HomeMy WebLinkAboutFCS-15-079 - T15-033 Samuel Simeon Road Reconstruction
REPORT TO: Committee of the Whole
DATE OF MEETING: 2015-06-01
SUBMITTED BY: Michelle Palmer-Novakovic, Director of Supply Services
519-741-2200 ext. 7214
PREPARED BY: Laurie Stecho, Supervisor of Purchasing
519-741-2200 ext. 7089
WARD(S) INVOLVED: 10
DATE OF REPORT: 2015-05-20
REPORT NO.: FCS-15-079
SUBJECT: T15-033 Samuel Street (Cameron Street North to Stirling Avenue
North) and Simeon Street (Cameron Street North to Weber Street
East) Reconstruction
___________________________________________________________________________
RECOMMENDATION:
That Tender T15-033 Samuel Street (Cameron Street North to Stirling Avenue North) and
Simeon Street (Cameron Street North to Weber Street East) Reconstruction be awarded
to Terracon Underground Ltd., Brantford, Ontario at their tendered price of $2,440,956.93,
including provisional items and contingencies of $236,674., plus H.S.T. of $317,324.40,
for a total of $2,758,281.33.
BACKGROUND:
Engineering Services is proceeding with the reconstruction of Samuel Street (Cameron Street
North to Stirling Avenue North) and Simeon Street (Cameron Street North to Weber Street
East). The services were originally constructed in the 1920’s and are in need of replacement.
The project involves the replacement of the roadway, curb and gutter and sidewalk, and all
underground services and surface works. Areas of sidewalk infill will be completed on Samuel
Street on the west side from Fairview Avenue to Stirling Avenue North, and on Simeon Street
on the west side from Pandora Avenue North to Weber Street East. The tender for this work
can be awarded with the decision on sidewalk infill unresolved. The tender (being a unit price
contract) is structured in a way that the sidewalk infill can be deleted from the contract, without
penalty.
Full funding for this project has been approved by Council as part of the 2015 budget process.
A deficit is projected in the project due to higher than anticipated construction pricing, and will
be addressed with transfers from the Accelerated Infrastructure Replacement Program. The
large demand for construction contractors in the Region, combined with the time of year for
tender advertising are possible factors contributing to higher prices. The project is scheduled to
begin June 15, 2015, weather permitting.
*** This information is available in accessible formats upon request. ***
Please call 519-741-2345 or TTY 1-866-969-9994 for assistance.
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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 eight (8) interested parties and by the closing date of
Thursday May 14, 2015, three (3) tenders had been received.
The tenders were reviewed by J. Seip, Engineering Technologist who concurs with the above
recommendation.
The following tenders were received:
Bid Price
Terracon Underground Brantford ON $2,758,281.33 *
Steed and Evans St. Jacobs ON $3,128,000.00
Regional Sewer and Watermain Ltd. Cambridge ON $3,361,212.35
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:
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 is provided by the existing surplus balance in the account, as well as from the
Accelerated Infrastructure Replacement Program general account. The amount available in
this account is sufficient to fund this transfer. There is expected to be no surplus or deficit (E).
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Tender T15-033
Samuel Street and Simeon Street Reconstruction
The total budget for all phases of this project is: $2,652,948.00
Estimated Cost for this Phase of Work
Tender T15-033 costs, including HST 2,758,281.33
less: HST rebate on tender (274,363.44)
Net Cost Being Awarded 2,483,917.89 A
Costs Incurred to Date
Projected Costs: Staff Time 124,751.00
Total Estimated Cost for this Phase of Work 2,608,668.89 C
Budget for this Phase of Work
Sanitary Utility 893,514.00
Storm Water Utility 446,757.00
Water Utility 602,150.00
Intensification Allowance 19,336.00
Total Budget for this Phase of Work 1,961,757.00 B
Estimated Surplus/(Deficit) for this Phase of Work (B - C) (646,911.89) D
Transfer from Accelerated Infrastructure Replacement Program 176,678.41
Estimated Surplus/(Deficit) from previous phases 470,233.48
Total Estimated Surplus/(Deficit) - E
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
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