Loading...
HomeMy WebLinkAboutCOD-051-09 Staff Report 113 REPORT CORPORATE SERVICES DEPARTMENT Meeting: COUNCIL ~~ C-'-i,SQ.-Oj Date: July 13/ 2009 Report #: COD-051-09 File # By-law # Subject: Senior Snow Clearing Tender - Deferral of Service 2009-2010 Season Recommendations: It is respectfully recommended that Council approve the following: 1. THAT Report COO-051-09 be received; 2. THAT Council provide direction on the following options: A) THAT based on the potential for incomplete service for the Senior Snow Clearing Program due to tender bids for part of the municipality only, Council consider deferral of the program for the winter 2009-2010 season; THAT BJ. Flint, be advised that the tender for the 2009/2010 Senior Snow Clearing Program is cancelled; and THAT in light of the current economic climate resulting in budgetary restraints the 2010 budget deliberations considers the future of this non-core service provision for the 2010/2011 winter season. OR: B) THAT a re-tender for Section 3 Newcastle and surrounding area (including Newtonville, Tyrone, Kendal, Hampton etc.) be issued with the additional provisions made to secure the prices for section 1 & 2 as described in the report; and 3. THAT the low bidder, 0 & F Snow Removal, be advised that their bid for Senior Snow Removal program and other service programs, is rejected on the basis of unacceptable past service, until such time as there is proof that their service meets acceptable Municipal standards; /J REPORT NO.: COD-051-09 PAGE 2 ~ Marie Marano, H.B.Sc., eM.O., Director of Corporate Services Reviewed by: cJ~~ Franklin Wu, Chief Administrative Officer Submitted by: MM\gj CORPORATION OF THE MUNICIPAUTY OF CLARINGTON 40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO LlC 3A6 T (905)623-3379 F (905)623-4169 REPORT NO.: COD..oS1-09 PAGE 3 BACKGROUND 1.0 Tender - Senior Snow Clearing Program - 2009/2010 Winter The tender for the Senior Snow Clearing Program for windrows and sidewalks three year program covering 2009 to 2011 has just been received and reviewed. The tender was set to allow bidding on a three year term based on satisfactory service and pricing and it allowed bidding on all or part of the municipality so that the award could be made to one or multiple vendors. The Municipality was divided into three sections: Section 1 Courtice, Section 2 Bowmanville, and Section 3 Newcastle & Surrounding Areas. The total tender value is approximately $87,000 annually and it includes snow clearing for approximately 715 locations. The low bidder, D & F Snow Removal, bid on each of the three sections. This vendor's contract for by-law snow clearing was terminated through report COD- 23-09 due unsatisfactory service level. It is therefore not recommended for award of this contract. Although bid rejection for unsatisfactory past performance is permitted by the Purchasing By-law, it requested that Council confirm the rejection of the D & F bid. The second low bidder BJ.Flint, submitted a bid only on Section 1 Courtice, and Section 2 Bowmanville. The bid prices are secure for a period of 90 days from the tender opening on June 30, 2009. Although the senior snOW/Sidewalk clearing program is not a core municipal responsibility, awarding the contract for only part of the Municipality would not be recommended as it is inconsistent with the normal practice for delivery of services. The third bid was rejected as a non-compliant bid as it was submitted without accompanying bid deposit. The prices on the non-compliant bid were significantly higher than either of the other two bids. 2.0 The Options The options at this point are as follows: a) Re-tender for Section 3 Newcastle and surrounding area (including Newtonville, Tyrone, Kendal, Hampton etc.). It is not expected that B.J. Flint would bid on this tender since they chose not to bid on the first tender. The situation is complicated by the necessity to not award the Courtice & Bowmanville quotes in case there were no bids received on the second tender, and we would be bound by contract for service to only part of the Municipality. In addition by going out for the second tender, in order to hold the existing bid for Section 1 & 2, it would require asking B.J. Flint to hold their prices for another 60 to 90 REPORT NO.: COD-051..o9 PAGE 4 days to allow possible bids for section 3 to be considered at the same time, and either award all three sections, or cancel at that time if there are no bids received. If no bids are received, and B.J. Flint has in good faith heldtheir prices firm, canceHation at that late date could have prevented BJ. Flint to have secured other job opportunities. The tender is for a three year term and as such award would commit the service for the next three winters, to the 2011/2012 season. b) The potential budget impact resulting from the current economic climate may require adjustment to service levels, possibly even extending to certain employment impact. In view of the service being over and above the core service levels, and the lack of comprehensive response to the open and transparent bidding opportunity, it may be appropriate to consider deferral of the program until the service can be deliberated in the 2010 budget discussions. 3.0 Conclusion Council is requested to provide direction on option a) or b) as outlined above.