ADMINISTRATIVE REPORT

Date: June 4, 1999

Author/Local:Jim Lloyd/7257

RTS No. 00782

CC File No. 1805

Council: July 6, 1999

TO:	Vancouver City Council
FROM:	General Manager of Engineering Services and Manager of Purchasing Services
SUBJECT:	Contract Extension - Contract No. 57-97-07 - Supply and Delivery of Reinforced Concrete Pipe, Manhole Sections and Tops

RECOMMENDATION

THAT Council approve the extension of the contract to Ocean Construction Supplies limited for the supply and delivery of reinforced concrete pipe, manhole sections and tops, as, if, and when required, for an additional 12-month period, at an annual estimated cost of $782,870 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 of $300,000 are referred to Council for award.

DISCUSSION

On June 17, 1997, Council awarded a 12-month contract to Ocean Construction Supplies Limited for the supply and delivery of reinforced concrete pipe, manhole sections and tops, as, if, and when required, for a 12-month period, at an annual estimated cost of $782,870 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. Council approved the first 12-month extension period on June 16, 1998.

Ocean has agreed to extend the contract with all prices, terms, and conditions remaining the same.

Considering that Ocean Construction Supplies Limited has been a satisfactory supplier, it is recommended that the contract be extended for an additional 12-month period.

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(c) 1998 City of Vancouver