A3
                             ADMINISTRATIVE REPORT

                                           Date: November 15, 1996
                                           File No.  CREP 065.wpd


   TO:       Vancouver City Council

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

   SUBJECT:  AWARD  OF TENDER  NO.   58-97-01  - SUPPLY  AND  DELIVERY OF  
             MINERAL AGGREGATES


   RECOMMENDATION

       THAT Council accept the following bids  for the supply and  delivery
       of mineral aggregates as, if and when required from  January 1, 1997
       to  December  31, 1997,  subject to  contracts  satisfactory  to the
       Director of Legal Services:

                                                     ESTIMATED
       FIRM            DETAIL                          COST

       Lafarge         Item No. 11 - low bid         $922,277
       Construction
                       Item No. 17 - low bid meeting
                       specifications
                                  
                       Item No.  17(Alternative Bid)
                       - low bid

       Mainland Sand   Item No. s 9, 15 & 22
       & Gravel        - low bid                     $1,202,176

       Pitt River      Item No. s 5, 13 & 21
       Quarries        - low bid                     $564,015

       Allard          Item No. s 3 & 4 - low bid    $50,130
       Contractors Ltd.

       Construction    Item No. s 7 & 10 - low bid   $41,184 
       Aggregates

       Item No. 1 is not to be awarded and Item No. 2 is to be cancelled.

       Costs include the 7% Goods and Services Tax (less the anticipated
   receipt of the municipal rebate) and the Provincial Sales   Tax,   where
   applicable.

                                     - 2 -


   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

   Tenders for the above were opened by the City Clerk on October 21, 1996,
   and  referred to the General Manager of Engineering Services and Manager
   of Purchasing Services for report.

   The  7% Goods  and  Services Tax  (less the  anticipated receipt  of the
   municipal rebate) and  the Provincial Sales  Tax, where applicable,  are
   included in the prices shown in this report.

   Funds  for all  purchases, in  the estimated  amount of  $2,779,782, are
   available from approved Revenue and Capital budgets.

   The tender requested pricing  for the supply, delivery and  unloading of
   fourteen items  of mineral aggregates  to Cambie Yard   as, if  and when
   required from January 1, 1997 to December 31, 1997.

   We are recommending the acceptance of the low bid for each item with the
   exception of Item No. s 1, 2, 9, and 17.

   The tender  states that Item  No. s 9  and 17 are  to be awarded  on the
   basis of  the lowest cost per unit volume. Mainland Sand and Gravel Ltd.
   submitted  the  lowest cost  per  unit volume  for  Item No.  9  and 17.
   Mainland s  bid for Item No.  9 meets specifications  and is recommended
   for acceptance. However,  Mainland s material  for Item No.  17 did  not
   meet specifications. Lafarge Construction Materials submitted the second
   (an alternative bid) and third lowest  costs per unit volume on Item 17.
   Lafarge s second  lowest  bid did  not  meet specifications.  The  third
   lowest  bid from  Lafarge meets  specifications and  is  recommended for
   acceptance.

   Lafarge was  the low bid for  Item No. 1. However,  the City s Materials
   Engineer has determined that  Lafarge s alternative bid for Item  No. 17
   meets  Item No. 1  specifications and is  a less  expensive material for
   operational requirements at an  estimated savings of $52,800. Therefore,
   it is  recommended  that  Item  No.  1  not  be  awarded  and  Lafarge s
   alternative  bid for  Item No.  17 be  accepted for an  estimated 20,000
   tonnes. Item No.  2 is also  recommended to  be cancelled as  it was  an
   alternative  material specification for Item No. 1 and the bids received
   were higher than Item No. 1.


                    *        *        *        *        *  
                                                                                   City of Vancouver





                                               Inter-Office Correspondence

 PURCHASING
 Corporate Services Group

 November 15, 1996

 MEMO TO:   City Manager
                      City Clerk

 FROM:                Sid Fancy, Manager of Purchasing

 SUBJECT:   TENDER NO.  58-97-01 -   
                      SUPPLY AND DELIVERY OF MINERAL AGGREGATES

 Attached is a Council report and a tabulation of bids for the  above-mentioned tender for the December 10, 1996 Council
 meeting.

 The following  is a list of vendors that submitted tenders:


  VENDOR                   STREET                     CITY/PROV         P/CODE         CONTACT           TEL
  Construction             P.O. Box 2300              Vancouver, BC     V6B 3W6        J.  Creasy        261-6225
  Aggregates               8955 Shaughnessy Street

  LaFarge Construction     POB 367, 31601 Walmsley    Abbotsford, BC    V2S 4N9        Ken Hiltgen       525-4144
  Materials                Road

  Allard Contractors       P.O. Box 47                Pt.Coquitlam,     V3C 3V5        Barry R.          944-2556
                                                      BC                               Allard

  Pitt River Quarries      2300 Rogers Avenue         Coquitlam, BC     V2K 5X6        Ed Claggett       525-2222
  Mainland Sand &          9512 - 194A Street         Surrey, BC        V4N 3G6        Brent Carlson     882-5650
  Gravel



                                                       
 Sid Fancy
 Manager of Purchasing Services

 SF/el