HomeMy WebLinkAboutTR-100-84 4
CORPORATION OF THE TOWN OF NEWCASTLE
TREASURY DEPARTMENT K. CAMPBELL, C.A.,TREASURER
40 TEMPERANCE STREET TEL.(416) 623-3379
BOWMANVILLE, ONTARIO
L1 C 3A6
REPORT TO GENERAL PURPOSE AND ADMINISTRATION COMMITTEE MEETING
HELD DECEMBER 3, 1984
TR - 100 - 84
SUBJECT: TENDER T84-21 , COLLECTION OF HOUSEHOLD AND COMMERCIAL REFUSE
RECOMMENDATION:
It is respectfully recommended :
1 . that this report be received; and
2. that Regional Reclaimers , Newcastle, Ontario with a bid of
$4,769.76 per month being the lowest responsible bidder meeting
all terms, conditions, and specifications of Tender T84-21 be
awarded the contract to provide garbage collection services as
required by the Town of Newcastle; and
3. that the funds expended be drawn from the 1985 Public Works
budget.
BACKGROUND AND COMMENT
Tenders were publicly advertised and called for the Collection of
Household and Commercial Refuse for the former Village of Orono, Orono Estates,
and former Village of Newcastle as required by the Department of Public Works.
Tenders were received and tabulated as follows :
BIDDER BID AMOUNT
Regional Reclaimers $4,769.76 per month
NEWCASTLE , Ont.
Phil Groeneveld & Sons $5 ,055.00 per month
BOWMANVILLE , Ont.
Browning-Ferris Industries Ltd . $5 ,329.50 per month
BOWMANVILLE, Ont.
Page - 2
During the past two years Regional Reclaimers, have provided garbage
collection services at a rate of $2,764.92 per month. The tendered rate for
1985 from Regional Reclaimers reflects a 72% increase, over 1983/84.
An estimate of the 1985 mill rate which would result from the approval
of this contract is shown below. The calculation is based on the 1984 assessment
information which may be lower than the 1985 assessment for taxation.
Garbage Collection Area Mill Rate
1985 Estimate 1984 Actual
Residential Commercial Residential Commercial
Orono 21 .395 25.170 12.070 14.200
Newcastle Village 12.838 15.103 7.582 8.920
Based on the average 1984 residential assessment for the Town of $2,900.00
the estimated taxes for this service would be $62.05 in 1985 versus $35.00 in 1984
for Orono residents; and $37.23 in 1985 versus $21 .99 in 1984 for Newcastle Village
residents. Based on the same average assessment the cost to the Bowmanville area
residents with municipal collection is $51 .31 per household per year for 1984.
The contract rates for refuse pick up and disposal for 1983 and 1984 left
no doubt as to the most economical alternative to municipal pick up in the area.
However in view of the large percentage increase in contract rates Committee may
wish to consider using municipal staff and equipment to perform the collection
service on an interim basis at least. It must be kept in mind, the age and
mechanical fitness of the refuse collection fleet which with increased work loads
may have to be considered for replacement earlier than presently scheduled. The
present fleet replacement schedules have already been extended to postpone expensive
fleet replacement costs while alternatives to municipal collection are fully
reviewed. In future the Committee may alsolwith increased residential development,
want to consider municipal garbage pick up and disposal for other urban areas
within the Town presently being serviced by private contractor.
Using Town 1984 equipment and labour rates adjusted by 5% to reflect
proposed 1985 rates and Regional landfill dumping charges of $15.50/tonne until
May 1985 and $16.75/tonne during the remainder of 1985, it is estimated that the
cost to perform the collection and disposal of refuse for the areas of Orono and
Newcastle Village would be $58,800.00 (refer to attached schedule A). Regional
Reclaimers bid of $4,769.76 per month is $57,237. 12 per year or $1 ,563.00 less than
the Public Works estimate.
Therefore it is respectfully recommended that the contract to provide
garbage collection service in the former Village of Orono, Orono Estates and the
former Village of Newcastle be awarded to Regional Reclaimers, Newcastle, Ontario.
Respectfully submitted,
Kath n A. CaMpbell , C.A. , B. Comm.
Treasure //
KAC:RGD:kr ` /
R. G. Dupuis, P. Eng.
Attachment Director of Public Works
i
SCHEDULE "A"
TOWN OF NEWCASTLE
DEPARTMENT OF PUBLIC WORKS
ESTIMATE FOR MUNICIPALLY OWNED AND OPERATED
GARBAGE COLLECTION AND DISPOSAL SERVICES
URBAN AREA OF ORONO, ORONO ESTATES, AND NEWCASTLE VILLAGE
EQUIPMENT RENTALS
1974 Ford 20 cu. yard Garbage packer 16 hrs. X $13.95 = $223.20
Total Equipment $223.20
LABOUR
Truck Driver 16 hrs. X $11 .06 = $176.96
Labourer 16 hrs. X $10.30 = 164.80
35%.Payroll:Burden.-. 119.62
Total Labour $461 .38
Total Labour & Equipment Cost/week $684.58
x52 weeks
Total Labour & Equipment Cost/year $35,598.1
Add 5% for 1985 increase = J372378_07
DISPOSAL COSTS
Jan. 1/85 to May 31/85 - 5 months X 110 tonnes/mo. X $15.50 = $ 8,525.00
June 1/85 to Dec. 31/85 - 7 months X 110 tonnes/mo. X $16.75 = 12,897.50
Total Estimated Landfill Disposal Fees = $21 ,422.50
GRAND TOTAL = 58 800.00