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HomeMy WebLinkAboutFCS-14-078 - T14-032 Stirling Avenue Road ReconstructionStaff Report rTC.�r R finance and Corporate Services Department www.kitchener.ca REPORT TO: Committee of the Whole DATE OF MEETING: 2014 -05 -05 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: 10 DATE OF REPORT: 2014 -04 -22 REPORT NO.: FCS -14 -078 SUBJECT: T14 -032 — Stirling Avenue (East Avenue to Weber Street) Road Reconstruction RECOMMENDATION: That Tender T14 -032 — Stirling Avenue (East Avenue to Weber Street) Road Reconstruction, be awarded to Regional Sewer and Watermain Ltd., Cambridge, Ontario at their tendered price of $1,370,149.70, including provisional items and contingencies of $136,325., plus H.S.T. of $178,119.46, for a total of $1,548,269.16 BACKGROUND: Engineering Services is proceeding with the reconstruction of Stirling Avenue North (East Avenue to Weber Street). Funds for construction have been approved by Council as part of the 2014 budget. The infrastructure for the above noted project has generally reached the end of its useful life and requires full replacement. The project involves the replacement of all underground services and surface works including road, curb and gutter and sidewalk. This project is the second of two phases of Stirling Avenue North. The first reconstruction phase of Stirling Avenue North from East Avenue to Conestoga Parkway was completed in 2013. 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 ten (10) interested parties, and by the closing date of Thursday April 3, 2014, eight (8) tenders had been received. The tenders were reviewed by S. Mitchell, WalterFedy, the City's Consultant for the project, and D. Lupsa, Design and Construction Project Manager who concur with the above recommendation. IJ. - 1 The following tenders were received: Regional Sewer and Watermain Ltd. J. Weber Contracting Limited Bel -Air Excavating & Grading Ltd. Steed and Evans Sierra Construction GRT Excavating Elgin Construction Sousa Concrete Cambridge ON Breslau ON Cambridge ON St. Jacobs ON Woodstock ON Woodstock ON St. Thomas ON Branchton ON ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: Bid Price $1,548,269.16 $1,627,471.03 $1,678,876.14 $1,688,220.00 $1,759,966.97 $1,900,104.84 $1,930,786.58 $1,937,769.88 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. IJ. -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 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 T14 -032 Stirling Ave - Phase 2 - East to Weber The total budget for all phases of this project is Estimated Cost for this Phase of Work Tender T14 -032 costs, including HST less: HST rebate on tender Net Cost Being Awarded Costs Incurred to Date Projected Costs: Staff Time /Material Testing /Hydro Total Estimated Cost for this Phase of Work Budget for this Phase of Work Sanitary Utility Water Utility SWM Utility DC Total Budget for this Phase of Work Estimated Surplus /(Deficit) for this Phase of Work (B - C) Estimated Surplus /(Deficit) from previous phases Total Estimated Surplus /(Deficit) $5,415,627.00 1,548,269.16 (154,004.76) 1,394,264.40 A 78,357.00 1,472,621.40 C 712,637.00 480,255.00 356,318.00 24,942.00 1,574,152.00 B 101,530.60 D 297.296.02 398,826.62 E 1J. -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 1J. -4