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Twenty-ninth Annual Report of the PURCHASING COMMISSION JANUARY 1 TO DECEMBER 31 1971 British Columbia. Legislative Assembly 1972

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 PROVINCE OF BRITISH COLUMBIA
Twenty-nmth Annual Report of the
PURCHASING COMMISSION
JANUARY 1 TO DECEMBER 31
1971
Printed by K. M. MacDonald, Printer to the Queen's Most Excellent Majesty
in right of the Province of British Columbia.
1972
 -
 Victoria, British Columbia, January 17, 1972.
To Colonel the Honourable John R. Nicholson, P.C., O.B.E., Q.C., LL.D.,
Lieutenant-Governor of the Province of British Columbia.
May it please Your Honour:
Herewith I beg respectfully to submit the Annual Report of the Purchasing
Commission of the Department of Finance for the period January 1, 1971, to
December 31, 1971.
W. A. C. BENNETT
Minister of Finance
 The Honourable W. A. C. Bennett,
Minister of Finance, Victoria, British Columbia.
Sir: We have the honour to submit the Twenty-ninth Annual Report of the
Purchasing Commission, covering the period January 1, 1971, to December 31,
1971.
R. G. McKEE
Chairman
A. E. WEBB
Member
L. J. WALLACE
Member
 Twenty-ninth Annual Report of the
Purchasing Commission
January 1 to December 31,1971
GENERAL
As stated in previous Annual Reports, the total purchases under the Act include
purchases made by the divisions of those departments with authority to purchase
delegated under section 10 of the Act. Records for these divisions are therefore
included in the table below.
Department and Division
Number of Purchase Orders
Total Value of P
urchase Orders
1970
1971
1970
1971
2,039
879
141
3,097
43,587
2,496
930
280
3,280
51,200
$
5,092,400
11,300
64,930
2,073,370
53,869,400
$
4,199,420
Provincial Secretary—
13,780
(6) Library Development Commission
(e)  Queen's Printer	
Finance—Purchasing Commission—For all  de-
72,510
2,542,510
61,996,200
49,743
58,186
61,111,400
68,824,420
From the above table it will be noted that the total number of purchase orders
issued in 1971 increased by 8,443, or 17 per cent, over the previous year, and the
total value was $7,713,000 more than last year. Similarly, the total value of the
purchase orders issued by the Commission staff increased over last year by $8,126,-
800, or 15 per cent. This is partly due to inflation but mainly to supplies for crews
involved in make-work programmes and other Government endeavours to stimulate
the Provincial economy, such as equipping another vocational school at Kamloops
in 1971. The 19.5-per-cent drop in the value of purchases in 1971 by the Curriculum Resources Branch is due to the lag in timing of orders because of delayed decisions on certain revised textbooks which are now on order.
As usual, the value of emergency purchase orders is included, but the number
of them, 25,780, is not, as their total value is less than 5 per cent of the total for
purchase orders in 1971. The details of emergency purchase orders are explained
in chapter 3 of the Purchasing Manual.
Again, to illustrate the value of bulk buying, three examples are cited—
(1) The wholesale purchase of trucks—A public viewing of tenders on 156
trucks was held in Vancouver in June and again in October 1971 for an
additional 79 trucks. These ranged from one-half ton to 4 ton in size
and the total cost of these 235 units was $1,036,160.
(2) The tires and tubes required by the Department of Highways were again
summarized and quoted for each quarter of 1971. The yearly totals aggregated 7,130 tires and 3,180 tubes, and the cost was $329,300.
 Q 6
BRITISH COLUMBIA
(3) The wholesale purchase of passenger-type vehicles—because the big three
manufacturers indicated that there would be no fleet-owner discount on
purchases of their equipment—the passenger-car needs of all departments
were accumulated for three separate wholesale quotes in January, April,
and October. They were further divided into three or four regions and the
local dealers of each region were quoted. As a result, a total of 316 passenger cars was purchased at a total cost of $912,780, or an average of
$2,890 per unit. The 185 trade-in units were auctioned off at four different
cities throughout the Province and netted $62,215, which was a higher
return than if they had been traded in. This recovery value of trade-ins
had the effect of reducing the average price paid for the 316 vehicles by
$197 per unit. As a comparison, the net wholesale price paid for 153
standard sedans this year was $2,774, whereas the few sedans purchased
in 1971 under the old system averaged $3,130 net.
STAFF
The staff consists of 63 full-time employees plus two trainee technicians paid
for by the Department of Education as reported last year. In addition, during 1971,
a stockman was approved for the Victoria shop of the Business Machines Service
Division.
As a measure of efficiency, we have nine purchasing agents buying goods worth
$62,000,000, or an average of $6,900,000 each, which is a most creditable showing
exceeded by few other purchasing agents in British Columbia.
BUSINESS MACHINES SERVICE DIVISION
The description of the functions of this Division are covered by previous reports
and by chapter 6 of the Purchasing Manual.
Again, to show how the machine population is growing, two tables are given
below.
Table 1—Machines as at December 31,1970
Type of Machine
Number in
Departmental
Offices
Number in
Vocational
Schools
Number in
B.C. Institute
of Technology
Total
Number
5,095
2,211
1,960
982
682
270
163
335
98
376
51
128
5,875
2,857
2,174
1,445
Dictation/transcription equipment and tape recorders
Miscellaneous equipment—posting, bookkeeping, cash
Totals as at December 31, 1970       	
10,248
4.9
1,450
10.0
653
3.3
12,351
Table 2—Machines as at December 31, 1971
Type of Machine
Number in
Departmental
Offices
Number in
Vocational
Schools
Number in
B.C. Institute
of Technology
Total
Number
I
Typewriters (29.39 per cent electric)—  	
Adding-machines and printing-calculators	
Dictation/transcription equipment and tape recorders
Miscellaneous equipment—posting, bookkeeping, cash
registers, etc _ _.   	
Totals as at December 31, 1971 	
Percentage increase in 12 months  	
5,449
2,399
2,161
1,096
317
254
349
11,105
8.36        I
1,728
19.17
112
388
62
129
691
.58
6,369
3,104
2,477
1,574
13,524
9.49
 REPORT OF PURCHASING COMMISSION Q 7
As shown in the foregoing tables, the machine population is now 13,524, an
increase in 12 months of 9.49 per cent. The largest percentage increase is for
vocational schools of 19.17 per cent. This was due mainly to purchases for the
new vocational school at Kamloops. Again, the largest increase was for typewriters,
with 139 manual machines at an average cost of $155, and 371 electric at an
average cost of $409. The total cost of all the machine purchases for 1971 was
$430,550.
THE VANCOUVER OFFICE
The functions of the Vancouver office of the Purchasing Commission are fully
explained in chapter 5 of the manual. Suffice it to say here that the staff of nine,
plus seven business machine technicians, under the able guidance of Mr. T. L. Vardy,
Purchasing Agent 4, again had a successful year.
THE SURPLUS MATERIALS DISPOSAL SECTION
It is the responsibility of the Commission to sell all equipment and property
declared in writing to be surplus by the department concerned. Efforts are, of
course, first made to ensure that such surplus equipment cannot be used to advantage
by some other department before advertising same for sale. The functions of this
section are fully described in chapter 7 of the Purchasing Manual.
To illustrate the variation of work in this section, the results are shown for
two years:
For Department of Highways— 1970 1971
$ $
(a) Equipment and scrap      89,910 50,140
(b) Houses and chattels (rights-
of-way)       63,390 23,920
For other departments      47,900 74,480
201,200 148,540
The totals for Department of Highways equipment and houses for 1970 were
much above the average, and surplus houses depend on location of the roads or
bridges being constructed. The large increase in amount for other departments
includes, for the first time, the results of auction sales throughout the Province of
185 surplus cars, as mentioned in the first part of this report.
LANGFORD WAREHOUSE
The functions of this warehouse are fully described in chapter 7 of the Purchasing Manual.
The value of goods processed through this warehouse increased from $446,300
in 1970 to $658,490 in 1971. The increase was due to extra purchases of fire-
fighting equipment because of the very bad fire season and extra purchases of camp
equipment for the make-work programmes.
CONCLUSION
The Commission again gratefully acknowledges the specialized purchasing done
under delegated authority by the Queen's Printer, the Director of the Curriculum
Resources Branch, the Provincial Librarian and Archivist, and the Superintendent
of the Library Development Commission.
 Printed by K. M. MacDonald, Printer to the Queen's Most Excellent Majesty
in right of the Province of British Columbia.
1972
-"
180-172-362
#

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