THAT $123,400 be transferred from Fund 208 – Pollution Control Reserve to Dept. ID 0174124 – Pump Station Operations to cover the amount of the contract.

Executive Summary:

N/A

Background:

The previous annual diesel engine maintenance contract for the St. Paul and Pontiac Pumping Stations’ diesel engines expired by the end of the year 2019. A new RFQ (Request for Quotation) was issued in April 2020 inviting qualified bidders to provide a three year preventative maintenance program for the diesel generators at the St. Paul and Pontiac Pumping Stations. There were no submissions received by the Purchasing Department for this RFQ and the Pollution Control Department was advised to proceed with a sole source acquisition.

Discussion:

Pollution Control invited MAN Energy Solutions Canada Ltd. (MAN) to submit a quotation to provide three year preventative maintenance services for the Ruston Diesel engines at the St Paul and Pontiac Pumping Stations. This company previously provided the services at these locations. The Contract ID #5961 was released to MAN with a total contract amount of $87,507.56, plus applicable taxes. The MAN quotation was based on the assumption that Pollution Control would provide temporary diesel generators on site during the duration of maintenance.

Pollution Control reviewed the quotations for temporary diesel generators from local suppliers and the possibility of connecting temporary diesel generators at the St Paul and Pontiac Pumping Stations. During this review, Pollution Control decided not to proceed with connecting temporary diesel generators to the pumping stations.

Pollution Control requested MAN Energy Solutions Canada Ltd. to revise their original quotation to minimize the period of maintenance to avoid using temporary diesel generators on-site. The revised quotation from MAN included brand new fuel injectors for both engines instead of servicing them in order to reduce the duration time of maintenance. The attached revised quotation ($78,938.48) replaces the original quoted price ($45,267.56) of the line item 1 in the existing Contract ID #5961, for a total contract value of $121,178.88, plus HST.

Risk Analysis:

There is a low risk if the onsite generator fails before executing the Revised Contract ID