ADMINISTRATIVE REPORT

Date: November 19, 2001
Author/Local: M.Deo/323-7792

RTS No. 2398

CC File No. 1805

Council: December 4, 2001

TO:	Vancouver City Council
FROM:	General Manager of Engineering Services Manager - Materials Management
SUBJECT:	Award of Tender PS01066 Supply & Delivery of Single Axle Tilt and Conventional Cab and Chassis

RECOMMENDATION

THAT Council accept the best value and low bid meeting specifications from Western Star and Sterling Trucks of Vancouver Inc. for sixteen (16) 2002 Sterling Cargo SC7000 at a total cost of $943,552 , plus the PST, the 7% GST (less any municipal rebate received) and the Provincial Environmental Levy, subject to a contract satisfactory to the Director of Legal Services and receipt of a performance bond in the amount of 50% of the contract price.

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 on October 10, 2001 and referred to the General Manager of Engineering Services and the Manager, Materials Management for report. The PST, the 7% GST (less any municipal rebate received) and the Provincial Environmental Levy are in addition to the pricing shown in this report. This tender called for prices for two items: Item 1- Single Axle Tilt Cab and Chassis and Item 2- Single Axle Conventional Cab and Chassis. This report deals with Item 1. The tender was advertised in a local newspaper as well as on the internet.

Six bids were received from five suppliers with unit prices ranging from $58,922 to $91,804 each. Sixteen units are required to replace the existing single axle tilt cab and chassis which are used in the 4 Yard Dump truck application.

Bid 1 from Western Star and Sterling Trucks of Vancouver Inc. meets specifications and is recommended for acceptance.

FINANCIAL IMPLICATIONS

Fifteen of the sixteen units are scheduled for replacement in the 2001 replacement program. One of the units was approved for replacement in the 1998 replacement program but was not replaced because of workload. The estimated replacement budget for the fifteen single axle tilt cab and chassis for the 2001 replacement program year was $1,200,000.The estimated replacement budget for the single axle tilt cab and chassis for the 1998 replacement program year was $65,000. Funds are provided from the Truck & Equipment Plant account.

SUMMARY

Accordingly, we recommend acceptance of the low bid which meets specifications from Western Star & Sterling Trucks of Vancouver Inc. for sixteen (16) 2002 Sterling Cargo SC7000 at a total cost of $943,552. ($58,922 each plus $800 for two sets of repair manuals) providing they submit a performance bond in the amount of 50% of the contract price.

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(c) 1998 City of Vancouver