HomeMy WebLinkAboutFCS-11-222 - E11-085 -Consultant Services -Asset Management PlaREPORT TO:Committee of the Whole
DATE OF MEETING:
2011-12-05
SUBMITTED BY: Larry Gordon, Director of Supply Services, 2214
PREPARED BY:
Larry Gordon
WARD(S) INVOLVED: N/A
DATE OF REPORT: 2011-11-24
REPORT NO.:
FCS-11-222
SUBJECT:
E11-085 – Consulting Services – Asset Management Plans
for Pavement and The Kitchener Memorial Auditorium
Complex
RECOMMENDATION:
That Expression of Interest E11-085 – Consulting Services – Asset Management Plans for
Pavement and The Kitchener Memorial Auditorium Complex, be awarded to Prior and Prior
, Markham, Ontario
Associates Ltd. at their estimated fee of $109,895.00, including
disbursements of $2,408.00 plus H.S.T. of $14,286.35, for a total of $124,181.25, based on a
satisfactory contract being negotiated and an upset fee being established; and further,
That the Mayor and City Clerk be authorized to execute an agreement satisfactory to the City
Solicitor.
BACKGROUND:
Capital asset management represents a core business function for the City of Kitchener given
the considerable number and value of assets that are owned and maintained by the municipal
government (almost 300,000 individual assets with a replacement cost of about $2.5 billion).
The introduction of new tangible capital asset accounting standards has provided the City of
Kitchener a platform from which to launch leading edge systems to support asset management.
These systems will maintain the corporate asset inventory and also provide a corporate tool for
decision support. These changes provide an opportunity to improve the coordination between
City departments to ensure that efficiencies resulting from new technology are maximized and
that decisions are made in the future to optimize the use of taxpayer/ratepayer funds for capital
investment.
In 2009 the City completed an Asset Management Service Delivery Strategy in consultation with
asset managers from across the City. During 2010/2011, the City undertook and completed the
first phase of the strategy, namely an Asset Management Gap Analysis. The report identifies the
City’s asset groups, corporate business drivers, strengths and weaknesses. The report also
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identifies improvement projects in preparation for the development of detailed asset
management plans.
One of the improvement projects identified in the report is the development of long range Asset
Management Plans for Pavement and for the Kitchener Memorial Auditorium Complex (The
Aud). The intent is to produce the two Asset Management Plans with the best currently available
data. The task is designed to:
Demonstrate the practical application of the processes and practices of asset management to
city staff
Produce a first-pass estimate of long-term financial needs of the two assets. The long term
funding strategy can be used to set appropriate capital and operating budgets to ensure
sustainability of the asset.
The task will use asset management principles to populate the RIVA DS model with available
asset information related to : age, useful life, condition, performance, replacement values,
failure modes, probability and consequence of failure
Identify appropriate management strategies for the assets based on a lifecycle analysis
approach
Project most likely failure patterns and resulting rehabilitation and replacement costs over time
Develop a long term funding strategy for the City based on most likely needs of the assets.
Train internal staff in the use of the RIVA model.
REPORT:
In accordance with Chapter 170 of the Municipal Code pertaining to the Selection of
Professional Services/Consultants, a Consultant’s Review Committee was established
consisting of H. Gross, Director of Asset Management, C. Fletcher, Director of Facilities
Management, G. McTaggart, Manager of Infrastructure Asset Planning, M Bolger, Manager of
Business Systems and Database Administration and L. Gordon, Director of Supply Services.
Expressions of interest were advertised publicly in The Record, on the City of Kitchener website
and on the internet through the Ontario Public Buyers Association Electronic Tendering
Information System relative to this project. Documents were downloaded by thirty-two (32)
th
interested parties, and by the closing date of Thursday November 17, 2011, five (5) responses
had been received.
The review committee met on Thursday November 17th, 2011, to review the submissions and a
shortlist of three candidates was selected for further interviews. The Committee met on
Wednesday, November 23rd, 2011 to interview the shortlisted candidates. The Committee
elected to award the project to Prior & Prior Associates Ltd. Markham, Ontario.
The Committee rated consultants on the following criteria:
Evaluation of Project Manager
Evaluation of Project Team
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Effectiveness/completeness of work plan and timeline
Evaluation of implementation process of RIVA DS
Evaluation of RIVA training program for City Staff
Evaluation of project deliverables
Consultant Fee
Effect of interview/added value
A listing of the responding parties follows for your reference:
Stantec Consulting Ltd. Kitchener ON
Prior & Prior Associates Ltd. Markham ON
GHD Inc. Markham ON
Genivar Guelph ON
Urban & Environmental Management Inc. (UEM) Brantford ON
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
Theme: Financial Management
Strategic Direction: Ensure responsible use of public funds within a supportive policy
framework.
The City of Kitchener’s purchasing policies and practices ensure openness, fairness and
transparency in the procurement of goods and services.
FINANCIAL IMPLICATIONS:
Funding will be provided from Internal Order 59500860 Asset Management Studies.
Financial Report is attached.
Budget estimate is $120,000.
COMMUNITY ENGAGEMENT:
Not applicable.
Dan Chapman, Deputy CAO & City Treasurer, Finance and Corporate
Services
ACKNOWLEDGED BY:
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