HomeMy WebLinkAboutOES 28-10
City o~ Report To
Council
PI KERI Report Number: OES 28-10
215 Date: September 13, 2010
From: Everett Buntsma
Director, Operations & Emergency Services
Subject: Tender for Supply & Delivery of One 41,000 LB.GVW Diesel Snow
Plow/Dump/Sander Truck
- Tender No. T-18-2010
- File: A-1440
Recommendation:
1. That Report OES 28-10 of the Director, Operations & Emergency Services
regarding the acquisition and delivery of a 41,000 LB. GVW Diesel Snow
Plow/Dump/Sander Truck be received;
2. That Tender No.T-18-2010, as submitted by Peterbilt Truck Centre Ontario for
the acquisition and delivery of a 41,000LB. GVW Diesel Snow
Plow/Dump/Sander Truck be allowed to be withdrawn;
3. That Tender No.T-18-2010, as submitted by Scarborough Truck Centre Inc. for
the acquisition and delivery of a 41,000 LB. GVW Diesel Snow
Plow/Dump/Sander Truck in the amount of $180,687.00 (HST extra) be
accepted
4. That the total gross purchase cost of $204,176.31 and a net purchase cost of
$183,867.10 be approved;
5. That Council authorize the Director, Corporate Services & Treasurer to finance
the project as follows;
(a) the sum of $180,000.00 be financed by the issue of debentures through the
Regional Municipality of Durham for a period not exceeding five (5) years, at
a rate to be determined;
(b) that the balance of $3,867.10 plus financing costs be funded from 2010
Current Funds;
(c) that the financing and repayment charges in the amount of approximately
$41,000 be included in the annual Current Budget for the City of Pickering
commencing in 2011 and continuing thereafter until the loan is repai
d,
Report OES 28-10 September 13, 20' 1 6
Subject: Supply & Delivery of 41,000 LB. GVW Diesel Snow Plow/Dump/Sander Truckle
Tender No. T-18-2010 Page 2
(d) that the Director, Corporate Services and Treasurer has certified that this
loan and the repayment thereof falls within the City's debt and financial
obligations approved annual repayment limit for debt and other financial
obligations for 2010 as established by the Province for municipalities in
Ontario;
(e) that the Treasurer be authorized to undertake the financing of this project or
portions thereof that cannot be accommodated through the foregoing through
internal loans, the Ontario Strategic Infrastructure Financing Authority
(OSIFA) - Loan Program or a financial institution offering long term financing
under similar terms and conditions;
(f) that the Treasurer be authorized to make any changes, adjustments, and
revisions to amounts, terms, conditions or take any actions necessary in
order to effect the foregoing; and
5. That the draft by-law attached to this report be enacted;
6. That the appropriate City of Pickering Officials be authorized to take necessary
action to give effect thereto;
Executive Summary: The City of Pickering currently utilizes a fleet comprised of
nine (9) 4-ton dump trucks and three (3) 5-ton dump trucks to perform a wide range of
road maintenance activities including winter control. A replacement for the oldest 4-ton
truck was approved in the 2010 Capital Budget. The tender for this project was
advertised on the City's website and (3) three vendors responded.
Upon review, the vehicle that meets the City's requirements and specifications is being
recommended.
Financial Implications:
1. Approved Source of Funds
2010 Roads-Capital Budget
Item Account Code Source of Funds Budget Required
4 Ton Dump Truck with 5320.1005.6158 Debt 5 years $190,000 $180,00
Wing and Plow
Property Taxes 3,867
Total Approved $190,000 $183,86
Funds
CORP0227-07/01 revised
217 .
Report OES 28-10 September 13, 2010
Subject: Supply & Delivery of 41,000 LB. GVW Diesel Snow Plow/Dump/Sander Truck
Tender No. T-18-2010 Page 3
2. Estimated Project Costing Summa
Tender No. T-18-2010 41,000 LB. GVW $180,687.00
Diesel Snow Plow/Dump/Sander Truck
HST $23,489.31
Total Gross Purchase Cost $204,176.31
HST Rebate ($20,309.21)
Total Net Purchase Cost $183,867.10
3. Project Cost under (over) approved funds by $6,132.90
The Director, Corporate Services & Treasurer has reviewed the budgetary implications
and the financing of the expenditure contained in this report and concurs.
Sustainability Implications: The engine powering this equipment meets the
Environmental Protection Agency's Tier IIII emission standard. This will significantly
reduce the amount of harmful emissions created by the operation of the vehicle as well
as provide increased fuel economy. This purchase conforms to the environmental and
economic lens of sustainability.
Background: The purchase of a 4 Ton Dump Truck with Wing and Plow was
identified and approved by Council in the 2010 Roads Capital Budget. Supply &
Services posted the tender on the City's website. Three bidders responded and have
submitted a tender for this vehicle
After the tender opening, the low bidder - Peterbilt Truck Center Ontario requested that
their bid be withdrawn due to engineering issues (letters from Peterbilt Truck Center
Ontario are attached). Purchasing Procedure PUR 010-001 - 10.04 Item 23 states:
Withdrawal of bids received after the closing time will not be allowed. Therefore,
Council approval is required to allow the withdrawal of this bid and the acceptance of
the bid that meets the City's specifications and requirements.
Upon careful examination of all tenders received it has been determined that the
second low bid submitted by Harper Truck Center Inc. does not meet the City's
specification and requirement for a "set forward axle". This configuration is
recommended by the Supervisor, Fleet Operations, for weight distribution and vehicle
handling, particularly with front mounted snowplows. Operations & Facilities Division
,therefore, recommends the acceptance of the bid meeting this specification submitted
by Scarborough Truck Inc. in the amount of $180,687.00 (HST extra) and that the total
CORP0227-07/01 revised
I
Report OES 28-10 September 13, 2010, 18
Subject: Supply & Delivery of 41,000 LB. GVW Diesel Snow Plow/Dump/Sander Truck
Tender No. T-18-2010 Page 4
net purchase cost of $183,867.10 be approved. This report has been prepared in
conjunction with the Manager, Supply & Services who concurs with the foregoing.
Attachments:
1. Memo from Supply & Services
2. Record of Tenders Opened and Checked
3. Being a by-law to authorize the acquisition and delivery of a 41,000 LB. GVW.
Diesel Snow Plow/Dump/Sander Truck in the City of Pickering and the issuance
of debentures therefor in the amount of $180,000
4. Letters from Peterbilt Truck Centre Ontario
Prepared By: Approved/Endorsed By:
A
``Grant S h Everett B ntsma
Supervisor, Fleet Operations Director,
Operations & Emergency Services
-T-
Vera Felgemacher Gillis Paterson
C.P.P., CPPO, CPPB, C.P.M., CMM III Director,
Manager, Supply & Services Corporate Services & Treasurer
GS:cr
Attachments
Copy: Chief Administrative Officer
CORP0227-07/01 revised
219
Report OES 28-10 September 13, 2010
Subject: Supply & Delivery of 41,000 LB. GVW Diesel Snow Plow/Dump/Sander Truck
Tender No. T-18-2010 Page 5
Recommended for dc~onsii ration
of Pickering City o T. Prevedel P.Eng ~Zoo
Chief Administrative Officer
CORP0227-07/01 revised
ATTACHMENT# L TOREPORT#~oc2g-/O
/ of /
220
PICKERING M
To: Everett Buntsma September 1, 2010
Director, Operations & Emergency Services
From: Vera A. Felgemacher
Manager, Supply & Services
Copy: Supervisor, Fleet Operations
Subject: Tender No. T-18-2010 - Tender for Supply& Delivery of One (1) 41,000 LB. GVW
Diesel Snow Plow/Dump/Sander Truck
Closing: Wednesday, August 18, 2010
Tenders have been received for the above project. An advertisement was placed on the City's
Website. Three (3) bidders responded and submitted a tender for this project.
After the tender opening, the low bidder - Peterbilt Truck Centre Ontario requested by letter:
due to engineering issues, 1 regret to. inform you that 1 must withdraw the tender submission for
T-18-2010. The issues are that the front PTO and Allison Transmission are not available. A
subsequent letter states: we cannot supply truck as specified due to radiator cooling issues in
conjunction with the FEPTO (front engine power take off) and the Allison Automatic
Transmission. The only way that l can supply this truck is without the. FEPTO and to equip it
with a manual transmission.
Purchasing Procedure PUR 010-001 - 10.04 Item 23 states: Withdrawal of bids received after
the closing time will not be allowed. Therefore, Council approval is required to allow the
withdrawal of this bid and the acceptance of the second low bid.
A copy of the Record of Tenders Opened and Checked used at the public tender opening is
attached. Tenders shall be irrevocable for 60 days after the official closing date and time.
Purchasing Procedure No. PUR 010-001, Item 10.03 (r) provides checking tendered unit
prices and extensions; unit prices shall govern and extensions will be corrected accordingly,
.
which has been done.
Copies of the tenders are attached for your review along with the summary of costs. Each line
item provides a space for the bidder to indicate a "Yes, No, Specify" to provide the City with
information and details to subjectively review each line item and the sum total of all specifications.
ATTACHMENT#, TOREPORT#-(L9E-t()
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ATTACHMENI"#
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OR f Ed or-/ 0
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The Corporation of the City of~ickering 222
By-law No.
Being a by-law to authorize the acquisition
and delivery of a 41,000 LB. GVW Diesel
Snow Plow/Dump/Sander Truck in the City
of Pickering and the issuance of debentures
therefor in the amount of $180,000.
Whereas Section 11 of the Municipal Act, 2001, as amended, provides that a lower-tier
municipality may pass by-laws respecting matters within the spheres of jurisdiction
described in that Section; and,
Whereas Subsection 401(1) of the Municipal Act, 2001, as amended, provides that a
municipality may incur a debt for municipal purposes, whether by borrowing money or in
any other way; and,
Whereas Subsection 401(3) of the Municipal Act, 2001, as amended, provides that a
lower-tier municipality in a regional municipality does not have the power to issue
debentures; and,
Whereas The Regional Municipality of Durham has the sole authority to issue
i debentures for the purposes of its lower-tier municipalities including The Corporation of
the City of Pickering (the "City"); and,
Whereas the Council of the City wishes to proceed with the acquisition and delivery of a
41,000 LB. GVW Diesel Snow Plow/Dump/Sander Truck; and,
Whereas before the Council of the City authorized the acquisition and delivery of a
41,000 LB. GVW Diesel Snow Plow/Dump/Sander Truck, the Council of the City had the
Treasurer update the City's Annual Repayment Limit, the Treasurer calculated the
estimated annual amount payable in respect of such project and determined that such
annual amount would not cause the City to exceed the updated limit and, therefore,
Ontario Municipal Board approval was not required prior to City Council's authorization
as per Section 401 of the Municipal Act, 2001, as amended, and the regulations made
thereunder;
And whereas after determining that Ontario Municipal Board approval is not required,
the Council of the City approved Report OES 28-10 on the date hereof and awarded
Tender T-18-2010 for the acquisition and delivery of a 41,000 LB. GVW Diesel Snow
Plow/Dump/Sander Truck.
ATTACHIIElv`I-4_2 C) REPORT;;! o?tf '/0
By-law No. Page 2
223
Now therefore the Council of The Corporation of the City of Pickering hereby enacts as
follows:
1. That the City proceed with the acquisition and delivery of a "41,000 LB. GVW Diesel
Snow Plow/Dump/Sander Truck";
2. That the estimated costs of the acquisition and delivery of a 41,000 LB. GVW Diesel
Snow Plow/Dump/Sander Truck in the amount of $183,867.10 be financed as
follows:
a) That the sum of $180,000 be financed by the issue of debentures by The
Regional Municipality of Durham over a period not to exceed five (5) years;
b) That the sum of $3,867.10 be funded from Current Funds;
3. That the funds to repay the principal and interest of the debentures be provided for
in the annual Current Budget for the City commencing in 2011 and continuing.
thereafter until the loan is repaid.
By-law read a first, second and third time and finally passed this 13 day of September,
2010.
David Ryan, Mayor
Debbie Shields, City Clerk
i
ATTACHMENT# TO REPORT# O -029- '/0
of
224
-ruc~< Centre
Vera A.Felgemacher
MCanager, Supply and Services
City of Pickering
Due to truck engineering issues 1 regret to inform you that I
must withdraw my tender submission for Tender T-18-2010.
We cannot supply truck as specified due to radiator cooling
issues In conju n.0ion with the FEPTO (front engine power take
off)and the Allison Automatic Transmission. The only way that.
I can supply this truck'is without the FEP'TO and to equip it
with a manual transmission.
Also on page S-.6, the 5th paragraph down, I substituted the air
dryer. As highlighted on page 5-I it clearly states that ""Where
brand names:and. models are specified as "no substitution",
alternatives will not be considered.
I am sorry for any inconvenience this m.ay have caused.
Dale Drinkwater
Territory Sales Manager
Peterbi[t Ontario Truck Centres
519-40'4-795:6
1ATTAC!- MEN-F# 4 0 EPORT#
225 - of
;fT.
t f rte`
~r~lt CEr~~rn. r.
Vera A.Felgemache.r
manager, Supply find Services
City of Pickering
Due to truck engineering issues I regret to inform you that I
must withdraw my tender submission for Tender T-18-2010.
The issues are that the front PTQ and Allison Transmission are
not available. Also on page S-6 the 5th paragraph down, I
substituted the airdryer. As highlighted on page S-I it: states
that Alternatives will not be considered.
I am sorry for any inconvenience all of this has caused.
Dale Drinkwater
Territory Sales Manager
Peterbilt Ontario ..Truck Centres:
519-404-7956
{
ArTAGHME#~ 'C. REPORT #~LS S
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3
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226
'H C
Bob Kuzmaa
sensor Pull r6hasing Anna IySt
Corporate Depai°men%
Cjty of -P~ckker ing
Due to ,lruc-4 en.91neerIng. issues + hatt are began y contrc4 I
regret to lnT[Orm You- that H must: withdraw my tender
submission of T ender T-18-2020,
I :pope to particloate in future tenders that the Cotty o Ncker"in9
may have.
1
Dane Ear ac2k:,v ater
' 'er€ itwiy Sages ManaDer
Pe-ZerbUt Ontario Truck Centres
240 nAversaa Rd.
Wccdst=k, GIN AS 7 S
-x'•04-795 6
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