Item - 2019.BA1.4

The Bid Award Panel adopted the following:

1.  Bid Award Panel grant authority to award the contract in accordance with the Contract Details set out in the report (November 29, 2018) from the Chief Purchasing Officer:

Call Number:

Request for Quotation No. 6125-18-0282

Description:

For the non-exclusive provision of 24/7 mobile roadside and on-site tire services of off-road vehicles and equipment and on-road light and heavy duty commercial vehicles owned and operated by the City of Toronto's various Divisions, on an as and when required basis, for a period of one (1) year from December 10, 2018 to December 9, 2019 with the option to renew the contract for four (4) additional separate one (1) year periods.

The contract award value includes a 25 percent miscellaneous line item for Fleet Services and Paramedic Services, and a 10 percent miscellaneous line item for Fire Services as permitted by the terms and conditions of the Request for Quotation, on top of the recommended Bidder's award value listed in the call summary, Table 1.

Should the option(s) be exercised, then the General Manager of Fleet Services will request the Chief Purchasing Officer to process the renewals under the same term and conditions.

Recommended Bidder:

Kal Tire

Contract Award Value:

$1,259,329 net of all applicable taxes and charges

$1,423,042 including HST and all applicable charges

$1,281,493 net of HST recoveries

Contract is expected to start on December 10, 2018 and end on December 9, 2019

Option Year 1 - From December 10, 2019 to December 9, 2020

$1,297,109 net of all applicable taxes and charges

$1,465,733 including all applicable taxes and charges

$1,319,938 net of HST recoveries

Option Year 2 – From December 10, 2020 to December 9, 2021

$1,336,022 net of all applicable taxes and charges

$1,509,705 including all applicable taxes and charges

$1,359,536 net of HST recoveries

Option Year 3 - From December 10, 2021 to December 9, 2022

$1,376,103 net of all applicable taxes and charges

$1,554,996 including all applicable taxes and charges

$1,400,322 net of HST recoveries

Option Year 4 - From December 10, 2022 to December 9, 2023

$1,417,386 net of all applicable taxes and charges

$1,601,646 including all applicable taxes and charges

$1,442,332 net of HST recoveries

The total potential contract award identified in this report including all optional years is $6,685,949 net of all taxes, and $7,555,122 including all applicable taxes and charges. The total potential cost to the City, including all option years, is $6,803,621 net of HST recoveries.

The above cost calculations for the Option Years reflect an estimated 3 percent increase in the Consumer Price Index.

Call Issued: August 2, 2018                      Call Closed: September 5, 2018

Number of Addenda Issued: Five (5)

Number of Bids: Two (2)  

Table 2: Summary of Bids Received for Request for Quotation Number 6125-18-0282 including bid price

*Bid prices were corrected for mathematical errors

NOTE: Bid prices in Table 2 do not reflect a 10 percent miscellaneous line item for Fire Services and 25 percent miscellaneous line items for Fleet Services and Paramedic Services.