HomeMy WebLinkAboutFCS-13-071 - T13-009 - Sewer Safety Cross Bore Inspection Program
REPORT TO:Committee of the Whole
DATE OF MEETING:
2012-04-29
SUBMITTED BY: Larry Gordon, Director of Supply Services, 519-741-2200
ext. 2214
PREPARED BY:
Steve Rudak, Buyer, 519-741-2200 ext. 7213
WARD(S) INVOLVED:
All
DATE OF REPORT:
2012-04-19
REPORT NO.:
FCS-13-071
SUBJECT:
T13-009 Sewer Safety Cross Bore Inspection Program
RECOMMENDATION:
G-Tel
That Tender T13-009 Sewer Safety Cross Bore Inspection Program, be awarded to
Engineering, London, Ontario,
at their tendered price of $299,035.80, plus H.S.T. of
$38,874.65, for a total of $337,910.45.
BACKGROUND:
With the introduction of the trenchless technologies for use in installing underground utilities,
such as gas main and services, comes the inherent risk that other utilities and underground
structures may be damaged in the process. Trenchless technologies typically used in the
installation of gas mains and services include Horizontal Directional Drills and Pneumatic
Piercing Tools (aka torpedo, bullet).
The risk specifically associated with the Sewer Cross Bore Maintenance and Inspection
Program is when the gas main or service is installed by trenchless technologies methods and
partially or completely pierces a sewer service. This in turn blocks the flow of effluent from
leaving the building and in response to this blockage the property owner or their plumbing
contractor attempts to unblock the obstruction by some abrasive means. These methods could
result in damage or even a failure in the gas piping, which could result in the release of gas into
the sewer line, quickly migrating to the attached building(s).
As a response to a number of incidents, primarily in the United States, the Technical Standards
and Safety Authority has issued an amendment to the Oil and Gas Pipeline Systems Code
Adoption Document to have gas distribution companies, such as the City of Kitchener, to
address the problem of potential Sewer Cross Bores.
REPORT:
Tenders were advertised publicly in The Record, on the City of Kitchener website and the
Internet through the Ontario Public Buyers Electronic Tendering Information System.
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Documents were downloaded by fourteen (14) interested parties, and by the closing date of
Thursday April 4, 2013, one (1) tender had been received.
The following tenders were received:
Bid Price
G-Tel Engineering London, Ontario $337,910.45
The price for sewer safety inspection work has increased 2.8% from the previous contract.
The quotation was reviewed by L. Jones, Utilities Engineer, who concurs with the above
recommendation.
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:
The net cost for this proposal (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 project is included within the approved capital budget. The estimated surplus (D) will
remain within the account to fund future purchases.
Financial Summary for Tender P13-009
Sewer Safety Cross Bore Inspection Program
As at April 18, 2013
Estimated Cost
Tender T13-009 costs, including HST 337,910.45
less: HST rebate on tender (38,874.65)
Net Cost Being Awarded 299,035.80 A
Costs Incurred to Date 35,749.50
Projected Costs -
Estimated Cost 334,785.30 C
Budget
Capital - New Services ( 52000453 ) 134,975.00
Operating - Cross Bore (5018326-630020) 200,000.00
Budget for this Purchase
334,975.00 B
Estimated Surplus/(Deficit) (B - C)
189.70 D
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COMMUNITY ENGAGEMENT:
Not applicable.
ACKNOWLEDGED BY:
Dan Chapman, Deputy CAO & City Treasurer, Finance and Corporate
Services
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