HomeMy WebLinkAboutFCS-16-107 - T16-059 Cured In Place Sanitary Sewer Lining Contract
REPORT TO: Committee of the Whole
DATE OF MEETING: 2016-06-27
SUBMITTED BY: Michelle Palmer, Director of Supply Services
519-741-2200 ext. 7214
PREPARED BY: Laurie Stecho, Supervisor of Purchasing
519-741-2200 ext. 7089
WARD(S) INVOLVED: Wards 1, 3, 8, 10
DATE OF REPORT: 2016-06-15
REPORT NO.: FCS-16-107
SUBJECT: T16-059 Cured In Place Sanitary Sewer Lining Contract
___________________________________________________________________________
RECOMMENDATION:
That Tender T16-059 Cured In Place Sanitary Sewer Lining Contract be awarded
to Insituform Technologies Limited, Hamilton, Ontario, at their tendered price of
$254,050., including provisional items and contingencies of $25,000., plus H.S.T.
of $33,026.50, for a total of $287,076.50.
BACKGROUND:
The work completed under this contract is the rehabilitation of existing sanitary sewers
through a trenchless method referred to as Cured In Place Pipe (CIPP) Lining.
Through continual inspection of our sanitary sewer network utilizing Closed Circuit TV
technology, pipes are identified that are at the end of their serviceable lives and have
begun to fail. Failures can include cracked pipe, failed joints and collapsed pipe. The
list of candidate sewers is developed in parallel with the development of the capital
infrastructure replacement program (full road reconstructions), candidate sewers are
selected when there is no other infrastructure assessed that requires replacement. This
ensures maximum cost effectiveness between programs.
The CIPP process involves the installation of a continuous polyethylene resin
impregnated liner that is installed within the existing pipe. The liner is placed within the
existing pipe, expanded to cover the inside of the existing pipe and then cured; securely
bonding the liner to the existing pipe surface. The majority of this work is not intrusive
and does not require any excavation of the road. Occasionally, where sections of the
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existing pipe have significantly failed, those sections will be exposed and repaired prior
to the installation of the liner.
The CIPP method is a cost effective sewer rehabilitation method which can extend the
life of the pipe, generally without the need to excavate the road and with minimal
disruptions to traffic and local property access. There are currently six identified streets
planned for this work.
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 ten (10) interested
parties and by the closing date of Thursday June 9, 2016, four (4) tenders had been
received.
The tenders were reviewed by R. Trussler, Construction Project Manager and C. Spere,
Manager Engineering Construction, who concur with the above recommendation.
The following tenders were received:
Bid Price
Insituform Technologies Limited Hamilton ON $287,076.50 *
Clean Water Works Inc. Ottawa ON $385,330.00
PipeFlo Contracting Corp. Hamilton ON $438,666.00
Nieltech Services Ltd. Kitchener ON $462,478.23
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.
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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. The
balance in this account is sufficient to fund the shortfall. The estimated surplus (E) will
remain within the project and used towards future work (Pipe Bursting).
Tender T16-059
Cured In Place Sanitary Sewer Lining Contract
The total budget for all phases of this project is $391,000.00
Estimated Cost for this Phase of Work
Tender T16-059 costs, including HST 287,076.50
less: HST rebate on tender (28,555.21)
Net Cost Being Awarded $258,521.29 A
Projected Costs: Staff Time/Permitting/Material Testing 25,000.00
Total Estimated Cost for this Phase of Work $283,521.29 C
Budget for this Phase of Work
Sanitary Utility 266,000.00
Total Budget for this Phase of Work $266,000.00 B
Estimated (Deficit) for this Phase of Work (B - C) (17,521.29) D
Balance in account, net of encumbrances 107,328.01
Total Estimated Surplus $89,806.72 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:
Not applicable
ACKNOWLEDGED BY:
Dan Chapman, Deputy CAO & City Treasurer, Finance and
Corporate Services
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