Award of Request for Quotation Number 0901-18-0276 to Advantage Fitness Sales Inc. for the Non-Exclusive Supply of Materials, Labour Supplies, Parts and Equipment Required for Fitness Equipment Preventative Maintenance and Repair

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The decision

2019-03-13 · Bid Award Panel · adopted

As filed

The Bid Award Panel adopted the following: 1. Bid Award Panel grant authority to award the contract in accordance with the Contract Details set out in the report (March 6, 2019) from the Chief Purchasing Officer: Call Number: Request for Quotation 0901-18-0276 Description: For the for the non-exclusive supply of materials, labour supplies, parts and equipment required for the Fitness Equipment Preventative Maintenance and Repair; delivery, installation, warranty of High Commercial Fitness Equipment and removal/disposal of existing fitness equipment from the date of award to February 29, 2020; with the option to renew the Contract for additional four (4) additional separate one (1) year periods at the sole discretion of the City and subject to budget approval(s).

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Prior to the renewal of the contract, Purchasing and Materials Management Division will perform a market analysis to verify the current market conditions as compared to the proposed increase by the vendor and that the Stores Division will monitor vendor performance during the first term of the contract. Should the option(s) be exercised, then the Manager, Materials Management and Stores will request the Chief Purchasing Officer to process the renewals under the same terms and conditions. Recommended Bidder: Advantage Fitness Sales Inc. Contract Award Value: $602,425 net of all applicable taxes and charges (including 25 percent for miscellaneous items) $680,740 including HST and all applicable charges $613,027 net of HST recoveries Contract is expected to start on date of award and end on February 29, 2020. Option Year 1 (March 1, 2020 to February 28, 2021) $620,497 net of all applicable taxes and charges (including 25 percent for misc. items) $701,162 including HST and all applicable charges $631,418 net of HST recoveries Option Year 2 (March 1, 2021 to February 28, 2022) $639,112 net of all applicable taxes and charges (including 25 percent for misc. items) $722,197 including HST and all applicable charges $650,361 net of HST recoveries Option Year 3 (March 1, 2022 to February 28, 2023) $658,286 net of all applicable taxes and charges (including 25 percent for misc. items) $743,863 including HST and all applicable charges $669,871 net of HST recoveries Option Year 4 (March 1, 2023 to February 28, 2024) $678,034 net of all applicable taxes and charges (including 25 percent for misc. items) $766,179 including HST and all applicable charges $689,967 net of HST recoveries The total potential award amount including all option years for contract award is $3,198,354 net of HST recoveries, $3,614,141 including all applicable taxes and charges and $3,198,354 net of all applicable taxes and charges. The above cost calculations for the Option Years reflect an estimated 3 percent increase in the Consumer Price Index.

On the agenda

As the city filed it

Call Issued: November 28, 2018 Call Closed: January 3, 2019 Number of Addenda Issued: Four (4) Number of Bids: Three (3) Table 2: Summary of Bids Received for Request for Quotation Number 0901-18-0276 including bid price Bidder Name Base Bid Price (including 25 percent miscellaneous and H.S.T.) Advantage Fitness Sales Inc. $680,740 Stak Fitness $705,285 National Fitness Products of Canada Inc. $9,899,857

Staff recommended

The Chief Purchasing Officer recommends that the Bid Award Panel grant authority to award the following contract: Call Number: Request for Quotation Number 0901-18-0276 Description: For the for the non-exclusive supply of materials, labour supplies, parts and equipment required for the Fitness Equipment Preventative Maintenance and Repair; delivery, installation, warranty of High Commercial Fitness Equipment and removal/disposal of existing fitness equipment from the date of award to February 29, 2020; with the option to renew the Contract for additional four (4) additional separate one (1) year periods at the sole discretion of the City and subject to budget approval(s).

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Prior to the renewal of the contract, Purchasing and Materials Management Division (PMMD) will perform a market analysis to verify the current market conditions as compared to the proposed increase by the vendor and that the Stores Division will monitor vendor performance during the first term of the contract. Should the option(s) be exercised, then the Manager of Materials Management and Stores will request the Chief Purchasing Officer to process the renewals under the same terms and conditions Recommended Bidder: Advantage Fitness Sales Inc. Contract Award Value: $602,425 net of all applicable taxes and charges (including 25 percent for miscellaneous items) $680,740 including HST and all applicable charges $613,027 net of HST recoveries Contract is expected to start on date of award and end on February 29, 2020 Option Year 1 (March 1, 2020 to February 28, 2021) $620,497 net of all applicable taxes and charges (including 25 percent for misc. items) $701,162 including HST and all applicable charges $631,418 net of HST recoveries Option Year 2 (March 1, 2021 to February 28, 2022) $639,112 net of all applicable taxes and charges (including 25 percent for misc. items) $722,197 including HST and all applicable charges $650,361 net of HST recoveries Option Year 3 (March 1, 2022 to February 28, 2023) $658,286 net of all applicable taxes and charges (including 25 percent for misc. items) $743,863 including HST and all applicable charges $669,871 net of HST recoveries Option Year 4 (March 1, 2023 to February 28, 2024) $678,034 net of all applicable taxes and charges (including 25 percent for misc. items) $766,179 including HST and all applicable charges $689,967 net of HST recoveries The total potential award amount including all option years for contract award is $3,198,354 net of HST recoveries, $3,614,141 including all applicable taxes and charges and $3,198,354 net of all applicable taxes and charges. The above cost calculations for the Option Years reflect an estimated 3 percent increase in the Consumer Price Index.

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