HomeMy WebLinkAboutFIN-09-162 - T09-095 - Preventative MaintenanceF~ari~a~dl,5~ers+k~s:
REPORT ,
REPORT T0: Mayor Carl Zehr & Members of Council
DATE OF MEETING: 2009-12-14
SUBMITTED BY: Larry Gordon, Chief Purchasing Officer
PREPARED BY: Larry Gordon, Chief Purchasing Officer (2214)
WARD(S) INVOLVED: N/A
DATE OF REPORT: 2009-12-07
REPORT N0: FIN 09-162
SUBJECT: T09-095 -Preventive Maintenance 1 De-Liming Water Heaters
RECOMMENDATION:
That tender T09-095, Preventive Maintenance 1 De-Liming Water Heaters, be awarded to
Afterglow Ltd., Waterloo, Ontario, at their tendered price of $294,787.50, including G.S.T., with
an option to renew for two (2} additional one-year periods.
BACKGROUND:
The water hardness in Kitchener is in excess of 25 gpg. The hardness of the water contributes
to reducing the life of water heaters. The inspection and the removal of lime increase the safety
and extend the life of water heaters up to an additional 3 years. This inspection and de-liming
also meets our regulatory obligations with TSSA.
REPORT:
The tender was advertised publicly in The Record, on the City of Kitchener website and the
Internet through the Ontario Public Buyers Electronic Tendering Information System. Four (4)
potential bidders downloaded tender documents, and by the closing date of Thursday
November 12, 2009, two (2) tenders had been received.
The following tenders were received:
Afterglow Ltd. Waterloo, ON $294,787.50
Aire One Heating & Cooling Kitchener, ON $315,525.00
Tenders were reviewed by B. Nash, Manager of Customer Relations, and S. Rudak, Buyer, who
concur with the above recommendation.
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FINANCIAL IMPLICATIONS:
Funding will be provided from Cost Center 5018455-630020 - Rental Water
Heaters/Admin/Admin-Contracted Services and Various FM Operating Accounts as required.
ACKNOWLEDGED BY: Dan Chapman, General Manager of Financial Services and City
Treasurer
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Financial Summary - T09-095
Preventative MaintenancelDe-Liming Water Heaters
Projected Funding Sources
20~ 0 (5018455-630020 Rental Water
Heaters/Admin/Admin-Contracted Services) 127,000.00
200 (various FM accounts) 6,250.00
Additional Revenue Projected -
Total Revenue Projected 133,250.00
Projected Expenditures
Tender Request T09-095 -Kitchener
Utilities portion 274,500.00
Tender Request T09-095 -Facilities
Management portion 6,250.00
Existing Encumbrances -
Projected Expenses (Unencumbered) -
Total Expenditures Projected 280,750.00
Projected Deficit (147,500.00
INote: All amounts above are net of GST rebates.
The amount perthe tender report represents the upper limit of
work that may be completed. Historically, the amount
completed has not exceeded the budgeted amount.
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