HomeMy WebLinkAboutFCS-16-159 - T16-080 Utility Meter Reading Services
REPORT TO: Committee of the Whole
DATE OF MEETING: 2016-10-24
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: 2016-10-06
REPORT NO.: FCS-16-159
SUBJECT: T16-080 Utility Meter Reading Services
___________________________________________________________________________
RECOMMENDATION:
That Tender T16-080 Utility Meter Reading Services, be awarded to Olameter
Incorporated, Aurora, Ontario, at their tendered price of $1,372,450.88, plus H.S.T.
of $178,418.61, for a total of $1,550,869.49, for a three (3) year term, with an option
to renew for one (1) additional three (3) year term.
BACKGROUND:
The Revenue Division requires the service of a meter reader provider on an ongoing
basis for the provision of monthly reading of water and gas meters, in addition to
special reads and survey data work for noting visible damage, possible tampering,
obstructions and locked off meter sets.
The average annual spend over the past three (3) years was $399,976.47. 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 eight (8) interested parties, and by the closing date of Thursday
September 8, 2016, 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. iii. - 1
The following tenders were received: Bid Price
Ray Urban Contracting Services Mississauga ON $1,279,315.08
Olameter Incorporated Aurora ON $1,550,869.49 *
Force Field Services Waterdown ON $1,665,584.97
The tender received from Ray Urban Contracting Services, has been disqualified as this
bidder does not have meter reading service qualifications/experience, as outlined in the
request for tender specifications.
The price for monthly residential reading has increased 20%, and the price for
commercial has decreased 19% from the 2012 tender.
The tender was reviewed by J. Evans, Director Revenue & Deputy City Treasurer and
L. Knipping, Supervisor Billing & Meter Reading, 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:
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 service is included within the approved operating budget. The estimated surplus
(D) will be closed out to the Gas and Water utilities.
Tender T16-080
Supply Utility Meter Reading Services
Estimated Cost for this Tender
Tender T16-080 costs, including HST 1,550,869.49A
$
less: HST rebate on tender (154,263.48)
Net Annual Cost Being Awarded 1,396,606.01C
Projected Additional Costs
Total Estimated Cost for this Tender 1,396,606.01
$
Budget for this Tender
Revenue Utilities Contract Services Operating Budget 1,449,222.00B
$
Estimated Surplus for this tender (B - C) $ 52,615.99D
1. iii. - 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. iii. - 3