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HomeMy WebLinkAboutCOD-029-11 Clarington REPORT CORPORATE SERVICES DEPARTMENT Meeting: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE Date: September 12, 2011 Resolution#: 01'919-51P By-law#: N/A Report#: COD-029-11 File#: Subject: PURCHASE OF A PRE-BUILT PUMPER RECOMMENDATIONS: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: 1. THAT Report COD-029-11 be received; 2. THAT the Purchasing Manager be authorized to negotiate a purchase price from the three (3) fire truck manufacturers who responded to the Expression of Interest; 3. THAT a report to Council be provided summarizing the results of the negotiations and providing a recommendation for the purchase of the selected unit. Submitted by: Reviewed by: a ie Marano, H.B.Sc., C.M.O., Franklin Wu, Director of Corp?Wz Servic s Chief Administrative Officer Na_ ancy Tay r, B.B-.Af, 6.A., Director OT Finance/Treasurer MM\JDB\BH\km CORPORATION OF THE MUNICIPALITY OF CLARINGTON 40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L1C 3A6 T(905)623-3379 F (905)623-4169 REPORT NO.: COD-029-11 PAGE 2 1.0 BACKGROUND 1.1 Report COD-016-11 was approved by Council on May 17, 2011 Resolution #GPA-366-11. The report is attached as Schedule "A" for reference. 1.2. A request for Expression of Interest (EOI) was sent to nine (9) known fire truck manufacturers. Three (3) manufacturers responded to the EOI: Carl Thibault Emergency Vehicles, Darch Fire Incorporated and Fort Garry Fire Trucks. 1.3 Carl Thibault Emergency Vehicles submitted one option. Darch Fire Incorporated submitted two options and Fort Garry Fire Trucks submitted four options. Only one (1) unit was readily available as stock. None of the units proposed met the Fire Department's requirements. 2.0 ANALYSIS 2.1 The Fire & Emergency Services Department and Operations Department reviewed the technical specifications and proposed pricing received from the three fire truck manufacturers. 2.2 The Expression of Interest was drafted to allow for a driver's side pump panel or transverse pump panel as the Fire & Emergency Services Department was not sure whether the budget would allow for the transverse pump panel option. 2.3 After reviewing the bid submissions and pricing the Fire & Emergency Services Department determined that the transverse pump panel option is affordable. The transverse pump panel option offers the following benefits for staff— improved visibility, protection from the weather elements and quiet auditory environment. As well, the staff is familiar with the operation of a transverse pump panel as Pumper#1 and Pumper#4 both have this feature. REPORT NO.: COD-029-11 PAGE 3 2.4 Out of the bid submissions received only two (2) submissions offered the transverse pump panel option. These bid submissions were received from Fort Gary Fire Trucks. However, these options failed to meet two other requirements namely the larger cab and small engine. 2.5 The Fire & Emergency Services Department, Operations Department and Purchasing Division is requesting approval to contact the three (3) firms expressing an interest in this acquisition to initiate discussions leading to a negotiated price for a unit meeting the Fire Departments requirements. 2.6 Upon completion of the negotiations, a report to Council will be provided outlining the results of the process, the negotiations and requesting approval to proceed with an award. 2.7 For clarification, at the time this pumper was budgeted the timing for acquisition was tied to the proposed opening of the Newcastle Fire Hall. With the review of the Newcastle site currently underway and the expected date of opening extended by approximately one (1) year, we have time to engage vendors in discussions for a custom build pumper. 3.0 COMMENT 3.1 Given the circumstances the Purchasing Manager did not undertake further discussions with the responding manufacturers because to do so would be outside the authority provided by Resolution GPA-366-1; namely negotiation and purchase of a prebuilt unit or a unit that was in the advanced stages of construction. REPORT NO.: COD-029-11 PAGE 4 4.0 FINANCIAL 4.1 Fire and Emergency Services has made provision in the 2011 Emergency Services Fleet Budget, Account # 110-28-388-82812-7401 for the purchase of a new pumper and equipment at the estimated cost of $600,000.00, which is within the approved 2011 budget allocation. 5.0 CONCURRENCE 5.1 This report has been reviewed by the Purchasing Manager. The Director of Emergency & Fire Services and Director of Operations concur with the recommendations. 6.0 CONCLUSION 6.1 This report requests approval for the Purchasing Manager to negotiate a purchase price from the three (3) fire truck manufacturers who responded to the Expression of Interest. The results of the negotiations and recommendation for the purchase of the selected unit will be reported to Council for approval. CONFORMITY WITH STRATEGIC PLAN — Not Applicable Staff Contact: Not Applicable Attachments: Attachment 1 - Schedule "A" Report COD-016-11 List of interested parties to be advised of Council's decision: Not Applicable SCHEDULE "A" ® REPORT CORPORATE VICES DEPARTMENT Meeting: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE Date: May 9, 2011 Resolutiong: By-law#: N/A Report#: COD-016-11 File#: Subject: PURCHASE OF A PRE-BUILT PUMPER RECOMMENDATIONS: It is respectfully recommended that the-General Purpose and Administration Committee recommend to Council the following: 1. THAT Report COD-016-11 be received; 2. THAT the requirements of Section 2, Bid Policies of By-law 2010-112 be waived for this transaction; 3. THAT the Purchasing Manager be authorized to solicit Expressions of Interest from known fire truck manufacturers to determine the availability of a new 1250 GPM Pumper suitable for Clarington requirements; 4. THAT the Purchasing Manager be authorized to negotiate a purchase price for a selected unit; and 5. THAT a report to Council be provided summarizing the results of the Request for the Expressions-,of Interest and providing a recommendation for the purchase of the selected,unit. Submitted by: / Reviewed by: A� ` —� � - -arie Marano, H.B.Sc., C.M.O., Franklin Wu, Director of Corporate Services Chief Administrative Officer ) 06' 6� .Nancy Taylor, B.B.A., C.A., Director of Finance/Treasurer MM\JDB\BH\km CQRPORATION OF THE MUNICIPALITY OF CLARINGTON 40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L1 C 3A6 T(905)623-3379 F (905)623-4169- SCHEDULE "A" REPORT NO.: COD-016-11 PAGE 2 1.0 BACKGROUND AND COMMENT 1.1 Fire and Emergency Services has provided funding in their 2011 Capital Budget for a new pumper truck. 1.2 In the past, the methods used to acquire new fire trucks have included Public Tender, Request for Proposal, negotiation with a selected manufacturer and an Expression of Interest. The formal public process (RFT & RFP) for the acquisition of a new unit from date of bid solicitation to delivery of the completed unit can take upwards of twelve to eighteen months depending on the type of equipment required. This.is primarily because the unit is custom built and must be manufactured to meet the specifications set out in the tender. 1.3 -In 2008, the Municipality of Clarington set aside the normal competitive process and purchased a pre-built pumper using an Expression of Interest (EOl) with satisfactory results. As the EOI process was effective and provided the Fire Department with a pumper which met their requirements and expectations in a much shorter time period and within budget, it is recommended that the Purchasing By-law be waived and the use of an E01 process be authorized for acquisition of the new fire pumper. The EOI process allows for the vendors to focus on the availability of the unit as well as present the features offered on their stock or under construction pumper trucks.and indicate.an approximate cost. The EOI process is far less formal than the tendering and RFP process and avoids complexities and risks associated with the formal bidding process. 1.4 The 2008 acquisition was for the purchase of the pre-built unit. Typically, the prices for pre-built units are better than those offered for the production of a unit to our specifications simply because the pre-built unit is constructed using standard design and components to a standard and marketable specification. As the stock units are readily available and often sought after, they do not usually fit with a public Tender process . SCHEDULE "A" REPORT N.O.: COD-016-11 PAGE 3 where the evaluation of bids and the award process are lengthy. Dealers are reluctant to commit themselves on the availability of a stock unit when other buyers are interested in a quick purchase. The EOI process lends itself to a much faster decision process and a relatively short award period. 1.5 Staff recommend a request for Expressions of Interest from known manufacturers indicating the availability of pre-built units or those in an advanced state of construction conforming to basic criteria for a 1250 GPM Pumper with accessories and the approximate cost and details with respect to the specifications. Purchasing and Fire Staff will review the submissions, select the unit(s) providing the best combination of price and specification and proceed to negotiate a final delivered price for a unit with accessories. 1.6 Upon completion of the negotiations, a report to Council will be provided outlining the results of the process, the negotiations and requesting approval to proceed with an award. 1.7 If a unit acceptable to the Fire and Emergency Services Department cannot be located using the proposed expression of interest process; a formal tender process will be undertaken. 1.8 In 2008 when the EOI process was recommended authorization was also provided to amendment the Purchasing By-law to include the EOI process . should the,process-prove successful. In accordance with the approval through report#COD-018-08 (copy attached as Schedule `A'), the By-law will now be amended to include the updated provision for use of the EOI process. SCHEDULE "A" REPORT NO.: COD-016-11 PAGE 4 2.0 FINANCIAL 2.1 Fire and Emergency Services has made provision in the 2011 Emergency Services Fleet Budget, Account# 110-28-388-82812-7401 for the purchase of a new pumper at the estimated cost of$6.00,000.00. 3.0 INPUT FROM OTHER SOURCES 3.1 This report has been reviewed by the Purchasing Manager, with the appropriate department and circulated as follows: Concurrence: Director of Emergency & Fire Services Director of Operations