HomeMy WebLinkAboutFCS-16-108 - T16-043 Supply of Asphalt Products REPORT TO: Committee of the Whole DATE OF MEETING: 2016-06-27 SUBMITTED BY: Michelle Palmer, Director of Supply Services 519-741-2200 ext. 7214 PREPARED BY: Adam Buchholtz, Buyer, 519-741-2200 ext. 7217 WARD(S) INVOLVED: All DATE OF REPORT: 2016-06-15 REPORT NO.: FCS-16-108 SUBJECT: T16-043 Supply of Asphalt Products ___________________________________________________________________________ RECOMMENDATION: That Tender T16-043 Supply of Asphalt Products, be awarded as follows: Dufferin Construction Company, London, Ontario, at their tendered unit pricing, for work that is north of King Street; and, Kitchener Asphalt Limited, St. Clements, Ontario, at their tendered unit pricing on HL-2 (Sand Mix), HL-3, HL-4 Binder (0% RAP), and HL-8, for work that is south of King Street; and, Coco Paving Inc., Petersburg, Ontario, at their tendered unit pricing on HL-3 Fine, Driveway Mix, High Performance Cold Mix, Colas, and SS-1 Road Oil(Tack Coat), for work that is south of King Street; and, All for a one (1) year term, with an option to renew for two (2) additional twelve (12) month terms. BACKGROUND: Asphalt is an on-going maintenance, repair and operational requirement for repair/restoration of city streets, walks and pathways. The award of this tender is split in order to allow Operations staff efficient access to materials based on the proximity of the work site in relation to the asphalt pick-up locations. *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. 1.vi. - 1 This tender is based on fixed unit prices, for a one year term and on an estimated representative sampling of asphalt materials used in the previous year. The average annual spend over the past three (3) years was $386,026., before taxes. 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 seven (7) interested parties, and by the closing date of Thursday June 9, 2016, five (5) tenders had been received. The following tenders were received: Bid Price Innovative Surface Solutions Canada Ajax ON $ 65,011.09 Kieswetter Excavating Inc. St. Clements ON $ 111,135.50 Coco Paving Inc. Petersburg ON $ 132,399.16* Kitchener Asphalt Limited St. Clements ON $ 329,543.26* Dufferin Construction Company London ON $ 392,199.99* Both Innovative Surface Solutions and Kieswetter Excavating Inc. bid on only one (1) item in the tender and were not low bid on that item. Coco Paving Inc. only bid on five (5) of the nine (9) items in the tender and was the low bid on those items for work south of King Street. Kitchener Asphalt Limited was the low bid on the remaining four (4) items for work south of King Street so the award for south of King Street has been split. The price for asphalt materials has decreased on average 2.9% from the 2015 contract. The tender was reviewed by M. Bajtos, Supervisor INS-Operations, C. Heise, Interim Manager INS-Operations Roads and Maintenance and A. Buchholtz, Buyer who concur 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: Funding will be provided from various operating accounts as required. 1.vi. - 2 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.vi. - 3