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HomeMy WebLinkAboutTR-42-93 THE CORPORATION OF THE TOWN OF NEWCASTLE REPORT Meeting: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE File# 15J$ Date: June 7, 1993 ides. # TR-42-93 By-Law# Report#: - File#: Subject: TENDER NW93-121 GRASS CUTTING AND TRIMMING Recommendations: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: 1 . THAT Report TR-42-93 be received; 2 . THAT Abba Property Maintenance, Pontypool,, Ontario, with a total bid in the amount of $49,332 .35 (negotiated reduction to $34,400. 00) , for Ward 1, and $43,019 . 35 (negotiated reduction to $34,400. 00) , for Ward 2, be awarded the three (3) year contract for grass cutting and trimming, as required by the Department of Community Services; 3 . THAT staff be authorized to negotiate a further reduction as a result of any delays extending beyond the anticipated five (5) week period (ie June 7th) before startup can begin; 4 . THAT Solina Park and Tyrone Park continue to be maintained by the respective boards for the duration of the contract; 5 . THAT the Community Services Staff provide the grass cutting and trimming for Ward 3; 6 . THAT in accordance with the 1993 budget submission, the Director of Community Services be authorized to hire the appropriate seasonal staff required to perform grass cutting and trimming in Ward 3; 7 . THAT the following list of Related Equipment (Page 204 Capital Budget) not be purchased: 2 - Riding Mowers, 14 - Line Trimmers and 1 - Double Axle Trailer; 8 . THAT the disposal of any surplus Community Services equipment be subject to a report to Council from the Director of Community Services prior to disposal; and 9 . THAT all of the above recommendations be approved, FORTHWITH. - ANAPEL� RECVILE "HIS IS E-EDQ4 RECYCLED PAPER Page - 2 - TR-42-93 TENDER NW93-12, GRASS CUTTING AND TRIMMING BACKGROUND AND COMMENT Subsequent to Council Resolution #GPA-120-93, a tender for grass cutting and trimming was publicly advertised and issued. As a result tender documents were sent to a total of forty (40) potential bidders . For the information of Council, a separate tender for Horticultural Services and a Weed and Feed Turf Program were also issued and will be addressed in a separate report. The scope of work specified in the grass cutting and trimming tender documents includes all parks, sports fields, and boulevards, to be scheduled at a minimum of an eight (8) day cycle or as directed. Also included are open spaces, water- courses and detention facilities which are to be scheduled at three (3) times per year. The contract is recommended for a three (3) year term, pending satisfactory service, therefore enabling the potential contractors sufficient time for amortizing any necessary equipment purchases . A contract of this nature also requires some consistency and dedication on the part of the contractor as much of the work is ongoing from year to year. The tender documents also specified that the contract may or may not be awarded whichever was in the best interest of the Town of Newcastle. Work that is not included is the pick up of litter prior to grass cutting, the spring and fall clean up of all sites, risk management program, playground equipment repairs and general park maintenance. Subsequently, bids were received and tabulated as per Schedule "A" attached. Note, the prices bid are as negotiated for the 1993 season. The prices for the second and third year may be subject to a maximum adjustment in accordance with any fluctuations in the consumer price index at November of the previous contract year. At the time of the tender closing, there were no bids submitted for Ward 3. The main reason provided by the bidders, was that they did not have a large enough cash flow to put up the required bid deposit for all three (3) wards, therefore they chose to bid the largest and easiest. For the information of Council, the standard bid deposit requested is approximately ten percent ( 10%) of the total bid amount. The two (2) low bidders were therefore contacted after the tender closing and invited to submit an informal price for Ward 3. Page - 3 - TR-42-93 TENDER NW93-12, GRASS CUTTING AND TRIMMING As outlined in that attached memo from the Parks and Cemetery Superintendent, marked Schedule "B" , the total cost for the Community Services to provide grass cutting and trimming compared to the price submitted by the low bidder, results in a potential estimated annual savings to the Municipality of $11,891. 65 for Ward 1 and $36,572 .65 for Ward 2 based on the original bid prices . With respect to Ward 3, the total bid price of $82 ,438. 00, from the low bidder is substantially higher than the estimated cost of $36,248.00 for the Town to provide the same service. As the contract period is now five (5) weeks into the 1993 season, (the contract period was from May 1, 1993 to October 15, 1993) a reduction in the total bid price for the 1993 season was negotiated. There may in fact be a further delay if the contractor experiences startup delays (ie employees, equipment, scheduling etc. ) . The agreed upon price is $34,400.00 for each of Ward 1 and Ward 2 (total of $68,800 .00 combined) , which allows for the five (5) week period that the contractor did not perform the required services and which also accommodates removal of Solina and Tyrone Parks from the Ward 1 contract. After further review and analysis of the bids by both the Director of Community Services and the Purchasing and Supply Agent, it was mutually agreed that as the bid from Abba Property Maintenance, Pontypool, Ontario, is substantially lower than the cost for the Community Services staff to provide the same service, that they be recommended for the contract award for Wards 1 and 2 only. As the total bid price for Ward 3 is substantially higher than the cost for the Community Services staff to provide the same service, it is recommended that it not be awarded at this time. It is therefore recommended that the Director of Community Services be authorized to expend funds to hire the necessary seasonal staff in accordance with the 1993 budget submission. It is further recommended that the Town of Newcastle not dispose of the existing Community Services equipment currently used for the grass cutting and trimming for Ward 1 and 2 . The Director of Community Services will report to Council prior to the disposal of the equipment. Due to the fact that the grass cutting program is required immediately a forthwith approval is requested. Although the subject firm have not previously performed for the Town of Newcastle, nor have they previously performed a contract of this size, they have provided satisfactory service of a similar nature for both the Durham Board of Education and the Regional Municipality of Durham. Page - 4 - TR-42-93 TENDER NW93-121 GRASS CUTTING AND TRIMMING Respectfully submitted, Recommended for presentation to the Committee, Ka--`e-Marano, H.B.Sc . ,AMCT. , Lawrence E. Kot e f, r,,T,r asurer. Chief Administ�at ve Officer. f 1 .P. Caruana, Oirector of Community Services. LAB/hjl Attachments 1 1 1 1 Schedule "A ��,d Summarlr Gauss C�tt�iRg & Tacf�►x.ng r1 BIDDER TOTAL BID-GRASS CUTTING TOTAL BID-BOULEVARDS WARD 1 WARD 2 WARD 3 WARD 1 WARD 2 WARD 3 Motor City Property Bid Rejected No Bid Maintenance Deposit Oshawa, Ontario Pro Garden Bid Rejected No Bid Landscaping Deposit Orono, Ontario Randy Lively Bid Rejected Restrictive Port Perry, Ontario or Conditional Statement GreenBelt Services No Bid No Bid No Bid $10,603.70 $16,852.50 $5,745.90 Orono, Ontario Abba Property $38,498.60 $34,539.60 No Bid $10,833.75 $8,479.75 No Bid * Maintenance Pontypool, Ontario Tom's Landscaping $42,671.60 $57,918.03 No Bid $10,956.80 $8,765.44 No Bid * Oshawa, Ontario B. J. Flint & Sons $85,353.90 No Bid No Bid $12,626.00 $8,988.00 No Bid Bowmanville, Ontario W.P.M. 1988 Ltd. No Bid $99,812.81 No Bid No Bid No Bid No Bid Brooklin, Ontario S. McPherson Lawn $107,511.46 $117,336.20 No Bid No Bid No Bid No Bid Courtice, Ontario Clintar $107,532.86 $139,121.40 No Bid No Bid No Bid No Bid Groundskeeping Whitby, Ontario * G.S.T. Corrected THE CORPORATION OF THE TOWN OF NEWCASTLE Memorandum CS93386 To: Lou Ann Birkett, Purchasing and Supply Agent From: James D. Cameron, Parks & Cemetery Superintendent Date: May 20, 19 9 3 Subject: TENDER NW93-12 GRASS CUTTING AND TRIMMING ------------------------------------------------------------------ Staff have calculated the Town's estimated cost to mow and trim approximately 314 acres of Town land. Our hourly rates for equipment is based upon Ministry of Transportation's fee schedule for equipment. In our estimation, approximately 75% of related staff labour is attributed specifically to grass cutting and trimming. In the case of Orono Park and the Cemeteries 60% of staff time has been estimated and used in our calculations. SUPERVISION: Lead Hand, 50% of his time for 6 months $41, 050 X 1/2 year X 50% = $10, 260 Proportion of Fringe Benefits = $ 1, 550 LABOUR (Temporary Employees) 6 staff x 40 hrs/wk. x 24 wks. = 5,760 hrs. 5, 760 hrs. x $12 . 52/hr. = $72 , 115 75% of $72 , 115 = $54, 090 $54, 090 LABOUR (Student Employees) 6 staff x 40 hrs/wk. x 16 wks. = 3 ,840 hrs. 3 , 840 hrs. x $8 . 94/hr. = $34, 329 75% of $34 , 329 = $25, 750 $25, 750 Orono Parks & Cemeteries 5 students x 40 hrs. /wk. x 16 wks. = 3 ,200 hrs. 3 , 200 hrs. x $8 . 94 = $28, 608 60% of $28, 608 = $17, 165 $17, 165 Related Benefits = $ 4, 075 $ 4, 075 SUB-TOTAL $112, 890 . . /2 I I 2 - SUB-TOTAL FORWARD $112,890 Equipment: a) 8 riding mowers plus specialty equipment used as needed ie. slope tractor, brush hog attachment, mott hammer knife attachment, 3 point hitch mower attachment and a John Deer tractor - 4,800 hrs. X $6. 50 per hr. =$30, 240 b) 12 push mowers - 4821 hrs. X $2 . 80 = $13 , 500 c) 10 grass trimmers - 4821 hrs. X $1.50 = $ 7, 230 d) 3 trucks (75% of their time = 2160 hrs) 2160 hrs. X $6, 60 per hr. _ $14, 260 e) 3 trailers (75% of their time = 2160 hr. ) 2160 hrs. X $1. 60 per hr. _ $ 3, 460 TOTAL $68, 690 $68, 690 PURCHASE OF SERVICES Kendal, Tyrone and Solina grass mowing = 5,000 TOTAL $186,580 The Community Services Department in considering contracting must also consider and add to the contractors bid the Town's cost to oversee and administer the contract calculated on the basis of 50% of the Lead Hand's time over 24 wks. ie. $41, 050 x 6 months x 50% and related fringe benefits = $11, 810 WARD 1 WARD 2 WARD 3 TOTAL 110 acres 143 acres 61 acres 314 acres COM. SERVICES DEPARTMENT $65, 362. 00 $84,970.00 $36,248.00 $186,580. 00 ABBA PROPERTY Bid $49, 332 . 35 $43, 019. 35 $80, 143 . 00 $172, 494. 70 Town's Administration $ 4, 137. 00 $ 5, 378. 00 $ 2, 295. 00 $ 11, 810. 00 TOTAL $53,469.35 $48,397.35 $82,438. 00 $184,304.70 Potential Savings $11,892. 65 $36,572 . 65 - 0 - $ 48,465.30 . . /3 3 - Recommendations It is our recommendation; 1) That Solina Park, Tyrone Park and Harvey Jackson Park in Kendal continue to be mown and trimmed. by their respective boards; 2) That Ward 1 and Ward 2 be awarded to Abba Property in the amounts of $49, 332 . 35 and $43 , 019. 35 respectively less their bid for Tyrone and Solina Parks and less any agreed adjustments for the 1993 season. 3) That the Community Services Department continue to provide grass mowing and trimming services to Ward 3; and 4) That the department retain its equipment until such time that the Director of Community Services prepares a report to Council reviewing the performance of the contractor. I trust this is adequate for your purposes. *JDC pc: Joseph P. Caruana, Director of Community Services i I 723 i