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Home My WebLink AboutTR-29-95 THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON REPORT GENERAL PURPOSE AND ADMINISTRATION COMMITTEE Meeting: File# _LL_1_L1._C_ L Date: MONDAY, MAY 1, 1995 Res. #LJLL_L� 5 C",i) r-) - to c'j (/5 Report#: TR-29-95 File#: By-Law#(,_ou�.) Subject: PROPOSED CHANGE TO PURCHASING BY-LAW #94-129 RE: CONSULTING AND PROFESSIONAL SERVICES Recommendations: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: 1 . THAT Report TR-29-95 be received for information and direction. BACKGROUND: An amendment to Purchasing By-law #94-129 to include consulting and professional services under the definition of goods (see Schedule "All attached) , is required in accordance with the following Council Resolution #C-281-95 : "THAT staff prepare a report and amendment to By-law 94-129, the Purchasing By-law, to include consulting and professional services under the definition of goods thereby necessitating a purchase requisition being forwarded to the Purchasing Agent on consulting and professional service valued over $100 . 11 With respect to this amendment, the implications of reducing the limits specified for the hiring of Consultants and Professional Services are as follows : 1 . will ensure all contracts are handled in a uniform manner; 2 . will provide more control in the awarding of contracts; 3 . administratively would involve significant time to prepare and process paper work; —cl, REPORT NO. : TR-29-95 PAGE 2 4 . staff complement in Purchasing is not sufficient to handle increased investigation, consulting, etc . , without significant delay in the awarding of contracts; 5 . staff in user departments would be unduly restricted from getting small jobs completed in a timely fashion; 6 . will require consulting jobs that are phased in to be quoted each time, i .e . Rotary Park etc . , may prove to be inefficient and costly as the original consultants will have history, background and knowledge of project; 7 . in many instances, specialization is required for certain jobs and going to the open market and accepting the low bid may mean that the Municipality may not get what it has asked for and in fact may become a training ground, i .e . computer services has specific requirements regarding familiarity with mainframe language and specialty programs etc. ; and 8 . By-law 94-129 provided for the first inclusion of consulting services and there has not been sufficient time to thoroughly evaluate the effectiveness of the change. Direction from Council is subsequently requested with the following three options being provided: Option A - Approve the attached amendment (Schedule "A" ) to the existing by-law which would reduce the limits to $100 . 00 . Option B - Leave the existing By-law as is . Option C - Approve the attached amendment (Schedule "B" ) to the existing By-law to reduce the limit value from $25, 000 . 00 to $20, 000 . 00, over which Council approval would be required which coincides with the current tendering procedures . While this would still prove to be somewhat restricting with respect to timing for both the user departments as well as Purchasing, it may address some of the current concerns . , 0 REPORT NO. : TR-29-95 PAGE 3 It may be that some of Council' s concern is not as much with the limit of tendering requirement, but with the extent of involvement of local businesses . The Purchasing Manager and Economic Development Officer in conjunction with the local Chamber of Commerce are attempting to address this issue to some extent by providing tender information sessions and a Reverse Trade Show which is planned for September 1995 . It is anticipated that local interest in local tenders may be heightened by initiatives such as this . i Respectfully submitted, Reviewed by, A/ ;,1 � " Mari Marano, H.BSc . ,AMCT. , W.H. Stockw 1, i Treasurer Chief Administrative Officer MM*LB*ld ATTACH. i i I i I -7 a6 SCHEDULE "A" By-law #94-129 Page 7, Section 5 . 13 - TO BE DELETED CURRENTLY READS : "Consulting and Professional Services - Where it is estimated that Consulting and Professional Services will cost less than Twenty- Five Thousand Dollars ($25, 000 . 00) and funds are provided as defined in the appropriate budget, the initiating Department may obtain the services . Where it is estimated that Consulting and Professional Services will cost more than Twenty-Five Thousand Dollars ($25, 000 . 00.) and funds are provided as defined in the appropriate budget, the Purchasing Agent shall obtain written proposals and in consultation with the Designated Official, submit a report to Committee and/or Council providing a list of bid amounts received with recommendations for award. The purchase of services in this situation will be subject to Committee and/or Council approval . All contracts for Consulting and Professional Services worth more than Twenty-Five Thousand Dollars ($25, 000 . 00) will be by a formal agreement signed by the Mayor and Clerk or a purchase order issued by the Purchasing Agent . " Page 1, definitions : Currently reads : "Goods - Shall mean all goods and services which include all supplies, material, equipment, general maintenance and services, construction and works contracts, leases, rentals and repairs of equipment . " Amended to read: "Goods - Shall mean all goods and services which include all supplies, material, equipment, general maintenance and services, construction and works contracts, leases, rental and repairs of equipment, and consulting and professional services . " i SCHEDULE "B" By-law $#94-129 Page 7, Section 5 . 13 Currently Reads : "Consulting and Professional Services - Where it is estimated that Consulting and Professional Services will cost less than Twenty- Five Thousand Dollars ($25, 000 . 00) and funds are provided as defined in the appropriate budget, the initiating Department may obtain the services . Where it is estimated that Consulting and Professional Services will cost more than Twenty-Five Thousand Dollars ($25, 000 . 00) and funds are provided as defined in the appropriate budget, the Purchasing Agent shall obtain written proposals and in consultation with the Designated Official, submit a report to Committee and/or Council providing a list of bid amounts received with recommendations for award. The purchase of services in this situation will be subject to Committee and/or Council approval . All contracts for Consulting and Professional Services worth more than Twenty-Five Thousand Dollars ($25, 000 . 00) will be by a formal agreement signed by the Mayor and Clerk or a purchase order issued by the Purchasing Agent . " Amended to Read: "Consulting and Professional Services - Where it is estimated that Consulting and Professional Services will cost less than Twenty Thousand Dollars ($20, 000 . 00) and funds are provided as defined in the appropriate budget, the initiating Department may obtain the services . Where it is estimated that Consulting and Professional Services will cost more than Twenty Thousand Dollars ($20, 000 . 00) and funds are provided as defined in the appropriate budget, the Purchasing Agent shall obtain written proposals and in consultation with the Designated Official, submit a report to Committee and/or Council providing a list of bid amounts received with recommendations for award. The purchase of services in this situation will be subject to Committee and/or Council approval . All contracts for Consulting and Professional Services worth more than Twenty Thousand Dollars ($20, 000 . 00) will be by a formal agreement signed by the Mayor and Clerk or a purchase order issued by the Purchasing Agent . " O I i