HomeMy WebLinkAboutFCS-16-111 - P16-060 Authorized Contractors Kitchener Utilities Naural Gas Rental Water Heater Program
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: Steve Rudak, Buyer, 519-741-2200 ext. 7213
WARD(S) INVOLVED: All
DATE OF REPORT: 2016-06-20
REPORT NO.: FCS-16-111
SUBJECT: P16-060 Authorized Contractors: Kitchener Utilities Natural
Gas Rental Water Heater Program
___________________________________________________________________________
RECOMMENDATION:
That Proposal P16-060 Authorized Contractors: Kitchener Utilities Natural Gas
Rental Water Heater Program, be awarded to the following contractors:
1458013 Ontario Inc. o/a Aire One Heating & Cooling, Kitchener, Ontario; and,
4 Seasons Heating & Cooling Ltd., Waterloo, Ontario.
at the City’s established allowance rates for five (5) years, with an option to renew
for one (1) additional twelve (12) month term.
BACKGROUND:
Kitchener Utilities which requires a resource of contractors for the provision of water
heater installation, replacement, maintenance, and repair services. The contractors
receive work referrals from Kitchener Utilities for this requirement replacing
approximately 3,400 water heaters annually. This proposal establishes contractors to
support the rental water heater program.
The annual estimated spend over the previous five (5) years was $1,271,465.
*** This information is available in accessible formats upon request. ***
Please call 519-741-2345 or TTY 1-866-969-9994 for assistance.
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REPORT:
Proposals 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 six (6) interested parties, and by the closing date of Wednesday
June 8, 2016, three (3) proposals had been received.
The following proposals were received:
1458013 Ontario Inc. o/a Aire One Heating & Cooling Kitchener ON *
4 Seasons Heating & Cooling Ltd. Waterloo ON *
Tiger Plumbing Inc. Waterloo ON
The proposal received from Tiger Plumbing Inc. does not meet the mandatory
requirement of the provision of weekend and holiday service availability and was
disqualified.
Based on the resources of the vendors being awarded to, there remains a shortfall of
available capacity. Therefore, the City will issue an additional bid opportunity seeking
additional contractors to ensure the City has the contracted capacity required to ensure
a timely and valued service experience to the citizen for rental water heater installations.
The proposals were reviewed by B. Nash, Manager of Customer Relations, and S.
Rudak, Buyer, who concur with the above recommendation.
The established allowance rates for water heater installations has increased 1.95% from
the 2011 contract.
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:
Water heaters are a capital asset and their installation/replacement is funded through
rental rates.
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
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ACKNOWLEDGED BY:
Dan Chapman, Deputy CAO & City Treasurer, Finance and
Corporate Services
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