HomeMy WebLinkAboutCSD-007-11C~ar.~~;~oJ~ REPORT
COMMUNITY SERVICES DEPARTMENT
Meeting: GENERAL PURPOSE AND ADMINISTRATION
Date: May 9,.2011 Resolution#: aPA'35P~// By-law#: N/A
Report: CSD-007-11 File#: -
Subject: NEWCASTLE & DISTRICT RECREATION COMPLEX.- CONCESSION
OPERATION
RECOMMENDATIONS:
It is respectfully recommended that the General Purpose and Administration Committee
recommend to Council the#ollowing:
1. THAT Report CSD-007-11 be received;
2. THAT the requirement for formal competitive bidding in accordance with By-law
2010-112, Part 2 be waived for this initiative;
3. THAT Staff, in conjunction with the Purchasing Division, be authorized to
advertise for Expressions of Interest exclusively from Clarington based
community organizations to operate the concession at the Newcastle & District
Recreation Complex;
4. .THAT staff through the Purchasing Manager be authorized to negotiate an
agreement satisfactory to all parties; and .
~. THAT a report to Council be provided summarizing the results of the request for
the Express~~of Interest and providing a recommendation for the award of the
Submitted by:
~}' eph P. Caruana
irector, Community
Services
Reviewed by:
Franklin Wu,
Chief Administrative Officer
JPC/GA/wg
CORPORATION OF THE MUNICIPALITY OF CLARINGTON
40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L1C 3A6 T (905)623-3379 F (905)623-0830
REPORT NO.: CSD-007-11
PAGE 2
1.0 BACKGROUND
1.1 At the March 7, 2011 Council meeting, Resolution #GPA-153-11 was approved.
The resolution stated "THAT Community Services Staff prepare a report on
efforts to approach public and community partners to operate the canteen in the
Newcastle & District Recreation Centre".
1.2 On September 1, 2009 the municipally operated concession at the Newcastle &
District Recreation Complex was closed due to operating costs and poor
revenues. Although the sales projections were not achieved at the facility, there
remains some interest from patrons to have the concession re-opened.
2.0 COMMENTS
2.1 Based on the performance of the concession in the past, the potential to secure
an operator who will propose a market rental or lease rate is unlikely. However, it
is reasonable to assume the Municipality could recover any expenses (i.e. hydro,
heat and water) associated with the operation of the concession.
2.2 This facility could be best served with a community based organization that,
through the use of volunteers or other methods, is able to operate effectively and
cover their costs. The Manager of Purchasing has advised that a call for
Expression of Interest will provide an opportunity for those community
organizations to indicate their interest and demonstrate their ability to undertake
the project, without the formality of a Request for Proposal.
2.3 The Purchasing By-law speaks to formal competitive bidding processes for
securing proposals. However, the By-law also indicates that the Purchasing
Manager has the authority to use Expressions of Interest to determine what
goods and services are available, scope out business requirements, and/or
estimate costs, but does not stipulate an ability to issue an Expression of Interest
to a limited market (community groups) for the purpose of selecting a party or
parties with which to negotiate an agreement. As such, it is recommended that
the purchasing by-law be waived.
2.4 Based on the submissions, negotiations can take place with the selected
community organization to establish the terms and conditions of an agreement
acceptable to the Municipality.
2.5 Please note that although staff has recommended advertising for interest, the
department will also provide notice to each organization currently in file.
REPORT NO.: CSD-007-11
PAGE 3
3.0 INPUT FROM OTHER SOURCES
3.1 The Manager of Purchasing has been consulted during the preparation of this
report and upon approval will coordinate the Expression of Interest and the
agreement negotiation process.
CONCURRENCE: Director of Corporate Services