HomeMy WebLinkAboutFCS-14-156 - E14-064 Consultant Services - Impact Analysis of the Economic Development Investment Fund (EDIF)Staff Report
rTC.�r R finance and Corporate Services Department www.kitchener.ca
REPORT TO: Committee of the Whole
DATE OF MEETING: 2014 -08 -25
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: N/A
DATE OF REPORT: 2014 -08 -18
REPORT NO.: FCS -14 -156
SUBJECT: E14 -064 - Consultant Services — Impact Analysis of the Economic
Development Investment Fund (EDIF)
RECOMMENDATION:
That Expression of Interest E14 -064 — Consultant Services — Impact Analysis of the
Economic Development Investment Fund (EDIF), be awarded to HDR Decision
Economics, Toronto, Ontario at their estimated fee of $71,000., plus H.S.T. of $9,230., for
a total of $80,230., based on a satisfactory contract being negotiated and an upset fee
being established.
BACKGROUND:
The Economic Development Investment Fund (EDIF) was approved by Council in 2004 with a
stated goal: "To ensure that the Corporation receives maximum value for its capital investments
in economic development initiatives."
EDIF investment opportunities were assessed on a case -by -case basis by staff and council,
based on their strategic alignment with the corporation's goals. This decision - making process
was further supported by a framework of objectives and suggested measurables for monitoring
the effectiveness of EDIF.
This framework became the foundation for the annual economic impact studies conducted by
municipal staff between 2009 and 2012. The first study was conducted in 2009, as this marked
the mid -point of the 10 -year investment horizon. Staff refined the analysis framework from the
2009 study based on an academic review conducted in 2010.
As outlined in issue paper BD -07 during 2014 budget deliberations, the 10 -year investment time
frame of EDIF has concluded, with funds fully allocated, making this an appropriate time to
initiate an external review of the impact of EDIF.
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REPORT:
In accordance with Chapter 170 of the Municipal Code pertaining to the Selection of
Professional Services /Consultants, a Consultant's Review Committee was established
consisting of R. Regier, Executive Director, Economic Development, J. Miller, Executive
Director, Office of the CAO, J. MacDonald, Economic Development Technical Analyst, R.
Goetz, Senior Financial Analyst, H. Gross, Director, Engineering Services and L. Gordon,
Director of Supply Services.
Expressions of Interest were requested from fifteen (15) known parties, and by the closing date
of Tuesday, June 24th, 2014, three (3) responses had been received.
The review committee reviewed the submissions and a shortlist of two (2) candidates was
selected for further interviews. The Committee met on Monday, August 18th, 2014 to interview
the shortlisted candidates. The Committee elected to award the project to HDR Decision
Economics, Toronto, Ontario.
The Committee rated consultants on the following criteria:
• Evaluation of Proposed Project Manager
• Completeness of the Proposal
• Qualifications / Expertise
• Past Performance
• Knowledge of the City (re: this area)
• Amount of City Work Completed in the Past
• Proposed Project Team
• Effectiveness of Interview
• Cost of Consultant's Fees
• Variety & Quality of Disciplines in House / In Consortium
• Effectiveness of Work Plan
A listing of the responding parties follows for your reference:
HDR Decision Economics Toronto ON
The Conference Board of Canada Ottawa ON
Sood Partners Kitchener ON
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.
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FINANCIAL IMPLICATIONS:
The net cost for this expression of interest (A), is fair and reasonable for a project of this scope and the
upset limit is within the budget allowance (B) provided within the budget. Funding for this project is
available within the approved budget. The estimated surplus (D) will remain within the Economic
Development Reserve.
Financial Summary for Expression of Interest E14 -064
Consultant Services - Impact Analysis of the Economic Development
Investment Fund
Estimated Cost
Expression of Interest E14 -064 costs, including HST
less: HST rebate on tender
Net Cost Being Awarded
Projected Costs
Total Estimated Cost for this EOI
Budget
Economic Development Reserve
Total Budget for this EOI
Estimated Surplus /(Deficit) (B - C)
COMMUNITY ENGAGEMENT:
80,230.00
(7,980.40)
72,249.60 A
72,249.60 C
72,250.00
72,250.00 B
M
INFORM - 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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