HomeMy WebLinkAboutCOD-004-14 Cladwmn REPORT
CORPORATE SERVICES DEPARTMENT
Meeting: GENERAL PURPOSE AND ADMINISTRATION COMMITTEE
Date: April 14, 2014 Resolution#: d,0,949,3-1(1 By-law#: N/A
Report#: COD-004-14 File#:
Subject: CO-OPERATIVE TENDER T257-2014, SUPPLY & DELIVERY OF
GASOLINE AND DIESEL FUEL
RECOMMENDATIONS:
It is respectfully recommended that the General Purpose and Administration Committee
recommend to Council the following:
1. THAT Report COD-004-14 be received;
2. THAT Suncor Energy Products Partnership, Mississauga, Ontario with an
approximate annual value of$454,818.97 (net of HST Rebate), being the lowest
responsible bidder meeting all terms, conditions, and specifications be awarded
the Municipality of Clarington requirements for Co-operative Tender T257-2014
Gasoline and Diesel Fuel for a three year term; and
3. THAT funding be provided from the current year's respective departments
Operating Fleet gets.
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Submitted by: Reviewed by:
'e Marano, H.B.Sc., C.M.O., Franklin Wu,
Director of Corporate Services Chief Administrative Officer
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CORPORATION OF THE MUNICIPALITY OF CLARINGTON
40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L1C 3A6 T(905)623-3379
REPORT NO.: COD-004-14 PAGE 2
1.0 BACKGROUND
1.1 A tender for the supply and delivery of Gasoline and Diesel Fuel was issued on a
Co-operative basis with the Municipality of Clarington, City of Oshawa, City of
Pickering, Town of Ajax, Town of Whitby, Township of Uxbridge, Durham
Regional Police, Lakeridge Health Corporation and the Region of Durham
participating. The host agency for the tender call was the Region of Durham.
1.2 The tender was publicly advertised and called for bids for the Supply and
Delivery of Gasoline and Diesel Fuel as required by the co-operative agencies for
a three year term.
2.0 ANALYSIS
2.1 A total of three (3) bids were received, the bid submission from Canada Clean
Fuels Incorporated, Etobicoke, Ontario did not bid on the Municipality of
Clarington's fuel requirements. The low compliant bid was received from Suncor
Energy Products Partnership, Mississauga, Ontario.
2.2 A summary of bids received for the Municipality of Clarington requirements is
attached and marked as Attachment 1. The tabulation lists the total bid amounts
for the contract and provides an estimated value of the contract based on
historical product consumption.
2.3 The recommendation is to award the contract to the low, complaint bidder Suncor
Energy Products Partnership, Mississauga, Ontario. Suncor Energy Products
Partnership has provided similar services to the Municipality of Clarington for a
number of years and the level of service has been satisfactory.
2.4 Price adjustments throughout the contract are made in accordance with the
formula supplied in the tender document which is based on daily rack pricing;
however the firm mark up price is fixed for the three year term.
3.0 COMMENTS
3.1 Queries with respect to the department needs, specifications, etc. should be
referred to the Director of Operations and Director of Emergency and Fire
Services.
REPORT NO.: COD-004-14 PAGE 3
4.0 FINANCIAL
4.1 There was a decrease in the firm mark up of unit price(s) which resulted in an
overall decrease of approximately 8.0% over 2013 fuel prices.
4.2 Due to the volatility of the petroleum market, pricing is based on the daily rack
pricing (i.e., price fluctuations daily as per the market conditions) and is subject to
a fixed mark up price.
4.3 Funding will be provided from the current year's respective departments
Operating Fleet Budgets.
5.0 CONCURRENCE
5.1 This report has been reviewed by the Purchasing Manager, with the appropriate
departments and circulated as follows:
Concurrence:
Director of Operations
Director of Emergency and Fire Services
6.0 CONCLUSION
6.1 After review and analysis of the bids by Purchasing, the Operations Department,
Emergency and Fire Services and the Durham Purchasing Co-operative, it is
recommended that Suncor Energy Products Partnership, Mississauga, Ontario
be awarded the contract.
CONFORMITY WITH STRATEGIC PLAN — Not Applicable
Staff Contact: Jerry Barber, Manager of Purchasing
Attachments: Attachment 1 - Bid Tabulation
Attachment #1
To Report COD - 004 -14
Bid Summary — Co- Tender T- 257 -2014
Co -Op Tender Supply & Delivery of Gas & Diesel
Municipality of Clarington's Estimated Annual Fuel Requirements
BIDDER
Estimated 1 Year
Estimated 1 Year
Estimated 3 Year
Contract
Contract Expenditure
Contract
Expenditure
(net of HST)
Expenditure
HST included
net of HST
Suncor Energy Products
Partnership
$505,056.44
$454,818.97
$1,364,456.91
Mississauga, ON
Bluewave Energy
Richmond Hill, ON
$506,130.39
$455,786.09
$1,367.358.27
Canada Clean Fuels Inc.
Etobicoke, ON
no bid
no bid
no bid