REPORT RAPPORT

DATE:	28 October, 2013
TO/DEST:	Executive Director, Ottawa Police Services Board
FROM/EXP:	Chief of Police, Ottawa Police Service
SUBJECT/OBJET:	REQUEST FOR CONTRACT EXTENSION – SUPPLY OF STANDARD TASK CHAIRS AND SEATING

RECOMMENDATIONS

That the Ottawa Police Services Board approve:

1. A 5 year extension (1 Jan 2013 to 31 Dec 2017) of the standing offer with Ottawa Business Interiors for the supply and maintenance of Herman Miller task chairs and other seating requirements.

2. A delegation of authority to the Chief of Police to purchase seating as required to support the implementation of facility projects to a maximum upset limit of $600,000 (excluding taxes).

BACKGROUND

On December 10 2007, the Ottawa Police Service Board (Board) approved the Award of Contract resulting from a competitive Request for Standing Offer (RFSO) for task chairs and seating. The contract period was five (5) years with an option to extend for a further five (5) years.

The Ottawa Police Service (OPS) entered into a Standing Offer agreement with Ottawa Business Interiors for the supply and maintenance of Herman Miller “Mirra” task chairs.  This Standing Offer agreement was initiated to support the ongoing implementation of the Ottawa Police Service Chair Replacement Program and Facility Strategic Plan.  This standing offer has been of substantial benefit to the Service as it has allowed for the provision of standardized and specialized seating as well as establishing a consistent pricing structure for the duration of the agreement.

The OPS provides a variety of seating options to members based on the type of duties performed as well as to meet the specific physical needs of individual members.  The Service currently has a seating inventory of approximately 1,800 chairs, which require ongoing maintenance and replacement.

Since 2007, the OPS has procured approximately 721 chairs as part of the normal replacement program under the RFSO. Special projects such as Huntmar and the Communications Centre Renovation Project were not included in this total. The contract extension will permit the OPS to continue to replace approximate 195 chairs per year. At the end of the contract extension in 2017, it is expected all chairs in use prior to 2007 will have been replaced. Chairs are supplied with an eleven year warranty for damage and defects not including normal wear and tear.

DISCUSSION

The “Mirra” chair has been deployed extensively within the OPS. Being that it is a 24/ 7 environment, the chairs are continually being occupied by Police Officers wearing duty belts that have the potential to damage the chairs as their firearms, handcuffs and asps often catch on the sides. It is proving to be a very comfortable yet robust chair that can stand up to the continual rugged use it endures. All “Mirra” chairs are still under warranty but there have been very few issues. The chair is easily cleaned and maintained. Ottawa Business Interiors has provided very good service in delivery and installations.

The OPS contacted City Supply Management and requested that they advise Ottawa Business Interiors of the OPS’s interest to exercise its option to extend the RFSO for 5 additional years (1 Jan 2013 – 31 Dec 2017).  City Supply Management was able to negotiate a fair pricing schedule for the purchase of OPS task seating over the next five years. 

Original Contract           $567.53/unit (no price escalation over 5 year contract)

Delivery                          $  50.00 Flat + $7/unit

Extension Price             $615.00/unit (no price escalation over 5 year extension period)

Delivery                          $55.00 Flat + $8/unit

The increase in price of $47.47/unit of a Mirra chair is deemed fair as no price escalation has happened over the first five year term of the contract and there is no escalation over the extension period. The 10 year average cost increase is 0.84% per year.

CONSULTATION

Not applicable.

FINANCIAL STATEMENT

Funding in the amount of $120,000 for the procurement of OPS standard seating has been provided for in Budget 2013 “Accommodation and Alterations” account 907078.  Future budgets amounts will be identified annually within the “Accommodations and Alterations” capital projects budget. Total purchases under the RFSO five year extension period will not exceed $600,000. Funding for seating required for new facilities and leased facility refits will be identified within Board approved budgets for these projects.

This RFSO extension is for a period of five (5) years.  The OPS intends to procure seating from Ottawa Business Interiors during this period through its chair replacement program and to support seating requirements for new facility additions.  Purchasing will be done on an annual basis, from approved PSB budgets, using delegated authority as outlined in the OPS Financial Accountability Procedures manual.  There is no contractual obligation (minimum annual guarantee) to purchase in future years where budget has not been approved by the Board.

CONCLUSION

With the support of the City’s Supply Management Division, the OPS has a negotiated fair value contract for the next five years to support the OPS’ continuous need for office task chairs.  The Herman Miller “Mirra” chair supplied by Ottawa Business Interiors meets current requirements and provides the best comfort and ergonomic product available for OPS staff.

The OPS has been very satisfied with the quality and performance of the “Mirra” chair and with the service and support provided by Ottawa Business Interiors.

By approving this extension, the Board will help ensure the timely provision of seating as required to support the OPS’s existing chair inventory and in the implementation of projects within the Police Facilities Work Plan. 

(Original signed by)

Charles Bordeleau

Chief of Police

Responsible for Report:  Director General Debra Frazer