Item - 2021.BA153.2

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 (September 9, 2021) from the Chief Procurement Officer:

Solicitation Number:

Request for Quotation (RFQ) Ariba Doc Number 2961523796

Description:

For the non-exclusive supply, delivery, and warranty of Dental Laboratory Services for the City of Toronto’s Public Health Division, for a period of one (1) year, with an option in favour of the City to extend the agreement on the same terms and conditions for three (3) additional one (1) year terms.

Prior to the renewal of the contract, PMMD will perform a market analysis to verify the current market conditions as compared to the proposed increase by the vendor and that the Stores Division will monitor vendor performance during the first term of the contract.

Should the option(s) be exercised, then the Director of Toronto Public Health Division will request the Chief Procurement Officer of Purchasing and Materials Management to process the renewals under the same terms and conditions.

Recommended Supplier:

Orthodent Ltd.

Contract Award Value:

$1,925,039 net of all applicable taxes and charges (including 5 percent for miscellaneous items)

$2,175,294 including HST and all applicable charges

$1,958,919 net of HST recoveries

Contract is expected to start on date of award and end on September 30, 2022.

Option Year 1 (October 1, 2022 to September 30th, 2023)

$1,982,790 net of all applicable taxes and charges (including 5 percent miscellaneous items)

$2,240,552 including all applicable taxes and charges

$2,017,687 net of HST recoveries

Option Year 2 (October 1, 2023 to September 30, 2024)      

$2,042,273 net of all applicable taxes and charges (including 5 percent miscellaneous items)

$2,307,769 including all applicable taxes and charges

$2,078,217 net of HST recoveries

Option Year 3 (October 1, 2024 to September 30, 2025)

$2,103,542 net of all applicable taxes and charges (including 5 percent miscellaneous items)

$2,377,002 including all applicable taxes and charges

$2,140,564 net of HST recoveries

The total potential contract award including all option years is $9,100,617 including all applicable taxes and charges and $8,053,644 net of all applicable taxes and charges. The total potential cost to the City including all options years for all awards is $8,195,387 net of HST Recoveries.

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

Solicitation Issued: June 15, 2021                     Solicitation Closed:  July 19, 2021

Number of Addenda Issued: Two (2)

Number of Bids:  1

Table 2: Summary of Bids Received for Ariba Doc Number 2961523796 including bid price