A3
ADMINISTRATIVE REPORT
Date: May 7, 1996
File No. Crep053.cov
TO: Vancouver City Council
FROM: General Manager of Engineering Services and
Manager of Purchasing Services
SUBJECT: Extension of Contract #57-94-04: Supply & Deliver of
Extra Strength Vitrified Clay Sewer Pipe and Fittings
RECOMMENDATION
THAT Council approve the extension of the contract to Gladding
McBean, a division of Pacific Coast Building Products, for the
supply and delivery of extra strength vitrified clay sewer pipe
and fittings, for an additional 12-month period at an annual
estimated cost of $336,496, plus the 7% Goods and Services Tax
(less any municipal rebate received) and the Provincial Sales Tax.
COUNCIL 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 for award.
DISCUSSION
On May 31, 1994, Council awarded a 12-month contract to Gladding
McBean, a division of Pacific Coast Building Products, for the supply
and delivery of extra strength vitrified clay sewer pipe and fittings,
at an annual estimated cost of $320,472 plus the 7% Goods and Services
Tax (less any municipal rebate received) and the Provincial Sales Tax.
The contract provides for two 12-month extensions by mutual agreement
between the City and the contractor. A provision in the contact allows
for price adjustments. On June 6, 1995, Council approved the first
12-month extension with a 5% price increase.
The above contractor has agreed to extend for a second and final
12-month period without any price adjustments, under the existing terms
and conditions, as set out in the contract.
Considering that Gladding McBean, has been a satisfactory supplier, it
is recommended that the contract be extended for an additional 12-month
period.
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