ADMINISTRATIVE REPORT


                                           Date: September 06, 1996
                                           File No. Crep057.wpd


   TO:       Vancouver City Council

   FROM:     General Manager of Engineering Services and 
             Manager of Purchasing Services

   SUBJECT:  CONTRACT EXTENSION - CONTRACT NO. 58-96-01  - SUPPLY AND
             DELIVERY OF MINERAL AGGREGATES (LANDFILL)


   RECOMMENDATION

        THAT Council approve the extension of the contract to Columbia
        Bitulithic Ltd., for the supply and delivery of mineral aggregates
        (landfill), for an additional 12-month period at an annual
        estimated cost of $615,104, plus the 7% Goods and Services Tax
        (less any municipal rebate received) and the Provincial Sales Tax,
        where applicable.


   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.


   DISCUSSION

   On December 12, 1995, Council awarded a 12-month contract to Columbia
   Bitulithic Ltd., for the supply and delivery of mineral aggregates
   (landfill), at an annual estimated cost of $615,104 plus the 7% Goods
   and Services Tax (less any municipal rebate received) and the Provincial
   Sales Tax, where applicable.

   The contract provides for two 12-month extensions by mutual agreement
   between the City and the contractor. This is the first extension.

   The above contractor has agreed to extend for an additional 12-month
   period, under the existing terms and conditions, as set out in the
   contract.

   Considering that Columbia Bitulithic Ltd., has been a satisfactory
   supplier, it is recommended that the contract be extended for an
   additional 12-month period.

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