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HomeMy WebLinkAboutFCS-12-185 - T12-069 Bramm Yards DevelopmentREPORT TO:Committee of the Whole DATE OF MEETING: 2012-11-19 SUBMITTED BY: Larry Gordon, Director of Supply Services, 2214 PREPARED BY: Larry Gordon, Director of Supply Services, 2214 WARD(S) INVOLVED: 9 DATE OF REPORT: 2012-11-06 REPORT NO.: FCS-12-185 SUBJECT: T12-069 –Bramm Yards Development (#55 Bramm Street) RECOMMENDATION: That Tender T12-069 – Bramm Yards Development (#55 Bramm Street), be awarded to Network Sewer and Watermain Ltd., Cambridge, Ontario at their corrected tendered price of $785,508.16, including provisional items and contingencies of $23,899.42., plus H.S.T. of $102,116.06, for a total of $887,624.22; and further, That the Director of Supply Services be authorized to execute an agreement satisfactory to the City Solicitor. BACKGROUND: City Operations occupied the Bramm Street location until 2011 when it relocated to the Central Maintenance Facility on Goodrich Drive. The Bramm Street Yards property bounded by King, Victoria and Park Streets and the CN North Main Line is ideally located in the west end of the core commonly referred to as the Warehouse District. New development in the Warehouse District including the Tannery and related high-tech businesses has and will continue to create a need for parking spaces. Immediate benefits of developing parking on Bramm Street are that it will support continued employment growth in the Warehouse District, it will effectively use the Bramm Street property until such time as its redevelopment, it will support the continued diversification of the urban economy and it is supportive of the Central Transit Corridor. On May 17, 2010, Council passed the following resolution; “That development of temporary public parking in the Bramm Street Yards be approved upon the relocation of City Operations to the Consolidated Maintenance Facility; and, That the development of this parking would occur in approximately mid-2011; and, That the parking rates would be based on the remote parking lot rate, currently set at $81.99 plus taxes per space per month; and further, ï ª÷ ó ï That the Mayor and Clerk be authorized to execute an agreement with Francis Street Inc. for the provision of parking at City facilities ending December 2020, said agreement to be to the satisfaction of the City Solicitor.” The project includes demolition of the main building, new light standards and related underground infrastructure, concrete curbs, sidewalks, asphalt repairs and replacement, and landscaping to the City’s standard for parking lots in the core. The original proposal was to develop the two most northerly areas of the site and upon sufficient demand develop the remaining, larger southerly portion. A change in the needs of the specific lots resulted in changing the scope of work and moving forward to develop the larger site, with the exception of the most northerly area. The increased site size contributed to higher than anticipated tender costs for additional parking. These costs will be recovered through net parking revenues. REPORT: The tender was advertised publicly in The Daily Commercial News, and the internet through the City of Kitchener website and the Internet through the Ontario Public Buyers Electronic Tendering Information System. Documents were picked up by nineteen (19) interested parties, and by the closing date of Thursday, September 27, 2012, six (6) tenders had been received. The tenders were reviewed by R. Kerr, MTE Consultants Inc., the City’s Consultant for the project, and P. McCormick, Manager, Parking Enterprise, Transportation Services, who concur with the above recommendation. The following tenders were received: Corrected Bid Bid Price Price Network Sewer and Watermain Cambridge ON $ 887,624.06 $887,624.22 * Kieswetter Excavating/Waterloo Demoltion Heidelberg ON $ 950,183.10 Ground Force Environmental Inc. Waterloo ON $ 961,907.51 Budget Environmental Disposal Inc. Hamilton ON $ 1,186,803.69 Titanium Contracting Inc. Woodbridge ON$ 1,293,238.67 Bel-Air Excavating & Grading Ltd. Cambridge ON $ 1,298,912.40 All Tenders were reviewed for mathematical errors and adjusted accordingly. ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: Theme: Financial Management Strategic Direction: Ensure responsible use of public funds within a supportive policy framework. ï ª÷ ó î The City of Kitchener’s purchasing policies and practices ensure openness, fairness and transparency in the procurement of goods and services. FINANCIAL IMPLICATIONS: Financial Summary for Tender T12-069 Bramm Street Yards Development (#55 Bramm Street) Internal Order Group - Bramm Street Yards (52000660) As at November 6, 2012 Estimated Cost for this Phase of Work Tender T12-069 costs, including HST 887,624.22 less: HST rebate on tender (102,116.06) Net Cost Being Awarded 785,508.16 A Costs Incurred to Date 82,758.29 Projected Costs (MTE Consulting, Bore hole testing etc) 47,241.71 Total Estimated Cost for this Phase of Work 915,508.16 C Budget for this Phase of Work EDIF Bramm Parking Allocation 52000660 500,000.00 B Estimated Surplus/(Deficit) for this Phase of Work (B - C) (415,508.16) D The additional project costs (D) associated with the change in project scope are proposed to be funded out of a portion of the EDIF Employment Land Allocation in the 2013 budget ($405,508.16), along with net parking revenues received to date on the site in 2012 ($10,000). The original parking allocation of $500,000 along with the additional EDIF contribution of $405,508.16 will be repaid to their original funding sources with interest from net parking revenues generated on the site. COMMUNITY ENGAGEMENT: Not applicable. ACKNOWLEDGED BY: Dan Chapman, Deputy CAO & City Treasurer, Finance and Corporate Services ï ª÷ ó í