HomeMy WebLinkAboutTender - T05-086 - Supply & Delivery of Residential Water HeatersDate: December 12th, 2005
To: Mayor Carl Zehr & Members of Council
Subject: TOS-086 -Supply & Deliver Residential Water Heaters
RECOMMENDATION
That tender TOS-086, Supply & Deliver Residential Water Heaters, be split awarded as follows:
40, 50 & 60 gallon conventional, 40, 50 & 75 gallon power vented, 40 & 50 FVIR power vented, and 50
gallon high input power vented heaters to: Rheem Canada Ltd., Hamilton, Ontario, at their tendered price
of $1,210,600., plus G.S.T. & P.S.T. and
75 gallon conventional, 60 gallon power vented, 50 gallon direct vented heaters to: GSW Water Heating,
Fergus, Ontario, at their tendered price of $34,736.80, plus G.S.T. & P.S.T., and
75 gallon conventional, 40 & 50 gallon direct vent /power vented heaters to: State Industries Inc.,
Ashland City, Tennessee, at their tendered price of $44,230., plus G.S.T. & P.S.T.
REPORT
Tenders were requested from three (3) potential bidders, advertised publicly in The Record, the City of
Kitchener website and on the Internet through the Ontario Public Buyers Electronic Tendering
Information System. By the closing date of Thursday December 1st, 2005, three (3) tenders had been
received.
The following tenders were received:
Rheem Canada Ltd. Hamilton, ON $1,225,575.00
GSW Water Heaters Fergus, ON $1,241,574.40
State Industries Inc. Ashland City, TN $1,309,655.00
Award is based on low price per unit complete to the City's warranty requirements. The exceptions are as
follows: the 75 gallon conventional is awarded to State, as this size and style is not available from Rheem,
and Rheem's 50 gallon direct vented heaters are restricted to a two (2) foot venting tolerance, therefore,
awarded to next low bidder GSW. Additionally, the 60 gallon power vented, is a single source from
GSW, as is the direct vent /power vented heaters, is a single source from State Industries.
The tenders were reviewed by S. McDonald, Manager, Utilities Programs, B. Nash, Manager of Customer
Service, and S. Rudak, Buyer, who concur with the above recommendation. A copy of S. McDonald's
memo is attached for information.
Water Heaters are an annual requirement in support of the city's rental water heater program.
FINANCIAL IMPLICATIONS
Funding will be provided from index 879544 -Hot Water Heater Rental Program. Funding is derived
from the depreciation of the existing rented water heaters.
Price difference has remained flat from the previous year.
~j--~_
Larry Gordon
Director of Purchasing