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HomeMy WebLinkAboutFCS-16-054 - T16-028 Thermostatic Mixing ValvesStaff Report rTC.� R finance and Corporate Services Department www.kitcheneaa REPORT TO: Committee of the Whole DATE OF MEETING: 2016 -03 -21 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: 2016 -03 -10 REPORT NO.: FCS -16 -054 SUBJECT: T16 -028 Thermostatic Mixing Valves RECOMMENDATION: That Tender T16 -028 Thermostatic Mixing Valves, be awarded to Marks Supply Inc., Kitchener, Ontario, at their tendered price of $292,125., plus H.S.T. of $37,976.25, for a total of $330,101.25, for a one (1) year term, with an option to renew for two (2) additional twelve (12) month terms. BACKGROUND: Thermostatic mixing valves have been provincially legislated to control the temperature output of water heaters. All installations of rental water heaters include a thermostatic mixing valve. This tender is based on fixed unit prices and the actual spend will depend on budget availability. The average annual spend over the past three (3) years was $235,772. 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 eleven (11) interested parties, and by the closing date of Thursday March 3, 2016, four (4) 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.xii. - 1 The following tenders were received: Marks Supply Inc. Yorkwest Plumbing Supply Inc Noble Corporation Keystone Steam Supplies The price for thermostatic mixing valves has increased by 11 % from the 2015 contract due to the fall of the Canadian dollar as well as a CSA code amendment requiring the valve to have a check valve assembly within the main valve. The tender was reviewed by B. Nash, Manager of Customer Relations, who concurs with the above recommendation. ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: The recommendation of this report supports the achievement of the city's strategic vision through the delivery of core service. FINANCIAL IMPLICATIONS: None. The cost of the thermostatic mixing valves is fully recovered from customers through rental water heater billings. COMMUNITY ENGAGEMENT: INFORM — This report has been posted to the City's website with the agenda in advance of the council / committee meeting. PREVIOUS CONSIDERATION OF THIS MATTER: Not applicable ACKNOWLEDGED BY: Dan Chapman, Deputy CAO & City Treasurer, Finance and Corporate Services 1.X11. - 2 Bid Price Kitchener ON $330,101.25 Woodbridge ON $358,280.63 Concord ON $373,764.45 Mississauga ON $491,566.95 The price for thermostatic mixing valves has increased by 11 % from the 2015 contract due to the fall of the Canadian dollar as well as a CSA code amendment requiring the valve to have a check valve assembly within the main valve. The tender was reviewed by B. Nash, Manager of Customer Relations, who concurs with the above recommendation. ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: The recommendation of this report supports the achievement of the city's strategic vision through the delivery of core service. FINANCIAL IMPLICATIONS: None. The cost of the thermostatic mixing valves is fully recovered from customers through rental water heater billings. COMMUNITY ENGAGEMENT: INFORM — This report has been posted to the City's website with the agenda in advance of the council / committee meeting. PREVIOUS CONSIDERATION OF THIS MATTER: Not applicable ACKNOWLEDGED BY: Dan Chapman, Deputy CAO & City Treasurer, Finance and Corporate Services 1.X11. - 2