Vancouver City Council |
ADMINISTRATIVE REPORT
Date: October 29, 2003
Author/Local:M.Deo/323-7792
RTS No. 03713
CC File No. 1805
Meeting Date: November 18, 2003
TO:
Vancouver City Council
FROM:
General Manager, Engineering Services
Manager, Materials ManagementSUBJECT:
Award of Tender PS03027 - Supply of (11) Eleven Tri-Axle Transfer Trailers
RECOMMENDATION
A. THAT, subject to the conditions set out in Recommendations B, C, and D, Council authorize the General Manager of Engineering Services and the Manager, Materials Management to award to the low bid meeting specifications from The Canam Manac Group for eleven (11) - 2004 tri-axle transfer trailers, at a total cost of $867,812.00, plus the Provincial Sales tax, the Goods and Services Tax (less any municipal rebate received) and the Provincial Environmental Levy, subject to a contract satisfactory to the Director of Legal Services.
B. THAT, the Director of Legal Services be authorized to execute and deliver on behalf of the City all legal documents required to implement Recommendation A.
C. THAT all such legal documents be on terms and conditions satisfactory to the General Manager of Engineering Services, Manager of Materials Management and the Director of Legal Services.
D. THAT no legal rights or obligations will be created by Council's adoption of Recommendation A, B and C above unless and until such legal documents are executed and delivered by the Director of Legal Services.
E. THAT funding for the purchase described in Recommendation A be provided from the Truck and Equipment Plant Account.
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.
DISCUSSIONTenders for the above were opened on August 20, 2003 and referred to the General Manager of Engineering Services and the Manager of Materials Management for report.
The PST, the 7% GST (less any municipal rebate received) and any Provincial Environmental Levy are in addition to the pricing shown in this report.
This tender called for prices for eleven (11) tri-axle transfer trailers. These trailers are required to replace existing units used by the Landfill and Transfer Station Operations Branch. This tender was advertised on the internet.
Eight bids were received with base unit pricing ranging from $75,124.00 to $99,986.00.
Manac Group
K- Line
Unifab Industries
Wilkens Industries
Universal Handling
Reliance Trailer
Knight Trailer
Intn'l Transport
$75,124.
$82,380.
$89,896.
$92,421.
$94,939.
$96,078.
$98,385.
$99,986.
· Bid 1 from The Canam Manac Group meets all required specifications and is recommended with minor upgrades in componentry to extend the trailer service life and the option to delete the hydraulically powered rear door . The upgrade cost and deletion of the hydraulically powered door will result in net increase in the trailer price of $3,768 per trailer for a total net unit price per trailer of $78,892.00. The total net unit cost with upgrades is $2,588 less per trailer than Bid 2.
FINANCIAL IMPLICATIONS
The eleven existing units are scheduled for replacement in the 2003 Equipment Replacement Program. Funds for the purchase of these units are provided from the Truck and Equipment Plant Account.
SUMMARY
Accordingly, we recommend acceptance of the low bid meeting specifications and providing best value from The Canam Manac Group for eleven (11) 2004 Manac tri-axle transfer trailers at a total cost of $867,812 ($75,124 each plus $703 each in costs incurred due to clarification of design, plus $1,341 each for a suspension upgrade, plus $3,475 for a wall construction upgrade, plus $164 in options and a credit of $1915 for the deletion of the hydraulically powered rear door, for a total unit price of $78,892).
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