HomeMy WebLinkAboutFCS-14-045 - T14-003 Trenchless Watermain Rehabilitation Contract
REPORT TO:
Committee of the Whole
DATE OF MEETING:
2014-03-31
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:
1, 8
DATE OF REPORT:
2014-03-05
REPORT NO.:
FCS-14-045
SUBJECT: T14-003 –Trenchless Watermain Rehabilitation Contract
RECOMMENDATION:
Fer-Pal
That Tender T14-003 – Trenchless Watermain Rehabilitation Contract, be awarded to
Construction Ltd., North York, Ontario
at their tendered price of $908,865., including
provisional items and contingencies of $120,475., plus H.S.T. of $118,152.45, for a total of
$1,027,017.45.
BACKGROUND:
A trenchless watermain rehabilitation program is required to address poor condition watermains
in locations where the other infrastructure (sewer and storm) does not require replacement. In
these locations, a full reconstruction project is not warranted, however the watermain needs to
be relined in order to reliably function and service the public.
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 three (3) interested parties, and by the closing date of
Thursday, February 27, 2014, two (2) tenders had been received.
The tenders were reviewed by B. Marin, Conestoga-Rovers & Associates the City’s Consultant
for the project, and A. Mick, Utilities Engineer who concur with the above recommendation.
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The following tenders were received:
Bid Price
Fer-Pal Construction Ltd. North York ON $1,027,017.45 *
Aquarehab (Canada) Inc. Laval QC $1,125,476.61
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 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
project is included within the approved capital budget. The estimated surplus (D) will be
transfered to the Water Utility Capital Reserve Fund.
Financial Summary for Tender T14-003
Trenchless Watermain Rehabilitation
Estimated Cost
Tender T14-003 costs, including HST 1,027,017.45
less: HST rebate on tender (102,156.43)
A
Net Cost Being Awarded 924,861.02
Costs Incurred to Date
Projected Costs -
C
Estimated Cost 924,861.02
Budget
Trenchless 1,141,488.36
B
Budget for this Purchase
1,141,488.36
D
Estimated Surplus/(Deficit) (B - C) 216,627.34
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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
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