Item - 2019.GL2.5

The General Government and Licensing Committee:

1.  In accordance with Section 71-11.1C of the City of Toronto Municipal Code Chapter 71 (Financial Control By-law), granted authority to amend Blanket Contract Number 47020391 issued to TBM Service Group Inc. for the supply of all labour, materials, and equipment necessary to provide custodial services required for various Facilities Management Division and City locations by the additional amount of $1,974,716 net of all applicable taxes and charges ($2,009,470 net of Harmonized Sales Tax recoveries) for the current option period (February 1, 2019 to January 31, 2020), revising the current value from $16,836,217 to $18,810,933 net of all applicable taxes and charges as per the original terms and conditions as set out in the Request for Proposal.

The purpose of this report is to seek authority to amend Blanket Contract Number 47020391 awarded to TBM Service Group Inc. (TBM) as a result of the Request for Proposal (RFP) 0203-16-0091 for the supply of all labour, materials, and equipment necessary to provide custodial services at various locations. The total Purchase Order Amendment being requested is for an additional amount of $1,974,716 ($2,009,470 net of HST recoveries) for the current option period (February 1, 2019 to January 31, 2020).

The requested amendment will ensure that the current option period has sufficient value to account for the factors addressed in the February 2018 amendment (2018.GM25.9), including 1) changes in locations from the original scope of the contract, 2) phasing in of service level changes to a standard service level, and 3) Bill 148 (minimum wage increase), thereby allowing for continuity of service delivery at facilities on this contract. In addition, the amendment will allow for services to be provided at new facilities, if required, under the same terms and conditions as the existing facilities serviced by this contract.

In 2019, Facilities Management will continue to work with client divisions to phase in the baseline custodial standard. Moving forward, there are further opportunities to consolidate contracts and standardize custodial services across the portfolio in an effort to maximize value and ensure a consistent quality of service. In 2019 and through to early 2020, Facilities Management will be developing and awarding a new Request for Proposal for custodial services in an attempt to further consolidate existing custodial contracts, refine requirements, address remaining recommendations from the Auditor General reports of 2016, and realize additional benefits.