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HomeMy WebLinkAboutFCS-17-201 - T17-134 One (1) Tandem Rear Axle Conventional Cab and Chassis REPORT TO: Committee of the Whole DATE OF MEETING: 2017-12-11 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: N/A DATE OF REPORT: 2017-11-29 REPORT NO.: FCS-17-201 SUBJECT: T17-134 One (1) Tandem Rear Axle Conventional Cab and Chassis ___________________________________________________________________________ RECOMMENDATION: That Tender T17-134 One (1) Tandem Rear Axle Conventional Cab and Chassis, be awarded to Team Truck Centres Limited, Cambridge, Ontario, at their tendered price of $121,000., plus H.S.T. of $15,730., for a total of $136,730. BACKGROUND: This unit will replace a tandem dump truck (unit 510) INS – Roads and Traffic, as approved for replacement in the 2017 Annual Fleet Equipment Review. This unit will be used by INS – Roads and Traffic, for winter plowing, salting and summer road work. The current unit is ten (10) years old with a ten (10) year lifecycle. REPORT: The value of this purchase falls below the Council approval threshold of the new purchasing by-law. As per clause 170.7.3(d) of the new by-law, it states when only one bid is received in response to a solicitation, the Director of Supply Services shall submit a report to Council recommending award. This Tender was advertised publicly on the City of Kitchener website. Documents were downloaded by three (3) interested parties and by the closing date of Thursday November 23, 2017, one (1) tender 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.v - 1 Tenders were reviewed by M. Born, Manager of Fleet, who concurs with the above recommendation. The following tenders were received: Bid Price Team Truck Centres Limited Cambridge ON $136,730.00* Historically, the City has received more than one bid on tenders for Tandem Rear Axle Conventional Cab and Chassis. Although, the City only received one bid submission for this tender, pricing is comparable to previous competitive purchases and this submission represents good value for the City. 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, but the upset limit is beyond the allowance provided within the budget (B). Funding for this equipment is included within the approved capital budget. The estimated deficit (D) will be funded from previous surpluses that have been closed out to the Equipment Reserve Fund. Tender T17-134 Supply and Install One (1) Tandem Rear Axle Conventional Cab and Chassis Estimated Cost for this Tender Tender T17-134 costs including optional equipment and HST 136,730.00 less: HST rebate on tender (13,600.40) Net Cost Being Awarded 123,129.60 A Projected Costs for Dump Body and Additional Outfitting (Includes Two-way Radio, Auto Greaser, PDI and Decals) 115,566.37 Total Estimated Cost for this Tender $238,695.97 C Budget for this Tender Replacement of unit 510 in INS - Roads & Traffic $225,000.00 B Estimated Surplus/(Deficit) for this Tender (B - C) to be funded from Equipment Reserve Fund (13,695.97) D COMMUNITY ENGAGEMENT: INFORM – This report has been posted to the City’s website with the agenda in advance of the council / committee meeting. 1.v - 2 PREVIOUS CONSIDERATION OF THIS MATTER: Not applicable ACKNOWLEDGED BY: Lesley MacDonald, Acting Deputy CAO, Finance and Corporate Services 1.v - 3