Item - 2023.BA43.2

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 (August 24, 2023) from the Chief Procurement Officer:

Solicitation Number:

Request for Quotation, Ariba Document Number 3867180767

Description:

For the non-exclusive supply of all labour, parts, materials, and equipment necessary to provide warranty and overflow non-warranty Original Equipment Manufacturer authorized parts and services on Original Equipment Manufacturer Medium-Duty and Heavy-duty vehicle brands Autocar, Freightliner, Hino, Volvo, Kenworth, and ElDorado National, on an as-and-when-required basis at their facility, for the City of Toronto’s Fleet Services Division, Toronto Fire Services and Toronto Paramedic Services, for a period of one (1) year from October 1, 2023 to September 30, 2024, with an option in favour of the City to extend the contract on the same terms and conditions for an additional term of up to four (4) separate one-(1) year periods.

Should the option year(s) be exercised, then the General Manager, Fleet Services Division will request the Chief Procurement Officer to process the renewals under the same terms and conditions.

Recommended Supplier:

Metro Freightliner Hamilton Inc. operating as Metro Truck Group (Lot 1: Autocar, Lot 2: Freightliner, and Lot 3: Hino)

Contract Award Value:

$627,887 net of all applicable taxes and charges (including 20 percent miscellaneous amount)

$709,512 including HST and all applicable charges

$638,938 net of HST recoveries

Contract is expected to start on October 1, 2023 and end on September 30, 2024.

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

$646,724 net of all applicable taxes and charges (including 20 percent miscellaneous amount)

$730,798 including HST and all applicable charges

$658,106 net of HST recoveries

Option Year 2 (October 1, 2025 to September 30, 2026)

$666,125 net of all applicable taxes and charges (including 20 percent miscellaneous amount)

$752,722 including HST and all applicable charges

$677,849 net of HST recoveries

Option Year 3 (October 1, 2026 to September 30, 2027)

$686,109 net of all applicable taxes and charges (including 20 percent miscellaneous amount)

$775,303 including HST and all applicable charges

$698,185 net of HST recoveries

Option Year 4 (October 1, 2027 to September 30, 2028)

$706,692 net of all applicable taxes and charges (including 20 percent miscellaneous amount)

$798,563 including HST and all applicable charges

$719,130 net of HST recoveries

The total potential contract award identified in this report including all option years is $3,766,898 including HST and all applicable charges, and $3,333,538 net of all applicable taxes and charges. The total potential cost to the City identified in this report including all option years is $3,392,208 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.

Mid-Ontario Diesel Ltd. operating as Mid-Ontario Truck Centre is to receive a contract award for Lot 4: Volvo of which they were the lowest Supplier meeting specifications, including all option years, in the total amount of $432,135 net of all applicable taxes and charges, all in accordance with the Purchasing By-Law 195-8, Toronto Municipal Code Chapter 195 Article 8.1 – Authority to award - Chief Procurement Officer.

Solicitation Issued: May 10, 2023                  Solicitation Closed: June 9, 2023

Number of Addenda Issued: None

Number of Bids: Five (5)

Table 5: Summary of Bids Received including Bid Price