HomeMy WebLinkAboutTR-66-92 TOWN OF NEWCASTLE
'rS>;�, REPORT File # '
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Res.
By-Law #
NEETIN3: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE
DATE: July 6, 1992
REPORT #: Tg_66-99 FILE #:
SECT: TENDER NW92-11, ONE ( 1) ONLY 1992 CARGO VAN
RECOMMENDATIONS:
It is respectfully recommended that the General Purpose and
Administration Committee recommend to Council the following:
1. THAT Report TR-66-92 be received;
2 . THAT the contract awarded to Cowan Pontiac Buick Ltd. ,
Bowmanville, Ontario, for a total bid amount of
$17,619 . 15 (including all taxes) , to supply and deliver
one ( 1) only 1992 cargo van to the Town of Newcastle as
required by the Department of Public Works, be
cancelled;
3. THAT staff be authorized to re-tender for one ( 1) only
1993 cargo van;
4 . THAT any additional required funds be drawn from the
approved 1992 Public Works Department Capital Budget,
account #2900-00010-0000; and
5 . THAT Cowan Pontiac Buick Ltd. , Bowmanville, Ontario, be
disqualified from bidding on the 1993 Cargo Van.
BACKGROUND AND COMMENT:
On April 27, 1992, Council awarded Tender NW92-11 to Cowan
Pontiac Buick Ltd. , Bowmanville, Ontario, for the supply and
delivery of one ( 1) only 1992 cargo van as required by the
Department of Public Works.
Page - 2 -
TR-66-92
TENDER NW92-11, ONE ( 1) ONLY 1992 CARGO VAN
Subsequently, a purchase order was issued on May 5, 1992, which
was approximately three (3) weeks before the manufacturers'
cut-off date for ordering 1992 vehicles .
On June 10, 1992, staff were advised by Cowan Pontiac Buick Ltd. ,
that they were unable to supply the vehicle ordered due to a year
end model build out. They also advised that they would supply a
1993 vehicle, however, it would be subject to the 1993 price
increase. See attached letter from Cowan Pontiac Buick Ltd. ,
marked Schedule "A" .
As the bid was submitted and accepted in good faith in accordance
with the general terms and conditions of the tender and was not
subject to availability of the vehicle, legal action against
Cowan Pontiac Buick Ltd. is a possibility. However, it is
staff's opinion that the costs involved in taking such action
would likely exceed any additional costs that would be required
to purchase a 1993 vehicle.
It is therefore recommended that the original contract award to
Cowan Pontiac Buick be cancelled and that staff be authorized to
re-tender for a 1993 vehicle. The total allocated funds included
in the 1992 Public Works Capital Budget account #2900-00010-0000
are $21, 000 . 00 which should be adequate.
The Treasurer has reviewed the funding requirements and concurs
with the recommendation. Queries with respect to department
needs, specifications, etc. , should be referred to the Director
or Public Works .
As Cowan Pontiac Buick Ltd. have refused to supply either a 1992
or a 1993 vehicle at the tendered price, it is further
recommended that they be disqualified from bidding on the 1993
Cargo Van.
Respectfully submitted, Recommended for presentation
to the Committee,,_
oalllzv��
Marie Marano, H.B.Sc. , AMCT. , -Lawrence E. Kot eff,
Treasurer. Chief Administrtat ve Officer.
W.A. Evans, P.Eng. ,
Director of Public Works.
LAB/hjl
Attachment
SCHEDULE "A"
RiPOWAN
- • BUICK OZ ng 031ree1 a", (53,2v398, (53rnwmanvrlle, Ontario 9?1W 3�2
`�ele�lrone ( 16) 6233396 ( 16) 623776
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June 10, 1992 15 1992
TOWN OF NEWCASTLE
PURCHASING DEPARTMENT
Corporation of the Town of Newcastle
40 Temperance St . ,
Bowmanville, Ontario
LIC 3A6
Attention: L. A. Birkett
Dear LouAnn:
Please be advised as per our telephone conversation
of today that due to year end model build out , we are ��lbf9a.
unable to supply the 1992 GMC Van as per tender #NW92-11 . U �,,,
We would be pleased to order you a 199, model at
the tendered price , subject, of course, to the 1993
price increase.
i
urs truly,
MO/br urray 0' e�
Sales Ma ager
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YOUR DEALER
Pontiac 6�9uiok trucks