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HomeMy WebLinkAboutCOD-063-04 Cl![-!lJglon REPORT CORPORATE SERVICES DEPARTMENT Meeting: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE Date: December 6, 2004 K-edC,fJli -5o:$-()'f By-law # Report #: COD-063-04 File#_ Subject: Tender No. T329-2004 Co-operative Tender for Stationery Supplies and Printer Toner Cartridges Recommendations: It is respectfully recommended that the General Purpose and Administration Committee recommend to Council the following: 1. THAT Report COD-063-04 be received; 2. THAT Lyreco Office Products, Scarborough, Ontario with a total bid in an approximate amount of $82,300.00 per year (plus GST and PST) for the Municipality of Clarington, being the lowest responsible bidder meeting all terms, conditions, and specifications for Parts A and B of Co-op Tender T329-2004, be awarded the contract to supply stationery and printer toner products for a THREE year term to expire December 31, 2007, as required by the Municipality of Clarington; 3. THAT staff be authorized to extend the contract for up to an additional two years pending satisfactory pricing, service and agreement by the Durham Purchasing Co- operative; and 4. THAT the funds be provided from the departmental operating accounts during the term of the agreement. Submitted by: ;' MM/LAB/ld ;:r- 1:: ,:) REPORT: COD-063-04 PAGE 2 BACKGROUND AND COMMENT Co-operative tenders were publicly advertised and invited for the suppiy and delivery of stationery and printer toner products as required by participating agencies (Region of Durham, City of Oshawa, City of Pickering, Town of Ajax, Town of Whitby, Township of Uxbridge, Township of Scugog, Durham Non-profit Housing) and the Municipality of Clarington for a period of three years with an option to extend for two additional years. Tenders were received and tabulated as per Schedule "A" attached. The bid amounts are a reflection of the usage of all participants for a one year period and do not reflect the total expense for the Municipality of Clarington. A review of Clarington's usage of stationery and toner products for a 12 month period indicates that stationery is valued at an estimated $52,300.00 while toner products are estimated to cost in excess of $30,000.00 before taxes. Upon review of the bids, it is the recommendation of the staff to proceed with an award to the low bidder for the combined Part A - Stationery Products and Part B - Printer Toner Products only. Due to warranty and maintenance issues, Clarington does not use recycled toner cartridges. The term of the agreement is three years with a right to extend for two years subject to satisfactory performance. There is also a provision within the agreement to deal with price adjustments due to inflation on a quarterly basis. The recommended bid represents an estimated reduction in cost of approximately 11% in the cost of similar toner products purchased in a previous 12 month period. The reduction in the cost of stationery products is expected to exceed 11 %. Although a separate award for Parts A and B would result in an estimated combined cost of $273,849.08 based on the bids submitted, this difference does not reflect the potential cost reduction to Clarington. It is estimated that Clarington's cost reduction potential by splitting the award is approximately $2,000.00. To access this reduction the trade off is the administration of two agreements which involves the processing cost of extra invoice/cheques and the adoption of two different methods of ordering. Combining the two components, stationery and toner under the one agreement will reduce administration costs and avoid confusion when ordering products. It is this option that the Co-operative participants are recommending to their respective Councils. l~uo . , REPORT: COD-063-04 PAGE 3 The required funds to cover stationery and toner supplies during the term of the agreement are provided in the various departmental operating accounts The subject firm has previously provided satisfactory service for the Municipality of Clarington. 1_". 'f4j t.. ~:~ ~ CORPORATION OF THE MUNICIPALITY OF ClARINGTON 40 TEMPERANCE STREET, BOWMANVlllE, ONTARIO l 1C 3A6 T(905)623-3379 F (905)623-4169 ~ , I ~ Cl!JJ:.-ilJgron Municipality of Clarington SCHEDULE "A" BID SUMMARY CO-OP TENDER #T329-2004 - Supply and Delivery of Stationery and Printer Toner Products Lyreco Office Products $69,433.78 $218,916.11 $137,351.44 Scarborou h Corporate Express $125,915.92 $221,119.01 $161,817.89 Mississau a Grand & Toy $169,164.25 $214,415.30 $135,639.50 Vau han .. Dye & Durham Co. Ltd. $193,474.74 $205,364.77 $131,464.90 Toronto ... ... Basic Office Products $228,011.78 $250,966.84 $220,683.90 OIA Davenport Office Inc. Waterloo, ON Ontario Data Supplies $419,986.28 $229,823.03 $93,160.76 .. Inc. .. Pickerin Axidata $208,794.77 $154,114.32 .. .. Information $231,323.57 $100,839.54 Management Systems .. Newcastle LCS No Bid $242,914.00 $92,027.00 .. Laser Cartridge Services Inc. Pickerin .. Incomplete Bids "'Withdrawn li;;Jb