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HomeMy WebLinkAboutFCS-15-082 -T15-041 Cured in Place Sanitary Sewer Lining 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: 1 and 9 DATE OF REPORT: 2015-05-19 REPORT NO.: FCS-15-082 SUBJECT: T15-041 Cured in Place Sanitary Sewer Lining ___________________________________________________________________________ RECOMMENDATION: That Tender T15-041 Cured in Place Sanitary Sewer Lining, be awarded to Insituform Technologies Limited, Hamilton, Ontario at their tendered price of $201,100., including provisional items and contingencies of $25,000., plus H.S.T. of $26,143., for a total of $227,243. BACKGROUND: The work required under this contract consists of trenchless rehabilitation of existing deteriorated sanitary sewers using a method called Cured In Place Pipe (C.I.P.P.) Lining. Subsequent to the CCTV camera inspections of sanitary sewers, a priority list of the deteriorated sanitary sewers has been created by the City staff. Staff reviews the available data to determine the rehabilitation method for deteriorated sewers. The sanitary sewers selected for trenchless rehabilitation, under this contract, have met the criteria for the Cured In Place Pipe Lining. C.I.P.P. Lining is a continuous polyethylene liner that relines the existing sanitary sewer with a liner that securely bonds to the existing pipe. The new liner gives the old pipe new structural integrity that prolongs the life expectancy of the old pipe by up to 50 years. Once the new liner has been installed, all of the service laterals will be drilled out by robotic drills to restore the connections with the sanitary sewer. This method of construction requires no open cut digging and can be completed without any major disruptions to the traffic and local access. 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 *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. 1. iv. - 1 System. Documents were downloaded by fourteen (14) interested parties and by the closing date of Thursday May 14, 2015, four (4) tenders had been received. The tenders were reviewed by B. Bishop, Design & Construction Project Manager who concurs with the above recommendation. The following tenders were received: Bid Price PipeFlo Contracting Corp Hamilton ON $ 223,324.16 Insituform Technologies Limited Hamilton ON $ 227,243.00 * Capital Sewer Services Inc. Hamilton ON $ 247,211.23 Nieltech Services Ltd. Kitchener ON $ 498,909.50 The low bid submitted by PipeFlo Contracting Corp did not utilize the revised Form of Tender, as provided within addendums 1 and 2. As a result, the tender submission was deemed non- compliant and was disqualified. 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 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 (Pipe Bursting). 1. iv. - 2 Tender 15-041 Cured in Place Sanitary Sewer Lining The total budget for all phases of this project is: $ 383,000.00 Estimated Cost for this Phase of Work Tender T15-041 costs, including HST 227,243.00 less: HST rebate on tender (22,603.63) Net Cost Being Awarded 204,639.37 A Projected Costs: Staff Time/Permitting/Material Testing 35,000.00 Total Estimated Cost for this Phase of Work 239,639.37 C Budget for this Phase of Work Sanitary Utility 245,000.00 Total Budget for this Phase of Work 245,000.00 B Estimated Surplus/(Deficit) for this Phase of Work (B - C) 5,360.63 D Balance in account, net of encumbrances - Total Estimated Surplus/(Deficit) 5,360.63 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 1. iv. - 3