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HomeMy WebLinkAboutINS-16-036 - Freeport Forcemain PO Extension REPORT TO: Finance and Corporate Services DATE OF MEETING: October 3, 2016 SUBMITTED BY: Hans Gross, P.Eng, Director, Engineering Services 519-741-2200 x 7410 PREPARED BY: Linda Cooper, C.E.T., Manager, Development Engineering, 519-741-2200 x 7974 WARD(S) INVOLVED: Ward 2 and 3 DATE OF REPORT: August 24, 2016 REPORT NO.: INS-16-036 SUBJECT:Freeport Forcemain Phase 2 – Consultant Purchase Order Extension ___________________________________________________________________________ RECOMMENDATION: That an extension of the purchase order be issued to MTE Consultants Inc. for Engineering Consultant services related to the Freeport Forcemains from Hidden Valley Drive to the intersection of Goodrich Drive and Wabanaki Drive in the amount of $346,734.00, plus HST, be approved. BACKGROUND: Through the 2009 and 2014 Development Charge Background Study, an Environmental Assessment was identified as a requirement to determine the upgrades to the Freeport Sanitary Pumping Station. It was recommended through the environmental study report that new twin forcemains be installed from the Freeport Pumping Station to Wabanaki Drive, following the proposed alignment of the River Road extension. The existing forcemain is a 350 mm diameter pipe that has two outlets; at Kingsbury Drive and at Kingsway near St. Jerome Ave. The existing outlet does not have the capacity to support the future growth projected in the Freeport catchment. A development freeze was put in place for the Freeport and Montgomery catchments in 2012. The Environmental Assessment was completed in November 2010. The City retained MTE Consultants in August 2014 to complete the detailed design, contract administration and inspection of the construction of the forcemains for Phase I and preliminary design for Phase II. *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. 2 - 1 REPORT: The new twin forcemain alignment is being constructed in two phases as shown below, construction of Phase one was completed in 2015. The proposed forcemain alignment for Phase 2 was intended to follow and be included in the Region of Waterloo’s proposed River Road Extension from the south side of the Highway 8 crossing to the outlet at the Wabanaki/Goodrich intersection. Therefore, the inspection and contract administration for Phase 2 was not included in the current consultant contract. The Region of Waterloo has recently indicated that their schedule for constructing the River Road Extension could be delayed to as late as 2025 completion. Kitchener’s Engineering staff recommends the construction of the Freeport Forcemain design and construction of Phase 2 (Hidden Valley Road to Wabanaki/Goodrich intersection) ahead of the Region’s River Road Extension contract. This will allow the City to lift the current development freeze in the Freeport and Montgomery catchment areas and will provide revenue through the Development Charges. This will also eliminate the potential for further breaks in the existing forcemain and reduce the risk of environmental spills with possible fines assessed against the City. ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN: Strategic Priority: Safe & Thriving Neighbourhoods Strategy: 3.3 - Manage growth, curb urban sprawl, and foster more mixed use development, ensuring new development is integrated with the diversity and character of the surrounding community. 2 - 2 Strategic Action: #51 Kitchener Growth Management Strategy 2015-2017 FINANCIAL IMPLICATIONS: The current purchase order for MTE Consultants is $542,086.60, plus HST,which includes $20,000.00 for the detailed design of Phase 2. An increase in the amount of $346,734.00, plus HST, is required to the purchase order to complete the detailed design, tendering, contract administration and inspection for the construction of Phase 2. The increase in costs is a scope change for the completion of a full design including tender documents and construction services. Completing the design will also include further subsurface investigation works, communication with land owners and review with external agencies. Additional costs also include some larger tasks such as contract administration and inspection, before this task was being completed by the Region and will now be under the City tender. The project is fully funded through Development Charges and sufficient funds are available to complete this work which will result in lifting the development freeze by eight (8) years. CONCLUSION: Staff have reviewed the request and recommend that the existing purchase order to MTE Consultants Inc. be increased to complete the remaining phase of this project. ACKNOWLEDGED BY: Justin Readman, Executive Director, Infrastructure Services 2 - 3