant Technologies, Cambridge, Ontario, at their tendered price of
$159,432.00, plus H.S.T. of $20,726.16, for a total of $180,158.16, for a three (3) year term.
BACKGROUND:
There are approximately 4100 hydrants within the City of Kitchener. The Fire Protection and
Prevention Act, 1997 states that hydrants shall be inspected annually; if the hydrant barrel is
found to contain water because of poor drainage that is impractical to correct, approved
measures shall be taken to prevent freezing during the winter conditions; hydrant water flow
shall be inspected; and a record of the hydrant operation shall be kept.
Kitchener Utilities has a spring and fall inspection program that meets the requirements of the
Act. As the amount of infrastructure increases with geographic growth it has become
increasingly difficult to meet inspection and maintenance requirements in-house. Contracting
approximately 55% of the spring and fall inspection work to a licensed contractor allows staff to
maintain the competencies of the work while meeting the requirements of the Act, relating to
hydrant maintenance.
The annual spend for inspection work over the past one (1) year period is $76,285. The actual
spend will depend on the level of activity throughout the term of the contract.
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 ten (10) interested parties, and by the closing date of Thursday July 9, 2015, three (3)
tenders had been received.
*** This information is available in accessible formats upon request. ***
Please call 519-741-2345 or TTY 1-866-969-9994 for assistance.
1. ii. - 1
The following tenders were received:
Bid Price
Canadian Hydrant Technologies Cambridge ON $180,158.16*
LC Pipeline Hydrant Services Mississauga ON $185,094.00
Precision Hydrant Services Elmira ON $317,304.00
The unit price for spring and fall inspections has decreased 26% from the 2014 contract price.
The tender was reviewed by A. Mick, Utilities Engineer, who concurs 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 net cost for this proposal (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 project
is included within the approved Operating budget. The estimated surplus (D) will remain within
the account to fund the 44% of the hydrant inspections that are conducted by City staff.
Financial Summary for Tender T15-059
T15-059 Fire Hydrant Inspection & Maintenance Service
Total
Estimated Cost
Tender T15-059 costs, including HST $180,158.16
less: HST rebate on tender (17,920.16)
Net Cost Being Awarded 162,238.00 A
Costs Incurred to Date -
Projected Costs : Staff Time -
Estimated Cost $162,238.00 C
Budget
Hydrant operating checks $292,031.67
-
Budget for this Purchase
292,031.67 B
Estimated Surplus/(Deficit) (B - C) $129,793.67 D
1. ii. - 2
COMMUNITY ENGAGEMENT:
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
1. ii. - 3