ADMINISTRATIVE REPORT

Date: May 31, 2000
Author/Local: A.Kyriakides/7257

RTS No. 01529

CC File No. 1805

Council: June 13, 2000

TO:	Vancouver City Council
FROM:	General Manager of Engineering Services and Manager of Materials Management
SUBJECT:	Award of Tender No. PS00030 - Supply and Delivery of 610mm Steel Water Pipe

RECOMMENDATION

That Council accept the low bid from North American Pipe and Steel for the supply and delivery of 610mm steel water pipe at an estimated total cost of $904,900.00 plus the 7% GST (less any municipal rebate received) and the PST, subject to a contract satisfactory to the Director of Legal Services.

POLICY

The policy of Council is to award contracts for the purchase of equipment, supplies and services that will give the highest value based on quality, service and price.

Contracts with a value over $300,000 are referred to Council.

DISCUSSION

Tenders for the above were opened by the City Clerk on May 24, 2000 and referred to the General Manager of Engineering Services and the Manager of Materials Management for report.

The 7% GST (less any municipal rebate received) and the PST are in addition to all prices shown in this report and the tabulation.

Funds for all purchases are provided for in the Waterworks Capital Budget.

The tender called for the supply, delivery and unloading of 610mm (24") steel water pipe aswell as the application of linings and coatings to the City's specifications for use in a high pressure dedicated fire protection system (DFPS) within the City of Vancouver.

The tender specified a preference for Canadian Standard Association or American Pipe Institute certified pipe with a provision for tenderers to submit bids to alternative pipe standards. The selection of either certified or alternative pipe is at sole discretion of the City. The tender is to be awarded to a single contractor.

Duration of contract will be for 36 month period, with option to extend for 2 additional 12 month periods. Prices will remain firm for one year from date of purchase order. Future price adjustments will be subject to documented proof, which can be verified with an independent published source.

Approximate 4,100 metres of pipe will be required for this south shore expansion, with deliveries scheduled to be completed by December 31, 2000.

Three firms submitted bids for this tender.

Mueller Flow Control	$1,222,850
Itochu Canada Ltd.	$ 956,650
North American Pipe and Steel	$ 904,900

North American Pipe and Steel submitted the low bid for the preferred certified pipe meeting Canadian Standard Association certified specification, as well as meeting specifications for coating and lining (Section A). North American Pipe and Steel is also offering on 18m length vs 15m length offered by other bidders, which will require fewer welds.

We are therefore recommending the acceptance of low bid for the preferred certified steel pipe, from North American Pipe and Steel, for the supply and delivery of 610mm steel water pipe for a 12 month period from date of purchase order.

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(c) 1998 City of Vancouver