All tenders rejected for contract

All tenders rejected for contract

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By Lyonel Doherty

Oliver Chronicle

The Town of Oliver plans to re-tender a contract after the bids were much higher than expected.

The tender involves using closed-circuit television to inspect sewer mains in town.

Staff noted the Town only has $86,000 in the budget to cover the project. But one bid came in at $156,800, while the other was $148,817.

Director of Operations Shawn Goodsell recommended that council reject both tenders and undertake a scope change and re-tender the project.

But Councillor Dave Mattes said the Town should keep the project as is without changes.

“If we re-scope it we’re basically saying, well, we’ll take less work for more money, and that’s not what we need; we need all of the work done.”

Mattes recommended rejecting the bids and re-introducing the project in the 2019 budget.

Councillor Larry Schwartzenberger said the report suggests the tenders came in high because the people who do this work are very busy and don’t need the business, so they “bid it up to a higher level.”

The motion was carried.

1 COMMENT

  1. I agree with Larry. I was an estimator for a large construction company and late in the season when we really did not need the work we bid high and maybe got a bonus job with lots of profit in it.
    Try putting out the tender first thing in the season when they are desperate for work.

    A

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