HomeMy WebLinkAboutCOD-063-04
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REPORT
CORPORATE SERVICES DEPARTMENT
Meeting:
GENERAL PURPOSE AND ADMINISTRATION COMMITTEE
Date: December 6, 2004
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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:
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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.
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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.
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CORPORATION OF THE MUNICIPALITY OF ClARINGTON
40 TEMPERANCE STREET, BOWMANVlllE, ONTARIO l 1C 3A6 T(905)623-3379 F (905)623-4169
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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
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