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HomeMy WebLinkAboutFCS-16-162 - P16-075 Authorized Contractors Kitchener Utilities NG Rental Water Heater 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: 2016-10-13 REPORT NO.: FCS-16-162 SUBJECT: P16-075 Authorized Contractors: Kitchener Utilities Rental Water Heater Program ___________________________________________________________________________ RECOMMENDATION: That Proposal P16-075 Authorized Contractors: Kitchener Utilities Rental Water Heater Program, be awarded to the following contractors: Amber Heating & Sheet Metals Ltd., Kitchener, Ontario; Infiniti Air Conditioning & Heating, Kitchener, Ontario; McGregor Plumbing & Heating Inc., Tavistock, Ontario; Tiger Plumbing Inc., Waterloo, Ontario; and, Triple 8 Plumbing & Heating Inc., Kitchener, 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 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 was issued to obtain the additional capacity required for the rental water heater program in order to meet the capacity shortfall from the previous proposal P16-060. The annual estimated spend over the previous five (5) years was $1,271,465. The actual spend will depend on the level of activity throughout the term of the contract. *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. 1. iv. - 1 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 fifteen (15) interested parties, and by the closing date of Wednesday September 28, 2016, nine (9) proposals had been received. The following proposals were received: Aire One KW/1458013 Ontario Inc. Kitchener ON Amber Heating & Sheet Metals Ltd. Kitchener ON * Delta Air Systems Ltd. Waterloo ON Dunn Heating & Air Conditioning Waterloo ON 4 Seasons Heating & Cooling Ltd. Waterloo ON Infiniti Air Conditioning & Heating Kitchener ON * McGregor Plumbing & Heating Inc. Tavistock ON * Tiger Plumbing Inc. Waterloo ON * Triple 8 Plumbing & Heating Inc. Kitchener ON * The proposal received from Delta Air Systems Ltd., and Dunn Heating & Air Conditioning, were disqualified, as they did not meet the mandatory requirement for the provision of weekend and holiday service availability. Aire One KW/1458013 Ontario Inc., and 4 Seasons Heating & Cooling Ltd., were awarded contracts for service previously on P16-060 (Report FCS16-111) and therefore do not need to be awarded within this recommendation. Their submissions were for the purpose of identifying available capacity. The proposals were reviewed by B. Nash, Manager of Customer Relations, who concurs with the above recommendation. The established allowance rates set by the City for water heater installations have increased 1.95% from 2011. 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. 1. iv. - 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. iv. - 3