Item - 2024.BA90.4

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 (July 25, 2024) from the Chief Procurement Officer:

Solicitation Number:

Kinetic GPO Request for Standing Offers Number 23-15

Sourcing Project WS4583636647

Description:

For the non-exclusive supply and delivery of various manual and electric bikes, accessories, and services, on an as-and-when-required basis, for the City of Toronto from the date of award to March 31, 2027 with the option to renew the contract for an additional two (2) option terms of one (1) year.

Kinetic GPO is a cooperative purchasing organization established for Broader Public Sector and MASH (Municipalities, Academic Institutions, Schools, and Hospitals) entities across Canada, with the specific purpose of reducing procurement costs by leveraging the purchasing power of group buying and saving our members time by simplifying steps to procure. Kinetic GPO issued the Request for Standing Offers resulting in two (2) national contracts with Sweet Pete’s Bike Shop and Western Cycle for the procurement of Manual Bikes, Electric Bikes, Cargo Bikes, Performance Bikes, Bike Repair Services, and additional products, related services, and bike solutions for a period of three (3) years from April 1, 2024 to March 31, 2027 with the option to renew the contract for two (2) separate optional terms to March 31, 2029.

After reviewing this Kinetic GPO’s Request for Standing Offers 23-15, Fleet Services is requesting to piggyback on this Kinetic GPO Contract with the Sweet Pete’s Bike Shop.

Recommended Supplier:

Sweet Pete’s Bike Shop

Contract Award Value:

$1,829,853 net of all applicable taxes and charges

$2,067,734 including Harmonized Sales Tax and all applicable charges

$1,862,059 net of Harmonized Sales Tax recoveries

The contract is expected to start on the date of award and end on March 31, 2027

Option Year 1 – April 1, 2027 to March 31, 2028

$773,122 net of all applicable taxes and charges

$873,628 including Harmonized Sales Tax and all applicable charges

$786,729 net of Harmonized Sales Tax recoveries

Option Year 2 – April 1, 2028 to March 31, 2029

$881,106 net of all applicable taxes and charges

$995,650 including Harmonized Sales Tax and all applicable charges

$896,614 net of Harmonized Sales Tax recoveries

The total potential contract award including both option years is $3,937,013 including Harmonized Sales Tax and all applicable charges and $3,484,082 net of all applicable taxes and charges. The total potential cost to the City including both option years is $3,545,402 net of Harmonized Sales Tax recoveries.

The above cost calculations include a three percent 3 percent Consumer Price Index (CPI) cost adjustment applied to each term after the initial contract term.

Solicitation Issued: December 21, 2023          Solicitation Closed: February 16, 2024

Number of Addenda Issued: One (1)

Number of Bids: Four (4)