Item - 2020.BA88.10

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 (June 25, 2020) from the Chief Purchasing Officer:

Solicitation Number:

Request For Quotation Ariba Document Number 2272041817

Description:

The non-exclusive supply and delivery of envelopes for various divisions to multiple locations throughout the City of Toronto, as and when required for a period of three (3) years with an option in favour of the City to extend the agreement on the same terms and conditions for an additional term of up to two (2) additional separate one (1) year periods.

Prior to the renewal of the contract, Purchasing and Materials Management Division will perform a market analysis to verify the current market conditions as compared to the proposed increase by the vendor. Divisions involved will monitor vendor performance during the first term of the contract. Should the option(s) be exercised, the City Clerk or designate will request the Chief Purchasing Officer to process the renewals under the same terms and conditions.

Recommended Supplier:

Enveloppe Laurentide Inc.

Contract Award Value:

$926,203 net of all applicable taxes and charges, (including 25 percent for Miscellaneous Items)

$1,046,609 including HST and all applicable charges

$942,504 net of HST recoveries

Contract is expected to start on date of award and end on June 15, 2023.

Option Year 1:  June 16, 2023 to June 15, 2024

$317,996 net of all applicable taxes and charges, (including 25 percent for Miscellaneous Items)

$359,336 including HST and all applicable charges

$323,593 net of HST recoveries

Option Year 2:  June 16, 2024 to June15, 2025

$327,536 net of all applicable taxes and charges, (including 25 percent for Miscellaneous Items)

$370,116 including HST and all applicable charges

$333,301 net of HST recoveries

The total potential contract award identified in this report, including all option years is $1,571,735 net of all applicable taxes and charges, and $1,776,061 inclusive of all taxes and charges. The total potential cost to the City is $1,599,398 net of HST recoveries.

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

Agencies, Boards, Commissions and Corporations (Toronto Police and Toronto Community Housing Corporation) also participated in this call and will be seeking their own authority.

Solicitation Issued: February 21, 2020             Solicitation Closed: March 17, 2020

Number of Addenda Issued: Three (3)

Number of Bids: Two (2)

Table 3: Summary of Bids Received for Request For Quotation including bid price

*Bid prices were corrected for mathematical errors. Purchasing and Materials Management has verified that the mathematical errors were corrected.