Item - 2020.BA115.6

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 ( December 17, 2020) from the Chief Procurement Officer:

Solicitation Number:

Request for Quotation (RFQ) Number DOC 2650299375

Description:

The supply and delivery of Iron Salts for the City of Toronto's Toronto Water Division, for  a period of two (2) years from date of award with an option to renew the contract by two (2) additional separate one (1) year periods, all in accordance with the provisions and specifications contained in the Request for Quotation.

Note: Should the option(s) be exercised, then the Client Division Head, the General Manager, Toronto Water Division, will request the Chief Procurement Officer to process the renewals under the same terms and conditions.

Recommended Supplier:

Group 1: Kemira Water Solutions Canada Inc.

Group 2: Kemira Water Solutions Canada Inc.

Contract Award Value:

Group 1: Kemira Water Solutions Canada Inc.

From January 1, 2021 to December 31, 2022

$5,523,321 net of all applicable taxes and charges

$6,241,353 including HST and all applicable charges

$5,620,532 net of HST recoveries

Option Year 1 - January 1, 2023 to December 31, 2023

$2,844,510 net of all applicable taxes and charges

$3,214,297 including HST and all applicable charges

$2,894,574 net of HST recoveries

Option Year 2 - January 1, 2024 to December 31, 2024

$2,929,846 of all applicable taxes and charges

$3,310,726 including all applicable taxes and charges

$2,981,411 net of HST recoveries

The total potential cost for Group 1 including all optional years is $11,496,517 net of HST recoveries. The total potential contract award is $11,297,678 net of all applicable taxes and charges, and $12,766,376 including all applicable taxes and charges.

Group 2: Kemira Water Solutions Canada Inc.

From January 1, 2021 to December 31, 2022

$3,219,175 net of all applicable taxes and charges

$3,637,668 including HST and all applicable charges

$3,275,832 net of HST recoveries

Option Year 1 - January 1, 2023 to December 31, 2023

$1,657,875 net of all applicable taxes and charges

$1,873,399 including HST and all applicable charges

$1,687,054 net of HST recoveries

Option Year 2 - January 1, 2024 to December 31, 2024

$1,707,611 of all applicable taxes and charges

$1,929,601 including all applicable taxes and charges

$1,737,665 net of HST recoveries

The total potential cost for Group 2 including all optional years is $6,700,552 net of HST recoveries. The total potential contract award is $6,584,662 net of all applicable taxes and charges, and $7,440,668 including all applicable taxes and charges.

The total potential cost to the City including all optional years for both Groups is $18,197,068 net of HST recoveries. The total potential contract award is $17,882,339 net of all applicable taxes and charges, and $20,207,043 including all applicable taxes and charges.

Contract is expected to start on January 1, 2021 and end on December 31, 2022 with the option to renew the Contract for two (2) additional separate one (1) year period.

The above cost calculations for the Option Year Periods reflects an estimated annual 3 percent increase as per the Consumer Price Index (CPI).

Solicitation Issued: October 8, 2020                  Solicitation Closed: November 6, 2020

Number of Addenda Issued: Five (5)

Number of Bids: Two [2]

Table 2: Summary of Bids Received for Ariba Doc No. 2650299375 including bid price