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HomeMy WebLinkAboutFCS-14-022 - T13-090 Glasgow Street Road Reconstruction REPORT TO: Committee of the Whole DATE OF MEETING: 2014-02-10 SUBMITTED BY: Larry Gordon, Director of Supply Services, 519-741-2200 ext. 7214 PREPARED BY: Larry Gordon, Director of Supply Services, 519-741-2200 ext. 7214 WARD(S) INVOLVED: 8 DATE OF REPORT: 2014-01-29 REPORT NO.: FCS-14-022 SUBJECT: T13-090 – Glasgow Street (Fischer Hallman Road to Westmount Road West) Road Reconstruction RECOMMENDATION: That Tender T13-090 – Glasgow Street (Fischer Hallman Road to Westmount Road West) Bel-Air Excavating & Grading Ltd., Cambridge, Ontario Road Reconstruction, be awarded to at their corrected tendered price of $2,587,077.94., including provisional items and contingencies of $239,255., plus H.S.T. of $336,320.13., for a total of $2,923,398.07. BACKGROUND: Engineering Services is proceeding with the reconstruction of Glasgow Street (Fischer Hallman Road to Westmount Road West). Funds for construction have been approved by Council as part of the 2014 budget. Glasgow Street from Knell Drive to Westmount Road West was originally constructed in the 1920’s with segmented construction of underground services in the subsequent decades and is in need of replacement. The project involves the replacement of the roadway, curb and gutter and sidewalk and all underground services (including a regional raw water transmission system) and surface works. Glasgow Street from Fischer Hallman Road to Knell Drive involves select surface work to implement the council approved traffic calming measures. This is the second phase of the Glasgow Street reconstruction. Phase 1 was completed in the 2013 construction season. The administration, design and tendering of this project has been completed by City staff. The construction administration and inspection of this project will be completed by City staff as well. A surplus is projected in the project due to lower than anticipated construction pricing received for phase 1. The surplus is also a result of savings realized by completing the project utilizing in-house staff. 1.iii. - 1 REPORT: Tenders were advertised publicly in the Daily Commercial News, on the City of Kitchener website and the Internet through the Ontario Public Buyers Electronic Tendering Information System. Documents were picked up by sixteen (16) interested parties, and by the closing date of Thursday December 19, 2013, nine (9) tenders had been received. The tenders were reviewed by J. Seip, Engineering Technologist, who concurs with the above recommendation. The following tenders were received: Bid Price Corrected Bid Price Bel-Air Excavating & Grading Ltd. Cambridge ON $2,923,398.06 $2,923,398.07 * Terracon Underground Ltd. Brantford ON $3,151,157.31 $3,151,157.27 Network Sewer and Watermain Ltd. Cambridge ON $3,153,694.23 $3,154,817.72 Regional Sewer and Watermain Ltd. Cambridge ON $3,190,741.72 Sierra Construction Woodstock ON $3,265,461.72 $3,265,463.42 ALIGNEMENT 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. 1.iii. - 2 FINANCIAL IMPLICATIONS: 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 (E) will remain within the project to fund future work. Tender T13-090 Glasgow Street Reconstruction Phase 2 (Knell to Westmount) The total budget for all phases of this project is $6,250,191.13 Estimated Cost for this Phase of Work Tender T13-090 costs, including HST 2,923,398.07 less: HST rebate on tender (290,787.43) Net Cost Being Awarded 2,632,610.64 A Costs Incurred to Date Projected Costs: Staff Time (Pre/Post Construction Services) 31,367.00 Staff Time (Inspection Services, Contract Admin.) 112,162.00 Detouring/Parking (Traffic Operations Staff time) 22,880.00 Operations Staff time (call-outs, valve operation) 11,440.00 Third Party Utility Relocation Costs 150,000.00 Material Testing during construction 60,000.00 Total Estimated Cost for this Phase of Work 3,020,459.64 C Budget for this Phase of Work Sanitary Utility 961,412.00 Storm Water Utility 480,706.00 Water Utility 647,908.00 Intensification Allowance (DC) 33,748.00 Region Cost Sharing 509,418.13 Total Budget for this Phase of Work 2,633,192.13 B Estimated Surplus/(Deficit) for this Phase of Work (B - C) (387,267.51) D Estimated Surplus/(Deficit) from previous phases 830,702.71 Total Estimated Surplus/(Deficit) 443,435.20 E COMMUNITY ENGAGEMENT: Potential vendors are informed of bid opportunities through the public posting of bid documents as outlined in the City’s Purchasing By-Law. Vendors, local media and the general public are informed of purchasing recommendations to Council through the public reports which are included with the Council agenda the week prior to the Council meeting. ACKNOWLEDGED BY: Dan Chapman, Deputy CAO & City Treasurer, Finance and Corporate Services 1.iii. - 3