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HomeMy WebLinkAboutFCS-15-045 -T15-002 Road and Surface Construction REPORT TO: Committee of the Whole DATE OF MEETING: 2015-03-23 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, 2, 3, 4, 6, 7, 8, 9, 10 DATE OF REPORT: 2015-03-18 REPORT NO.: FCS-15-045 SUBJECT: T15-002 Roads and Surface Construction ___________________________________________________________________________ RECOMMENDATION: That Tender T15-002 Roads and Surface Construction, be awarded to Coco Paving Inc., Petersburg, Ontario at their tendered price of $3,842,106.30., including provisional items and contingencies of $250,000., plus H.S.T. of $499,473.82, for a total of $4,341,580.12. BACKGROUND: The work in this tender includes road rehabilitation, road surface paving of streets which were fully reconstructed (under Accelerated Infrastructural Renewal Program) within the last two (2) years, road rehabilitation on city share subdivisions throughout the city, and miscellaneous type asphalt, concrete work funded by other departments. 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-four (24) interested parties and by the closing date of Thursday March 5, 2015, five (5) tenders had been received. The tenders were reviewed by R. Trussler, Construction Project Manager, and R. Langver, Construction Project Inspector who concur with the above recommendation. *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. 1.v. - 1 The following tenders were received: Corrected Bid Price Bid Price Coco Paving Inc. Petersburg ON $4,341,580.12 * E. & E. Seegmiller Limited Kitchener ON $4,435,981.71 Vista Contracting Limited Cambridge ON $4,729,383.35 $4,729,496.35 Steed and Evans Limited St. Jacobs ON $4,813,000.01 Capital Paving Inc. Guelph ON $5,344,012.53 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.v. - 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 be returned proportionately to each funding source. Tender T15-002 Roads and Surface Program The total budget for all phases of this project is: $4,142,555.48 Estimated Cost for this Phase of Work Tender T15-002 costs, including HST 4,341,580.12 less: HST rebate on tender (431,852.56) Net Cost Being Awarded 3,909,727.56 A Costs Incurred to Date - Projected Costs: Staff Time 210,000.00 Total Estimated Cost for this Phase of Work 4,119,727.56 C Budget for this Phase of Work Sanitary Utility 278,881.00 Storm Water Utility 141,623.00 Water Utility 245,701.00 Intensification Allowance 5,615.00 Development Charges 528,325.00 Federal Gas Tax 2,338,650.48 Revenue 588,373.00 Gas 15,387.00 Total Budget for this Phase of Work 4,142,555.48 B Estimated Surplus/(Deficit) for this Phase of Work (B - C) 22,827.92 D 1.v. - 3 COMMUNITY ENGAGEMENT: 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 1.v. - 4 1.v. - 5