HomeMy WebLinkAboutFCS-16-038 - T16-011 Breithaupt Street (St. Leger Street to Lancaster Street West) & Major Street Road ReconstructionStaff Report
rR finance and Corporate Services Department www.kitchener.ca
REPORT TO: Committee of the Whole
DATE OF MEETING: 2016 -03 -21
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: Ward 10
DATE OF REPORT: 2016 -02 -25
REPORT NO.: FCS -16 -038
SUBJECT: T16 -011 Breithaupt Street (St. Leger Street to Lancaster
Street West) and Major Street Road Reconstruction
RECOMMENDATION:
That Tender T16 -011 Breithaupt Street (St. Leger Street to Lancaster Street West)
and Major Street Road Reconstruction, be awarded to Sierra Infrastructure Inc.,
Woodstock, Ontario at their tendered price of $1,638,938.05, including provisional
items and contingencies of $92,794., plus H.S.T. of $213,061.95, for a total of
$1,852,000.
BACKGROUND:
Engineering Services is proceeding with the reconstruction of Breithaupt Street and
Major Street. The services were originally constructed in the 1930's and are in need of
replacement. The project involves the replacement of the roadway, curb and gutter,
sidewalk, all underground services and surface works. Infill sidewalk will be installed
along Breithaupt Street.
The administration, design and tendering of this project has been completed by the
City's consultant (MTE Consultants Inc.) Construction administration and inspection of
this project will be completed by MTE staff as well.
Full funding for this project has been approved by Council as part of the 2016 budget
process. A deficit is projected in the project likely due to the low number of bidders and
the increasing demand for construction contractors in the Region. Although, this project
has Council approved sidewalk infill, this tender was ineligible to be approved by the
* ** This information is available in accessible formats upon request. * **
Please call 519- 741 -2345 or TTY 1- 866 - 969 -9994 for assistance.
Chief Administrative Officer as there is a deficit. The project is scheduled to being April
11, 2016, weather permitting.
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 seven (7) interested
parties and by the closing date of Thursday February 25, 2016, three (3) tenders had
been received.
The tenders were reviewed by J. Rosevear, MTE Consultants Inc., the City's consultant
for the project and L. Christensen, Design & Construction Project Manager who concur
with the above recommendation.
The following tenders were received:
Bid Corrected
Price Bid Price
Sierra Infrastructure Inc. Woodstock ON $1,852,000.00 *
Regional Sewer & Watermain Ltd. Cambridge ON $2,450,796.99 $2,450,797.00
Network Sewer & Watermain Ltd. Cambridge ON $2,915,422.57 $2,915,026.25
Tender documents were checked for mathematical errors and corrected accordingly.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
The recommendation of this report supports the achievement of the city's strategic
vision through the delivery of core service.
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.
1.H. -2
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. The deficit (E) will be funded from the Accelerated Infrastructure Replacement
Program general account. There are sufficient funds in the account to fund the deficit.
Tender T16 -011
Breithaupt and Major Streets Reconstruction
The total budget for all phases of this project is $ 1,948,621.00
Estimated Cost for this Phase of Work
Tender T16 -011 costs, including HST 1,852,000.00
less: HST rebate on tender (184,216.56)
Net Cost Being Awarded 1,667,783.44 A
Costs Incurred to Date
Projected Costs: Staff Time /Material Testing 47,079.00
Total Estimated Cost for this Phase of Work $ 1,714,862.44 C
Budget for this Phase of Work
Sanitary Utility 725,815.00
Storm Water Utility 362,908.00
Water Utility 489,136.00
Intensification Allowance 12,155.00
Total Budget for this Phase of Work $ 1,590,014.00 B
Estimated Surplus /(Deficit) for this Phase of Work (B - C) (124,848.44) D
Estimated Surplus /(Deficit) from previous phases 15,123.99
Total Estimated Surplus /(Deficit) $ (109,724.45) E
COMMUNITY ENGAGEMENT:
INFORM — This report has been posted to the City's website with the agenda in
advance of the council / committee meeting.
PREVIOUS CONSIDERATION OF THIS MATTER:
INS — 098 Sidewalk Infill — 2016 Projects
ACKNOWLEDGED BY: Dan Chapman, Deputy CAO & City Treasurer, Finance and
Corporate Services