Vancouver City Council |
ADMINISTRATIVE REPORT
Date: February 18, 2003
Author/Local:M.Deo/604.323.7792
RTS No. 04001
CC File No. 1805
Meeting Date: March 9, 2004
TO:
Vancouver City Council
FROM:
General Manager of Engineering Services
Manager of Materials ManagementSUBJECT:
Award of Tender PS03044 - Supply and Delivery of Litter Can Trucks
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 of Materials Management to award to the low bid meeting specifications from Rollins Machinery Ltd. for three (3) - 2004 MT45 custom cab and chassis with Mini-Max body litter can trucks, at a total cost of $360,279, less $19,500 for trade-in of three (3) existing litter can trucks 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.
DISCUSSION
Tenders for the above were opened on January 14, 2004 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 two items:
·Item 1- Cab and Chassis
·Item 2 - 8 Yard Side Load Refuse Body.This report deals with both Items 1 and 2, which when combined, form a complete litter can truck unit. These trucks are required to replace existing units used by the Sanitation Operations Branch to empty sidewalk litter cans. This tender was advertised on the City's and BC Purchasing Commission's web site. In addition to notifying incumbent suppliers to the City and other well known vendors, an advertisement was placed in the Vancouver Sun.
Bid 1 offered unit pricing of $113,799 for both Item 1 and Item 2, including the option for an additional roof vent. Bid 1 did not meet the paint preparation, load height,and loading door size requirements. The paint preparation requirement is particularly important because of severe corrosion problems the City has experienced with the current litter can trucks. The loading height and loading door size requirements are important because they provide the operators easy and safe access to the hopper area of the side load body when emptying the litter cans. No trade-in pricing was offered for the existing litter can trucks.
Bid 2 offered unit pricing of $120,093 for both Item 1 and Item 2, including the option for an additional roof vent. Bid 2 meets specifications, is acceptable and is recommended. Trade-in pricing of $6,500 per truck was offered for the existing litter can units.
FINANCIAL IMPLICATIONS
The three (3) existing units are scheduled for replacement in the 2003 Equipment Replacement Program and are beyond their economic lives. 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 Rollins Machinery Ltd. for three (3) 2004 MT45 custom cab and chassis with Mini-Max body litter can trucks at a total cost of $340,779 ($119,968 each plus $125 each for an additional roof vent, less $6,500 for trade-in of each City unit for a total unit price of $113,593).
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