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RECOMMENDATION REPORT Private & Confidential Recommendation Report: RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO RECOMMENDATION REPORT Private & Confidential Supply and Delivery of Bitumen Title of Tender: Emulsion to NRJO Request for Quotation: RFQ EX-1308 Byron Shire Council Participating Councils Tweed Shire Council Kyogle Council Date of Report 23 August 2019 Recommendation Report: RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO 1 INTRODUCTION 1.1 Overview On 12 July 2019 Local Government Procurement (“LGP”) on behalf of Northern Rivers Joint Organisation (NRJO) issued via VendorPanel a Request for Quotation (RFQ) for the “Supply and Delivery of Bitumen Emulsion”. Participating Councils in this procurement process are Tweed Shire Council, Byron Shire Council, and Kyogle Council. The RFQ documents were published on Local Government Procurement VendorPanel web portal under LGP Panel Contract LGP213-2 Bitumen, Emulsion, Asphalt Materials + Services. All six Panel Contractors in the category of “Emulsion” were invited to submit their quotations via LGP VendorPanel web portal and they are: (i) Ashcroft Holdings Pty Ltd t/as Ashpave (ii) Bitupave LTD T/A Boral Asphalt (iii) Downer EDI Works Pty Ltd (iv) Fenworx P/L Trading as Newpave Asphalt (v) Fulton Hogan Industries Pty Ltd (vi) Stateline Asphalt Pty Ltd 1.2 Tender Closing & Opening of Submissions Initial tender closing date was 30 July 2019 but was extended for one more week and closed on 6 August 2019 at 2pm. Three (3) tender submissions were received from the following members of the panel of contractors for Emulsion: (i) Bitupave LTD T/A Boral Asphalt (ii) Downer EDI Works Pty Ltd (iii) Fulton Hogan Industries Pty Ltd Recommendation Report - RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO Page 2 of 14 Recommendation Report: RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO 1.3 Witnessing Tender Opening Opening of tender was witnessed by the following via GoToMeeting online platform: Name & Title Organisation Dominic Cavanough - Project Engineer Byron Shire Council Matt Sorenson - Assets and Design Coordinator Kyogle Council Evariste Ngenzi – Consultant Procurement Services Local Government Procurement Mark Osborne - Project Manager Local Government Procurement Recommendation Report - RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO Page 3 of 14 Recommendation Report: RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO 2 FACILITATION OF TENDER PROCESS 2.1 Role of Local Government Procurement 2.1.1 The scope of work assigned to Local Government Procurement (LGP) were: • Preparation of process documentation including Request for Quotation, Evaluation and Probity plan; • Manage conflict of interest and confidentiality documentation ; • Organise and facilitate planning meeting; • Prepare RACI (Responsible, Accountable, Consulted and Informed) Form; • Prepare draft Risk Management documentation; • Provide guidance on Evaluation criteria and weightings; • Provide support and briefing to evaluation team; • Co-ordinate RFQ release via LGP VendorPanel web portal; • Manage online question forum and addenda release; • Manage RFQ Opening; • Conduct Compliance assessment; • Chair RFQ Evaluation Committee and facilitate evaluation process; • Seek clarifications, conduct reference checks, co-ordinate financial reports; and • Prepare RFQ Evaluation & Recommendation Report. 2.2 Compliance Assessment 2.2.1 As per the Evaluation and Probity Plan, the following compliance criteria were assessed in the evaluation of tenders received: Compliance Sub Section Criteria Legal Business Name Trading Name Tenderer Details CAN ABN Registered Office Recommendation Report - RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO Page 4 of 14 Recommendation Report: RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO Principal Place of Business Completion & submission of all tender schedules: • Submission Form • Schedule of rates (excel format) • Schedule of Contract Information • Schedule of contractor’s relevant experience • Schedule of Environmental Performance • Schedule of local content information Compliance • Conformance to the Specification Requirements Valid certificates of currency for Insurances: • Certificate of Currency for Public Liability Insurance • Certificate of Currency for Product Liability Insurance • Certificate of Currency for Workers Compensation Cover • Commitment to maintain Insurance coverage, licenses and accreditations • Conformance with BNG Conserve requirements Schedule of rates Schedule of rates (Completed and submitted in Excel format) References Reference contacts provided 2.2.2 Initial compliance check was conducted by LGP to verify conformance of submissions to the immediate requirements of the RFQ as indicated in the above table. 2.2.3 All three (3) tenderers were assessed compliant with minor clarification on one tenderer regarding price item(s) 1.2, 2.2, 3.2 and 4.2 “transport and decanting of Emulsion from nominated supply point to nominated location” expressed in $/Km. The requirement was decided to be removed and consideration was placed on $/Litre instead. 2.3 Weighted Criteria Assessment 2.3.1 All three (3) tenderers were assessed against the qualitative (non-price) and quantitative (price) criteria. Specific criteria were weighted according to their Recommendation Report - RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO Page 5 of 14 Recommendation Report: RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO importance as specified in the Evaluation and Probity Plan and are shown in the table below: Criteria Weighting a) Evidence of satisfactory experience 30% b) Environmental Performance 15% c) Work Health & Safety (WHS) Requirements 15% e) Local Content – Resources & Labour 10% e) Pricing – value for money 30% Total 100% 2.3.2 The qualitative criteria (non-price) assessment was carried out by the evaluation panel independently scoring the responses according to the evaluation matrix. 2.3.3 The quantitative criteria (price) assessment was carried out using the following formula to determine the overall value for money: Price Score = (Lowest Tender Price x 100/Tender Price)/10. 2.3.4 Responses were scored based on the following scoring scale from 0 – 10 as shown in the table below: Definitive Answer Value Judgement 0 Unsatisfactory Fails to meet the requirement. Unimaginative/No apparent economic benefit. 2 Poor Minimal Compliance. Moderately creative/benefits difficult to assess. 4 Satisfactory Moderately satisfies the requirement. Worthwhile concept/may realise benefits. 6 Good Partially satisfies the requirement. Creative/enduring benefits over time. 8 Very Good Satisfies the majority of the requirement. Highly creative/enduring high benefits. 10 Excellent Exceeds the requirement. Exceptional/immediate & enduring high benefits. Recommendation Report - RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO Page 6 of 14 Recommendation Report: RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO 2.4 Evaluation of Weighted Criteria & Pricing 2.4.1 The qualitative assessment criteria included a series of questions that the tenderers provided responses to. The responses were evaluated based on the rating scale indicated above by the panel of evaluators made up of the following: Name Role & Organisation Evaluation Role Dominic Project Engineer Weighted Criteria & Pricing Cavanough Byron Shire Council Shaun Engineer – Assets & Maintenance Weighted Criteria & Pricing Halberstater Tweed Shire Council Kyle Armstrong Project Engineer Weighted Criteria & Pricing Kyogle Council Evariste Ngenzi Consultant Procurement Services Compliance Criteria & Local Government Procurement Calculation of price score 2.4.2 The qualitative assessment criteria included a series of questions that the tenderers provided responses to. The responses were evaluated based on the rating scale addressed in indicated above by each individual evaluator independently. 2.4.3 The scoring for the qualitative criteria were completed first before the calculated pricing scores were shared with each evaluator to be inputted into the scoring spreadsheet. 2.4.4 Price scores were calculated as is in the table below: Price Scoring Tweed Tweed Formula Average Tenderer Gray Buchanan Kyogle Byron Price Score = Price Name Street street ($/Lt) ($/Lt) (Lowest Tender ($/Lt) ($/Lt) ($/Lt) Price x 100/Tender Price)/10 BITUPAVE LTD $0.970 $0.980 $0.990 $0.980 $ 0.980 10.00 T/A BORAL DOWNER EDI $1.138 $1.145 $1.198 $1.198 $ 1.170 8.38 WORKS FULTON $1.160 $1.180 $1.180 $1.170 $ 1.173 8.36 HOGAN 2.4.5 After the pricing scores were obtained and included in the evaluation matrix, each evaluator came up with the scores and ranking of tenderers as in the individual evaluator score matrix below: Recommendation Report - RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO Page 7 of 14 Recommendation Report: RFQ EX-01308 Supply & Delivery of Bitumen Emulsion to NRJO EVALUATOR ONE: Scorecard for Rating Scale: 10 = Exceeds the requirement. Exceptional/immediate & enduring high benefits. RFQ EX-01308 - SUPPLY OF 8 = Satisfies the majority of the requirement. Highly creative/enduring high benefits. BITUMEN EMULSION TO NRJO 6 = Partially satisfies the requirement. Creative/enduring benefits over time. 4 = Moderately satisfies the requirement. Worthwhile concept/may realise benefits. 2 = Minimal Compliance. Moderately creative/benefits difficult to assess. 0 = Fails to meet the requirement. Unimaginative/No apparent economic benefit. Score out of 10 in Blue sections BITUPAVE
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