Report to: Committee of the Whole Date of Meeting: December 19, 2006

SUBJECT: Town-wide Asphalt Maintenance Purchase Order Increase

PREPARED BY: Bob Nicholson, Manager, Business and Technical Services – Operations Department ext. # 4893

Joel Lustig, Director, Financial & Client Services ext. #4715

RECOMMENDATION:

THAT the report “Town-wide Asphalt Maintenance Purchase Order Increase” be received;

And that approval be granted for Blanket Purchase Order B6-25 to D. Crupi & Sons Ltd to be increased by $429,530.00.

And further that Staff have implemented improved procedures to better control asphalt purchase order increases.

FINANCIAL CONSIDERATIONS:

The recommended increase to blanket Purchase Order B6-25 has no impact on the overall capital and operating budgets. The increase will be achieved by allocating this purchase order to various departments as outlined below.
Funding for Proposed Increase to PO B6-25
Balance in Accounts listed at the far right	$7,955	050-6150-7201-005, 050-6150-7202-005, 050-6150-7194-005, 700-502-5304, 050-6150-6615-005, 050-6150-6808-005, and 050-6150-6818-005
Asphalt Resurfacing	$76,600	050-6150-7193-005
Cochrane Dr Sidewalk	$2,653	050-5350-6323-005
Parking Lot Overlay – Thornhill CC	$38,698	050-6150-6617-005
Waterworks – Roads Dept Services	$3,474	760-200-5401
Waterworks – Roads Dept Services	$1,192	760-215-5401
Library Facility Improvements	$4,660	056-6150-7017-005
Bayview Lane Basketball Resurfacing	$15,358	059-6150-7121-005
Paving Pathways & Facilities (2006)	$59,443	059-6150-7128-005
Blvd Repairs	$2,175	050-6150-6208-005
Secondary Road Works	$106,398	050-6150-7211-005
Replacement of Bishop’s Cross Bleachers	$2,162	059-6150-6705-005
Paving Pathways & Facilities (2005)	$5,286	059-6150-6713-005
Engineering Sidewalk Requests	$30,076	083-6150-7277-005
Asphalt Repairs	$73,400	700-502-5304
Total	$429,530

1. Purpose 2. Background 3. Discussion 4. Financial

5. Others (Environmental, Accessibility, Engage 21st, Affected Units) 6. Attachment(s)

PURPOSE:

The purpose of this report is to obtain Council approval to increase Blanket Purchase Order B6-25 for Town-wide Asphalt Maintenance.

BACKGROUND:

As is permitted through the Expenditure Control Policy, the Operations Department has allowed other departments to associate capital and operating expenditures to a Blanket Purchase Order initially established for Operations Department activities only.

Report To: Committee of the Whole Date of Meeting: December 19, 2006

2

OPTIONS/ DISCUSSION:

Various departments have benefited through having asphalt repair and maintenance activities coordinated by Operations Department staff at tendered contract rates with D. Crupi and Sons. Directing the additional requests through the Operations Department has eased the logistics and administrative burden associated with having multiple departments develop specifications, obtain quotations / tenders and coordinate like work. Ultimately, this approach results in cost avoidance and / or the ability to do more work.

Staff has implemented improved procedures to better control asphalt purchase order increases.

FINANCIAL TEMPLATE:

See Attached

ENVIRONMENTAL CONSIDERATIONS:

Not Applicable

ACCESSIBILITY CONSIDERATIONS:

Not Applicable

ENGAGE 21^ST CONSIDERATIONS:

Not Applicable

BUSINESS UNITS CONSULTED AND AFFECTED:

The Purchasing Division has been consulted and has provided guidance accordingly.

RECOMMENDED

BY: ________________________ ________________________

Peter Loukes, Jim Sales,

Director, Operations Commissioner, Community

& Fire Services

_________________________

Joel Lustig

Director, Financial & Client

Services

ATTACHMENTS:

“A” – Financial Template

Q:\Commission Share\Operations and Asset Management\Reports\2006\Operations\B6-25 Over Expenditure.doc