HomeMy WebLinkAboutINS-15-054 - Contract for Gas & Water Infrastrucutre Locating Staff Rport
I r rc'.�► t .R Infrastructure Services Department wmkitchener.ca
REPORT TO: Finance & Corporate Services
DATE OF MEETING: August 10, 2015
SUBMITTED BY: Wally Malcolm, Director of Utilities, 519-741-2600 x 4538
PREPARED BY: Matt Ryan, Supervisor, Loss Prevention & Maintenance, 519-
741-2600 x 4131
WARD(S) INVOLVED: All
DATE OF REPORT: July 31, 2015
REPORT NO.: INS-15-054
SUBJECT: Contract for Gas and Water Infrastructure Locating
RECOMMENDATION:
That Purchase Order PO 901273 be extended by $145,000 to cover locates until
the end of 2015 to meet an increased locate demand and the 5 working day
completion required under regulations.
BACKGROUND:
Kitchener Utilities and their Locating Contractor (currently G-Tel) physically locate gas
and water infrastructure for contractors when they plan on excavating. When
infrastructure is not properly located, the contractor may damage the infrastructure. Gas
escapes can result in explosions/evacuations/fires/death as well as claims and lawsuits.
It is essential that experienced personnel (with drawings and locating equipment) be
responsible for locating infrastructure.
Ontario Regulation 213/91 under the Occupational Health and Safety Act states "all gas,
electrical and other services in and near the area to be excavated are located and
marked". Bill 8 an Act Respecting an Underground Infrastructure Notification System
for Ontario came into effect June 2012. The Act states "the member shall make all
reasonable attempts to do the things required by subsection (1) within five business
days..."
"A person or entity who does not comply with sections 5, 6 & 7 is guilty of an
offence and on conviction is liable to the fine set out in the regulations made under
this Act."
Previously response time was a best practice, not regulated. The change has resulted
in increased staff requirement to meet the regulatory requirement (via a contractor).
***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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In addition, Bill 8 also outlines a requirement to provide feedback (360 feedback). This
has led to additional tracking time for our locators and added admin time.
REPORT:
The 2015 Locating Purchase Order PO 901273 was for awarded for $325,000 to G-tel.
The awarded value was based on an estimated number of locates anticipated for 2015.
The original contract was tendered in 2013 for a three year period starting in 2014. The
estimate was based on previous locate numbers but can vary based on the economy
(e.g. new housing starts), number of new construction projects, number of
reconstruction projects, weather, etc.
It is anticipated that as of the middle of August, G-Tel will have exhausted the purchase
order. A request will be made to increase the purchase order by 10% ($32,500);
although this amount should cover the remainder of the August invoice, it is not
sufficient to cover the remainder of the locating season. It is requested that the
purchase order be extended by an additional $112,500, a total of $145,000 to cover
locates until the end of the year.
The additional funding will come from the following accounts:
• Gas Utility Stabilization Reserve fund - $95,000
• Remaining amount $50,000 from Account 5033350 Watermain Cleaning.
The factors contributing the need for an increased budget are as follows:
• Increased number of locate requests due to increased locate awareness and
general construction within the City. For 2015 we are currently seeing a locate
request increase of 41% for 2015 as compared to the average for the last 6 years
for the same January to June time period. The number of locate requests for
2015 stands at 8548 as compared to the average of the previous 6 years of 6078
locate requests.
• Light Rapid Transit related locates have been heavy and will continue through
2017. These are wide area locates and are costly. Locates expire after 30 days
so remarks are necessary. Each excavator is required to have their own locates
so the same stretch of road has several locate requests. The infrastructure is
constantly changing so the infrastructure has to be physically located.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
Providing Locates within the 5 working day regulatory requirement relates to Foundation
Plan — Efficient and Effective Government — Customer Service goal to "Provide services
to the public that match or exceed the customer's expectation and adopt standards that
put people first to ensure excellent customer service."
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FINANCIAL IMPLICATIONS:
It is requested that the purchase order be extended an additional $112,500 (10% PO
extension of $32,500, total amount is $145,000) to cover locates in September to the
end of the year as well as locates associated with the Region's Light Rapid Transit
project.
The additional funding will come from the following accounts:
• Gas Utility Stabilization Reserve fund - $95,000
• Remaining amount $50,000 from Account 5033350 Watermain Cleaning.
COMMUNITY ENGAGEMENT:
The need to obtain locates prior to excavating — Call Before You Dig is communicated
to residents through bill inserts, Kitchener Utilities website, signs across the City
(Ontario 1 Call).
INFORM — This report has been posted to the City's website with the agenda in
advance of the council / committee meeting.
ACKNOWLEDGED BY: Dev Tyagi, Deputy CAO, Infrastructure Services
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