Item - 2023.GG6.7

The General Government Committee:

1. In accordance with Section 195-8.5B of the City of Toronto Municipal Code Chapter 195 (Purchasing), amended blanket contracts 47022535 (Fleet Services), 47022552 (Facilities Management), 47022540 (Fire Services), 47022549 (Toronto Water), 47022547 (Parks, Forestry and Recreation), 47022541 (Economic Development and Culture), 47022542 (Shelter, Support and Housing Administration), and 47022796 (Solid Waste Management Services) with Canada Clean Fuels Inc. to:

a. Increase the blanket contract target values by $24,880,926 net of Harmonized Sales Tax recoveries ($27,629,173 including all taxes and charges, $24,450,596 net of Harmonized Sales Tax) for the full potential value of the contract, inclusive of all option renewal years. This will revise the blanket contract target values (total) from $116,745,505 to $141,626,431, net of Harmonized Sales Tax recoveries ($157,269,917 including all taxes and charges, $139,176,917 net of Harmonized Sales Tax).

This report seeks authority for the General Manager, Fleet Services Division, to amend and increase the values of blanket contracts 47022535 (Fleet Services), 47022552 (Facilities Management), 47022540 (Fire Services), 47022549 (Toronto Water), 47022547 (Parks, Forestry and Recreation), 47022541 (Economic Development and Culture), 47022542 (Shelter, Support and Housing Administration), and 47022796 (Solid Waste Management Services) for the supply, delivery, and off-loading of various fuels and services including bulk, mobile and emergency fuel.

This amendment will increase the blanket contract target values by $24,880,926, net of HST (Harmonized Sales Tax) recoveries, $27,629,173 including all taxes and charges, ($24,450,596 net of HST). This increase will revise the blanket contract target for all participating divisions from $116,745,505 to $141,626,431, net of Harmonized Sales Tax recoveries $157,269,917 including all taxes and charges, $139,176,917 net of Harmonized Sales Tax). The duration of these blanket contracts will remain unchanged and with the exercise of all optional term extensions, will terminate on December 31, 2026.

This amendment is necessary due to gas price inflation, alongside taxation modifications involving the introduction of a carbon tax and the discontinuation of Provincial Fuel Tax relief (PRT). These contracts are critical in the provision of essential public services, as the fleet of vehicles and equipment providing these services to the public are fueled through these contracts. In addition, these contracts provide for the fueling of emergency generators in City buildings in the event of a power failure or other emergency.