HomeMy WebLinkAboutOPS 20-23Report to Council
Report Number: OPS 20-23
Date: August 16, 2023
From: Brian Duffield
Director, Operations
Subject: Supply & Delivery of Two Sidewalk Plows with Attachments
- File: A-1440
Recommendation:
1. That Quotation No. RFQQ2022-13 submitted by York Region Equipment Centre in the
amount of $407,800.00 (HST excluded) be accepted;
2. That the total gross project cost of $460,814.00 (HST included), and the total net project
cost of $414,977.00 (net of HST rebate) be approved;
3. That Council authorize the Director, Finance & Treasurer to finance the total net project
cost of $414,977.00 as follows:
a. The sum of $175,000.00 to be funded from the Major Equipment Reserve as
approved in the 2022 Capital Budget be increased to $207,489.00;
b. The sum of $175,000.00 to be funded through a 5-year debenture, as approved in
the 2023 Capital Budget, be increased to $207,488.00 and the funding source to be
revised to the Rate Stabilization Reserve; and,
4. That the appropriate officials of the City of Pickering be authorized to take the necessary
actions as indicated in this report.
Executive Summary: The Public Works’ Division, within the Operations Department,
currently utilizes sidewalk plows for a variety of work tasks. Equipment #703 (2015) has met or
exceeded its scheduled replacement date. As reflected in the 2022 Capital Budget, unit #703
was approved for replacement. Additionally, one new sidewalk plow with attachments was
approved in the 2023 Capital Budget to service new routes added in northern Pickering.
On December 18, 2022, a Second Stage Quotation, RFQQ2022-13 through Canoe Procurement
Collaborative Agreement was advertised on the City’s bids&tenders portal. One company
responded by the closing date of January 12, 2023. The quotation from York Region Equipment
Centre complied with all of the technical requirements and received an acceptable score from the
Evaluation Committee.
In accordance with Purchasing Policy Item 06.11(c), where the compliant quotation or
tender meeting specifications and offering best value to the City is acceptable or where the
highest scoring proposal is recommended and the estimated total purchase price is over
$250,000.00, the Manager may approve the award, subject to the approval of the Director,
Treasurer, CAO, and Council.
OPS 20-23 August 16, 2023
Subject: Supply & Delivery of Two Sidewalk Plows with Attachments Page 2
Financial Implications:
1. Quotation Amount
Quotation No.RFQQ2022-13 $407,800.00
HST (13%) 53,014.00
Total Gross Quotation Cost $460,814.00
2. Estimated Project Costing
Quotation No.RFQQ2022-13 $407,800.00
Total Project Cost $407,800.00
HST (13%) 53,014.00
Total Gross Project Cost $460,814.00
HST Rebate (11.24%) (45,837.00)
Total Net Project Cost $414,977.00
3. Approved Source of Funds – Property Maintenance Capital Budget
Description Account
Code
Source of
Funds
Available
Budget
Required
Sidewalk Plow with
Attachments –
Replacement
C10305.2209 Major Equipment
Reserve
$175,000.00 $207,489.00
Sidewalk Plow with
Attachments – New
Sidewalk Plow with
Attachments – New
C10305.2305
C10305.2305
Debt – 5 Year
Rate Stabilization
Reserve
175,000.00
0.00
0.00
207,488.00
Total Funds $350,000.00 $414,977.00
Project Cost under (over) approved funds by ($64,977.00)
As reflected in “Box 3,” the financing strategy is being changed due to the current high interest
rate environment. The financial strategy being employed in 2023, is to try, where possible, to
avoid the use of new debt whether internal or external borrowing. Therefore, the funding
source is being changed to the Rate Stabilization Reserve and only Council can approve
transfers “to and from” reserves.
OPS 20-23 August 16, 2023
Subject: Supply & Delivery of Two Sidewalk Plows with Attachments Page 3
Discussion: As reflected in the 2022 Capital Budget and funded from the Major
Equipment Reserve, equipment #703 was approved for replacement. This equipment has met
or exceeded its scheduled replacement date, and is recommended for replacement by Fleet
Services. Additionally, one new sidewalk plow with attachments was approved in the 2023
Capital Budget to service new routes in northern Pickering.
On December 18, 2022, a Second Stage Quotation, RFQQ2022-13 through Canoe Procurement
Collaborative Agreement was advertised on the City’s bids&tenders portal. One company
responded by the closing date of January 12, 2023. The quotation from York Region Equipment
Centre complied with all of the tender technical requirements and received an acceptable score
from the Evaluation Committee.
Canoe Procurement Group is a collaborative agency which the City is a member of, and
therefore, meets the criteria of a Cooperative Purchase as per Section 13.01 of the Purchasing
Policy.
After careful review of the submission received, Operations’ staff recommend the acceptance
of Quotation No.RFQQ2022-13 submitted by York Region Equipment Centre, and that the total
net project cost of $414,977.00 (net of HST rebate) be approved.
Prepared By: Approved/Endorsed By:
Original Signed By: Original Signed By:
Matt Currer Stan Karwowski, MBA, CPA, CMA
Manager, Fleet Operations Director, Finance & Treasurer
Original Signed By: Original Signed By:
Brian Duffield Cathy Bazinet, CPPB, NIGP-CPP
Director, Operations Manager, Procurement
BD:nm
Recommended for the consideration
of Pickering City Council
Original Signed By:
Marisa Carpino, M.A.
Chief Administrative Officer