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HomeMy WebLinkAboutFCS-17-044 - T17-026 - Sheldon Avenue North Road Reconstruction REPORT TO: Committee of the Whole DATE OF MEETING: 2017-02-27 SUBMITTED BY: Michelle Palmer, Director of Supply Services 519-741-2200 ext. 7214 PREPARED BY: Adam Buchholtz, Buyer, 519-741-2200 ext. 7217 WARD(S) INVOLVED: Ward 10 DATE OF REPORT: 2017-02-21 REPORT NO.: FCS-17-044 SUBJECT: T17-026 Sheldon Avenue North (King Street East to Cul-de-sac) Road Reconstruction ___________________________________________________________________________ RECOMMENDATION: That Tender T17-026 Sheldon Avenue North (King Street East to Cul-de-sac) Road Reconstruction, be awarded to J. Weber Contracting Ltd., Breslau, Ontario, at their corrected tendered price of $4,668,263.35, including provisional items and contingencies of $378,400., plus H.S.T. of $606,874.24, for a total of $5,275,137.59. BACKGROUND: Engineering Services is proceeding with the reconstruction of Sheldon Avenue North (King Street East to Cul-de-sac). Funds for construction have been approved by Council as part of the 2017 budget. The services were originally constructed in the early 50’s and are in need of replacement. The administration, design and tendering of this project has been completed by MTE Consultants, the construction administration and inspection of this project will be completed by MTE Consultants staff as well. A surplus is projected in the project due to lower than anticipated construction pricing for this scope of work. The average tender price received was $6,279,076.16, including HST. *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. 1. ix. - 1 REPORT: Tenders were advertised publicly on the City of Kitchener website and the internet through the Ontario Public Buyers Electronic Tendering Information System. Documents were downloaded by twenty-seven (27) interested parties and by the closing date of Tuesday February 14, 2017, seven (7) tenders had been received. The tenders were reviewed by D. Lupsa, Design & Construction Project Manager and D. Roga, MTE Consultants Inc., the City’s Consultant for the project who concur with the above recommendation. The following tenders were received: Corrected Bid Price Bid Price J. Weber Contracting Ltd. Breslau ON $5,243,508.65 $5,275,137.59 * Terracon Underground Ltd. Brantford ON $5,359,433.00 $5,539,242.35 410754 Ontario Ltd. – Sousa Concrete Branchton ON $5,819,088.23 $5,818,952.63 Steed and Evans Limited St. Jacobs ON $6,168,166.55 Sierra Infrastructure Inc. Woodstock ON $6,445,000.00 Regional Sewer and Watermain Ltd. Cambridge ON $7,307,010.40 Bel-Air Excavating & Grading Ltd. Cambridge ON $7,544,023.62 Tender documents were checked for mathematical errors and corrected accordingly. ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: The recommendation of this report supports the achievement of the city’s strategic vision through the delivery of core service. FINANCIAL IMPLICATIONS: In addition to the costs anticipated in this tender, the design and implementation of these types of projects typically involves city staff and resources from across the corporation. These costs are included in the line item "Projected Costs: Staff Time/Permitting/Material testing", and will be itemized when they exceed $125,000. Included in this line item are staff time and expenses for all city staff in support of the project such as Engineering, Kitchener Utilities, and Transportation Planning. The line item also includes all regulatory permitting, geotechnical and material testing, detouring and traffic control, alternate access and parking requirements and any other miscellaneous costs. Projects utilizing in-house staff will include costs for inspection during construction and contract administration. The net cost for this tender (A), is fair and reasonable for a purchase of this scope and the upset limit is within the budget allowance (B) provided within the budget. Funding for this purchase is included within the approved capital budget. The estimated surplus 1. ix. - 2 (E) will be returned to the Accelerated Infrastructure Replacement Program (AIRP) general account, and will be used to fund unexpected deficits in other AIRP projects. Tender T17-026 Sheldon Ave N (King to cul-de-sac) The total budget for all phases of this project is 6,216,960.00 Estimated Cost for this Phase of Work Tender T17-026 costs, including HST 5,275,137.59 less: HST rebate on Tender (524,712.57) Net Cost Being Awarded 4,750,425.02 A Projected Costs: Staff Time/Material Testing 106,351.00 Total Estimated Cost for this Phase of Work $4,856,776.02 C Budget for this Phase of Work AIRP - Sanitary Utility 2,505,770.00 AIRP - Storm Water Utility 1,252,886.00 AIRP - Water Utility 1,688,802.00 External revenue (Region) 72,878.00 Total Budget for this Phase of Work $5,520,336.00 B Estimated Surplus for this Phase of Work (B - C) 663,559.98 D Estimated Surplus from previous phases 11,798.75 Total Estimated Surplus $675,358.73 E COMMUNITY ENGAGEMENT: INFORM – This report has been posted to the City’s website with the agenda in advance of the council / committee meeting. PREVIOUS CONSIDERATION OF THIS MATTER: Not applicable ACKNOWLEDGED BY: Dan Chapman, Deputy CAO & City Treasurer, Finance and Corporate Services 1. ix. - 3