HomeMy WebLinkAboutFCS-14-061 - T14-002 Road and Surface Construction
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:
2, 3, 5, 6, 7 , 8, 9,10
DATE OF REPORT:
2014-03-19
REPORT NO.:
FCS-14-061
SUBJECT:
T14-002 – Road and Surface Construction
RECOMMENDATION:
E. & E. Seegmiller
That Tender T14-002 – Road and Surface Construction, be awarded to
Limited, Kitchener, Ontario
at their tendered price of $1,628,274., including provisional items
and contingencies of $81,829.45, plus H.S.T. of $211,675.62, for a total of $1,839,949.62.
BACKGROUND:
The works in this tender include Surface paving (top coat of asphalt only) of streets which were
fully reconstructed (under Accelerated Infrastructural Renewal Program) within last two (2)
years. Also included in this tender is Surface Paving, and road rehabilitation on development
charged projects throughout the city, and miscellaneous type asphalt, concrete work funded by
other Departments. Please refer to the attachment for complete list of projects, to be completed
under this tender.
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 downloaded by twenty-two (22) interested parties, and by the closing
date of Thursday March 6, 2014, four (4) tenders had been received.
The tenders were reviewed by R. Trussler, Engineering Construction Project Manager, who
concurs with the above recommendation.
1. vi. - 1
The following tenders were received:
Bid Price
E. & E. Seegmiller Limited Kitchener ON $1,839,949.62 *
Coco Paving Inc. Petersburg ON $1,933,547.59
Steed and Evans Limited St. Jacobs ON $1,972,310.93
Capital Paving Inc. Guelph ON $2,041,011.89
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.
1. vi. - 2
FINANCIAL IMPLICATIONS:
In addition to the costs anticipated in this tender, the design and implementation of these types
of projects typically involves city staff and resources from across the corporation. These costs
are included in the line item "Projected Costs: Staff Time/Permitting/Material testing", and will be
itemized when they exceed $125,000. Included in this line item are staff time and expenses for
all city staff in support of the project such as Engineering, Kitchener Utilities, and Transportation
Planning. The line item also includes all regulatory permitting, geotechnical and material
testing, detouring and traffic control, alternate access and parking requirements and any other
miscellaneous costs. Projects utilizing in-house staff will include costs for inspection during
construction and contract administration.
The net cost for this tender (A), is fair and reasonable for a purchase of this scope but the upset
limit exceeds the budget allowance (B) provided within the budget. Additional funding for this
purchase will be provided from the Federal Gas Tax reserve account. The amount available in
this account is sufficient to fund this transfer. There is expected to be no surplus or deficit (E).
Tender T14-002
Road and Surface Program
The total budget for all phases of this project is $1,811,924.88
Estimated Cost for this Phase of
Work
Tender T14-002 costs, including HST 1,839,949.62
less: HST rebate on tender (183,017.92)
Net Cost Being Awarded 1,656,931.70 A
Costs Incurred to Date -
Projected Costs: Staff
Time 165,580.00
Total Estimated Cost for this Phase of Work 1,822,511.70 C
Budget for this Phase of Work
Sanitary Utility 251,163.83
Storm Water Utility 128,423.43
Water Utility 205,822.83
Development Charges 395,067.40
Federal Gas Tax 188,296.37
Revenue 314,355.36
Gas 5,729.54
Reserve 323,066.11
Total Budget for this Phase of Work 1,811,924.88 B
Estimated Surplus/(Deficit) for this Phase of Work (B - C) (10,586.83) D
Transfer from Federal Gas Tax Reserve 10,586.83
Total Estimated Surplus/(Deficit) 0.00 E
1. vi. - 3
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. vi. - 4
1. vi. - 5
1. vi. - 6