ADMINISTRATIVE REPORT
May 26, 1995
TO: Vancouver City Council
FROM: General Manager, Engineering Services and
City Purchasing Agent
SUBJECT: Award of Tender No. 54-95-01
The Supply of Parking Meters
RECOMMENDATION
THAT Council accept the bid which offers the best value to
the City from Trafco (Canada) for three hundred and seventy-
four (374) McKay twin electronic parking meters, model MKV-
97-2-HD/K-32, and thirty-five (35) McKay single electronic
parking meters, model MKV-97-HD/K-32, complete with
canisters, at a total cost of $335,633.67, plus the
Provincial Sales Tax, subject to a contract satisfactory to
the Director of Legal Services.
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, except where an allowance of
a maximum of 5% is given to those bidders whose tender reflects
local content.
Contracts with a value over $200,000 are referred to Council for
award.
DISCUSSION
Tenders for the above were opened on May 8, 1995, and referred to
the General Manager, Engineering Services and City Purchasing
Agent for report. The Provincial Sales Tax is in addition to all
prices shown in this report and in the tabulation. The G.S.T. is
not applicable to this purchase. A copy of the tabulation of
bids is on file in the City Purchasing Agent's Office. Funds of
$364,000.00 for this purchase are provided from the Meter
Purchase, Meter Expansion and Yaletown Meter Accounts.
The tender requested prices for twin and single mechanical
parking meters and, as an alternative, twin and single electronic
parking meters, to serve up to 850 parking spaces. Since the
opening of tenders, Engineering Services have advised that 374
twin and 35 single parking meters for a total of 783 parking
spaces are now required.
Three firms submitted a total of three bids for mechanical meters
and a total of six bids for the alternative electronic meters.
Total prices for the mechanical meters range from $269,178.25 to
$312,960.35 and total prices for the alternative electronic
meters range from $275,649.75 to $411,304.05.
The low bid for mechanical meters, at a total cost of
$269,178.25, meets the tender specifications but is not
- 2 -
recommended for acceptance. We are recommending the purchase of
electronic meters at an additional cost of $66,455.42, for a
total cost of $335,633.67 (recommended bid), on the basis of best
value, as discussed below.
Electronic meters provide reduced maintenance costs, estimated to
be $7,800.00 per year over the 20-year life of the meters.
Electronic meters also provide ease of rate changes, positive
audit capability, the ability to accept more coin combinations,
acceptance of fewer foreign objects and importantly, in the case
of the recommended bid, the ease of retrofitting to accept a
smart card or debit card once this new technology is further
developed and available.
Lower bids than the recommended bid were received from
Interprovincial Traffic Services Ltd. and Duncan Industries for
electronic meters but are not recommended for acceptance for the
following reasons:
The POM model APM-2X electronic meter mechanism, offered by
Interprovincial Traffic Services Ltd., is of a new
technology that is not yet proven. This is a single meter
that controls two parking spaces. The initial tests of a
demonstration unit, conducted by City staff, proved the
controls to be confusing to use. Many times the wrong space
was selected.
The Duncan Eagle electronic meter mechanism, offered by
Duncan Industries, does not meet the tender specifications
for the number of coin combinations. 12 are required and
the Duncan unit provides 7. The number of coin combinations
is important. The Canadian Mint is to produce a $2.00 coin
and is changing the metal content in the other coins. We
also accept U.S. coins. In addition, the mechanism does not
allow for the eventual upgrade to smart card or debit card
use.
The bid for electronic meters received from Trafco (Canada), at a
total cost of $335,633.67, meets all tender specifications and
allows for the future upgrade to smart card or debit card use.
We are, therefore, recommending acceptance of this bid, which
offers the best value to the City.
* * * * *