HomeMy WebLinkAboutFCS-17-153 - T17-098 Sediment Removal and Disposal from SWM Block 61Staff Report
Finance and Corporate Services Department www:kirrhenerra
REPORT TO: Committee of the Whole
DATE OF MEETING: 2017-08-28
SUBMITTED BY: Michelle Palmer, Director of Supply Services
519-741-2200 ext. 7214
PREPARED BY: Adam Buchholtz, Buyer, 519-741-2200 ext. 7217
WARD(S) INVOLVED: Ward 5
DATE OF REPORT: 2017-08-15
REPORT NO.: FCS -17-153
SUBJECT: T17-098 Sediment Removal and Disposal from SWM
Block 61
RECOMMENDATION:
That Tender T17-098 Sediment Removal and Disposal from SWM Block 61, be
awarded to Ground Force Environmental Inc., Kitchener, Ontario, at their
corrected tendered price of $238,358.36, including provisional items and
contingencies of $89,521.36, plus H.S.T. of $30,986.59, for a total of $269,344.95
for a one (1) year term, with an option to renew for two (2) additional twelve (12)
month terms.
BACKGROUND:
The City owns and operates 107 Stormwater Management Facilities (SWMFs). As part
of the City's regulatory requirements under the Ontario Water Resources Act, the City is
required to maintain the function of these facilities. The SWMFs accumulate sediment
and require cleaning on a regular basis, with the frequency varying depending on the
catchment size, type, etc. The City's operations and maintenance staff clean out ten
(10) to fifteen (15) SWMFs per year. Operations staff removed approximately 5,000
tonnes of material in the winter of 2016/2017. The material was taken to a drying facility
located at Stormwater Management Block 61, near Strasburg Road and Battler Road, to
dewater over the spring and summer months. The material has been tested by a
retained consultant to ensure levels do not exceed acceptable Total Characteristic
Leaching Procedure (TCLP) levels and can be disposed of at a regulated non-
hazardous disposal site. Disposal sites are identified by the bidders within the tender
and must be licensed to accept the material. Since the City does not have the capacity,
necessary equipment or staff to haul and dispose of this material, a tender was
*** This information is available in accessible formats upon request. ***
Please call 519-741-2345 or TTY 1-866-969-9994 for assistance.
prepared to retain a contractor to remove and dispose of this material. Upon Council
award, removal and disposal works are anticipated to begin late September 2017, and
be completed within a few weeks from the start date. The maintenance of SWMFs will
occur on an annual basis.
The average annual spend over the past two (2) years was $183,115.82, before taxes.
The actual spend will depend on the final weight of material removed throughout the
term of the contract.
REPORT:
Tenders were advertised publicly on the City of Kitchener website and the internet
through the Ontario Public Buyers Electronic Tendering Information System.
Documents were downloaded twelve (12) interested parties and by the closing date of
Tuesday August 15, 2017, four (4) tenders had been received.
The tenders were reviewed by S. Brickman, Design & Construction Project Manager,
and N. Gollan, Manager of Stormwater Utility, who concur with the above
recommendation.
The following tenders were received:
Corrected
Rid Prira Rid Prira
Ground Force Environmental Inc. Kitchener ON $269,344.93 $269,344.95*
KG Services Brantford ON $320,242.00
Capital Paving Inc. Guelph ON $321,004.24
Clean Harbors Canada Inc. Guelph ON $398,579.25
Tenders were checked for mathematical accuracy and corrected accordingly
The price for removal and disposal of sediment has increased 1.5% from the 2016
contract.
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.
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 provided from the SWM Cash in Lieu account. The SWM Cash in
Lieu account is funded at time of development by a designated financial contribution as
defined in the City's published fees and charges schedule. These funds are then
applied towards stormwater management in conformance with the recommended
approaches of the Integrated Stormwater Management Master Plan (per policy MUN-
UTI-2003). The estimated surplus (E) will be returned to the SWM Cash in Lieu
account upon completion of the work.
Tender T17-098
Removal & Disposal of Excess Materials from SWM BLK 61
Estimated Cost for this Phase of Work
Tender T17-098, including HST
less: HST rebate on tender
Net Cost Being Awarded
Costs Incurred to Date
Projected Costs: Staff Time
Total Estimated Cost for this Phase of Work
Budget for this Phase of Work
SWM Cash in Lieu
Total Budget for this Phase of Work
Estimated Surplus/(Deficit) for this Phase of Work (B - C)
Balance in account, net of encumbrances
Total Estimated Surplus/(Deficit)
269,344.95
(26,791.47)
242,553.48 A
10,000.00
$252,553.48 C
254,000.00
$254,000.00 B
1,446.52 D
(29.80)
1,416.72 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