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HomeMy WebLinkAboutCOD-026-10REPORT CORPORATE SERVICES DEPARTMENT Meeting: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE Date: June 7, 2010 Resolution#: ~F~/9'3'1S-~~ By-law#: N/A Report: COD-026-10 File#: Subject: CO-OPERATIVE TENDER NO. T-280-2070 -SUPPLY AND DELIVERY OF SODIUM CHLORIDE Recommendations: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: THAT Report COD-026-10 be received; THAT The Canadian Salt Company Limited, Mississauga, Ontario, with a total bid price of $1,786,470.07 (net of H.S.T. rebate), for the Municipality of Clarington's requirements for sodium chloride for the next three years, being the lowest responsible bidder meeting all terms, conditions and spec cations of the Co-operative Tender T- 280-2010, be awarded the contract to supply approximately 27,300 tonnes of sodium chloride, as required by the Municipality of Clarington Operations Department; 3. THAT pending satisfactory pricing and service and approval by the Durham Purchasing Co-operative, the contract be extended for a fourth and fifth year; and 4. THAT the funds expended be drawn from the Operations Department Winter ControUSanding/Salting Miscellaneous Operating Supplies Account 100-36-383-10295- 7712. Submitted by: Reviewed by: -~"---tit arie Marano, H.B.Sc., C.M.O., ranklin Wu, Director of Corporate Services Chief Administrative Officer MMIJDB1bh CORPORATION OF THE MUNICIPALITY OF CLARINGTON 40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L1C 3A6 T 905-623-3379 REPORT NO.: COD-026-10 PAGE 2 1.0 BACKGROUND AND COMMENT 1.1 A tender for the Supply and Delivery Sodium Chloride was issued on a co-operative basis with the Municipality of Clarington, City of Oshawa, City of Pickering, City of Peterborough, City of Kawartha Lakes, County of Peterborough, Town of Ajax, Town of Whitby, Township of Scugog, Township of Uxbridge, Township of Havelock- Belmont-Methuen, Township of Duro-Dummer, Township of Smith-Ennismore, Township of Asphodel-Norwood, Township of Cavan-Millbrook-North Monaghan and the Region of Durham participating. The host agency for the tender call was the Region of Durham. 1.2 The tender was publicly advertised and called for bids for the Supply and Delivery Sodium Chloride as required by the co-operative agencies. Subsequently, tenders were received and tabulated as per Schedule "A" attached. 1.3 The contract resulting from this tender will cover the supply of sodium chloride on an as required basis for a three year term with the option to extend for two additional years. 2.0 ANALYSIS 2.1 Bids were received from The Canadian Salt Company Limited, Mississauga, Ontario, and Sifto Canada Corporation, Mississauga, Ontario. 2.2 The Canadian Salt Company Limited, Mississauga, Ontario was the low complaint bid for all Co-operative Group Members. 2.3 The low bid for the Municipality of Clarington is The Canadian Salt Company Limited, Mississauga, Ontario for the supply of sodium chloride. REPORT NO.: COD-026-10 PAGE 3 2.4 The Canadian Salt Company Limited, Mississauga, Ontario is the low bid for the delivery of sodium chloride; however the Region of Durham has noted that the contract for supply only should be awarded to The Canadian Salt Company Limited. 2.5 The Region of Durham has advised that the cost for supply and delivery directly from The Canadian Salt Company Limited's mine is cost prohibitive based on the co- operative tender results from T-279-2010 for the Delivery Sodium Chloride. Results from this tender will be released to the co-operative members once approval has been received the from the Region of Durham's legal department. 2.6 The Canadian SaR Company Limited, Mississauga, Ontario has previously pertormed satisfactorily for the Municipality of Clarington. 3.0 FINANCIAL 3.1 Funds required to complete the purchases of the required products are provided in the Operations Department various 2010, 2011 and 2012 operating accounts. 3.2 The three year contract based on the estimated usage of 9,100 tonnes annually is $1,786,470.07 (net of H.S.T. rebate) respectively, as per Schedule "A" attached. 3.3 The tendered unit prices excluding taxes from The Canadian Salt Company Limited, Mississauga, Ontario are as follows: Year 1 $62.49 per tonne; Year 2 $64.29 per tonne, Year 3 $66.14 per tonne, Year 4 $68.44 per tonne and Year 5 $70.44 per tonne. 3.4 The tendered unit price for 2010 from The Canadian Salt Company Limited, Mississauga, Ontario, reflects approximately a 2.8% increase over the 2009 unit price. 3.5 Queries with respect to the department needs, specifications, etc. should be referred to the Director of Operations. REPORT NO.: COD-026-10 PAGE 4 4.0 CONCLUSION 4.1 After review and analysis of the bids by Purchasing and Operations, it was mutually agreed that the bid from, The Canadian Salt Company Limited, Mississauga, Ontario be recommended for the contract for the supply of sodium chloride for a three year term. 5.0 INPUT FROM OTHER SOURCES 5.1 This report has been reviewed by the Purchasing Manager, with the appropriate department and circulated as follows: Concurrence: Director of Operations Attachments: Attachment 1 -Schedule "A", Bid Summary w t7 Q a 0 N 4 D O U O 2 O a W Q m 3 d s V R 3 ~_ m 0 T 0 N O N F- m a c H d w m a O 0 v }a o W-~ LC1 J c •~ C N N Ll) ~ f~ .- J WJ= t6 O U+= c v m ~pU o ~ o ~ ~ Wolf= x„7 C 0 M N O OD O UaO fl'V N EN9 ~ ~ U UO ~ W CL1 J ~. W C O vl d 00 O cD W ~ W. 0 ~ p o0 r CO ~ p ,~ O O a~ m N Sri ' r~ ~J W N O C ° CO ~ O CO ~ ~aov ~ vc. ~ M M a v ~ ~ ~ o ~ "' Q O W O 0 O ~ C O O J~ ~ ~y Q' ' C f6 O C ~ r ~ M ~ p0~ = = •~U C p o M c0 ~ rn M J cnav 3Y ~ ~ ~ O O .- 0. 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