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HomeMy WebLinkAboutFCS-16-125 - T16-069 Three (3) Slide in Sand-Salt Spreader Bodies with PrewettingStaff I KTMHV Finance and r Services Department www.kltchenerta REPORT TO: Jeff Willrner, Chief Administrative Officer DATE OF MEETING: 2016-07 -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: NIA DATE OF REPORT: 2016 -07 -20 REPORT NO.: FCS -16 -126 SUBJECT: T16 -069 Three (3) Slide In Sand /Salt Spreader Bodies with Prewetting That Tender T16 -069 Three (3) Slide In Sand /Salt Spreader Bodies with Prewetting, be awarded to FST Canada Inc. OIA Joe Johnson Equipment, Innisfil, Ontario, at their tendered price of $275,349., plus H.S.T. of $35,795.37., for a total of $311,144.37. BACKGROUND: These units will replace three (3) sand /salt spreader bodies with prewetting (units 6010, 6011, and 7024 in INS — Operations), as approved for replacement in the 2016 Annual Fleet Equipment Review. These units will be used for salting and sanding roads during the winter months. One current unit is fourteen (14) years old with a ten (10) year lifecycle and the other two units are twelve (12) years old with a ten (10) year lifecycle. >4I 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 thirteen (13) interested parties, and by the closing date of Thursday July 7, 2016, two (2) tenders had been received.. Tenders were reviewed by M. Born, Manager of Fleet, who concurs with the above recommendation. This information is available in accessible formats upon request. ** Please call 519- 741 -2345 or TTY 1- 866 - 969 -9994 for assistance. The following tenders were received: Bid Price S & B Services Ltd. Shedden ON $279,307.86 FST Canada Inc. O/A Joe Johnson Equipment Inc. Innisfil ON $311,144.37 The low bid submitted by S & B Services Ltd. did not meet the specifications in 39 different areas as outlined within the request for tender document. The main issues with their submission include a chain conveyor system, as opposed to a belt conveyor system which is less likely to seize up with salt, and the main controller is not compatible with our Esri.GPS system, which is needed in order for the City to report salt usage data to the Region of Waterloo. As a result, the tender submission was. deemed non - compliant and was disqualified. 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: 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 T'16 -069 Supply three (3) slide in sand /salt spreader bodies with prewetting Estimated Cost for this Tender Tender T1 6-069 costs including optional equipment and HST $311,144.37 less: HST rebate on tender $ (30,949.231 Net Cost Being Awarded $280,195.14 A Projected Costs for Additional Outfitting $ 6,000.00 Total Estimated Cost for this Tender $286,195.14 C Budget for this Tender Replacement of units 6010, 6011 and 7024 in Operations $356000.00 B Estimated Surplus for this Tender (B - C) $ 69,804.86 D COMMUNITY ENGAGEMENT: INFORM — This report has been posted to the City's website with the agenda in advance of the council 1 committee meeting. Not applicable ACKNOWLEDGED BY: Dan Chapman, Deputy CAO & City Treasurer Finance and Corporate Services