Item - 2023.BA14.2

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 (February 9, 2023) from the Chief Procurement Officer:

Solicitation Number:

Request for Quotation, Ariba Document Number 3532662443   

Description:

For the non-exclusive supply and delivery of Garbage Bags for the City of Toronto (Stores) from the date of award to December 31, 2023, with the option to renew the Contract for additional four (4) years period at the sole discretion of the City and subject to budget approval(s).  

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

Should the option(s) be exercised, then the Manager of Materials Management and Stores will request the Chief Procurement Officer to process the renewals under the same terms and conditions.   

Recommended Supplier:

Mister Chemical Ltd

Contract Award Value:

$1,327,695 net of all applicable taxes and charges (including 25 percent for miscellaneous)

$1,500,295 including HST and all applicable charges

$1,351,062 net of HST recoveries

Contract is expected to start on date of award and end on December 31, 2023   

Option Year 1 (January 1, 2024 to December 31, 2024)          

$1,367,525 net of all applicable taxes and charges (including 25 percent for miscellaneous)

$1,545,304 including HST and all applicable charges

$1,391,594 net of HST recoveries

Option Year 2 (January 1, 2025 to December 31, 2025)          

$1,408,551 net of all applicable taxes and charges (including 25 percent for miscellaneous)

$1,591,663 including HST and all applicable charges

$1,433,342 net of HST recoveries   

Option Year 3 (January 1, 2026 to December 31, 2026)          

$1,450,808 net of all applicable taxes and charges (including 25 percent for miscellaneous)

$1,639,413 including HST and all applicable charges

$1,476,342 net of HST recoveries

Option Year 4 (January 1, 2027 to December 31, 2027)          

$1,494,332 net of all applicable taxes and charges (including 25 percent for miscellaneous)

$1,688,595 including HST and all applicable charges

$1,520,632 net of HST recoveries

The total potential contract award including all option years is $7,965,269 including HST and all applicable charges and $7,048,911 net of all applicable taxes and charges.  The total potential cost to the City including all option years is $7,172,972 net of HST recoveries.

The above cost calculations reflect a 3 percent consumer price index adjustment applied annually to the yearly cost after the initial year term.

Solicitation Issued:  June 27, 2022                    Solicitation Closed:      July 12, 2022

Number of Addenda Issued:  One (1)   

Number of Bids:  Two (2)

Table 2: Summary of Bids Received including bid price

* Supplier was found non-compliant with mandatory requirements.