Loading...
HomeMy WebLinkAboutFCS-17-155 - T17-115 Cured in Place Sanitary Sewer LiningStaff Report Finance and Corporate Services Department www:kirrhenerca 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(s) 1, 2,4 DATE OF REPORT: 2017-08-16 REPORT NO.: FCS -17-155 SUBJECT: T17-115 Cured in Place Sanitary Sewer Lining RECOMMENDATION: That Tender T17-115 Cured in Place Sanitary Sewer Lining, be awarded to Insituform Technologies Limited, Hamilton, Ontario, at their corrected tendered price of $287,763.90, including provisional items and contingencies of $36,293.60, plus H.S.T. of $37,409.31, for a total of $325,173.21, for a one (1) year term, with an option to renew for three (3) additional twelve (12) month terms. BACKGROUND: The work to be completed under this contract is the rehabilitation of existing sanitary sewers through a trenchless method referred to as Cured In Place Pipe (CIPP) Lining. CIPP Lining is a continuous polyethylene liner that relines the existing sanitary sewer with a liner that securely bonds to the existing pipe. The new liner gives the old pipe new structural integrity that prolongs the life expectancy of the old pipe by up to 50 years. Through continual inspection of our sanitary sewer network utilizing Closed Circuit TV (CCTV) technology, a priority list of deteriorated sanitary sewers has been created by City staff for rehabilitation. The sanitary sewers selected for trenchless rehabilitation, under this contract, have met the criteria for the Cured In Place Pipe Lining. Once the new liner has been installed, all of the service laterals will be drilled out by robotic drills to restore the connections with the sanitary sewer. This method of construction requires no open cut digging and can be completed without any major disruptions to the traffic and local access. *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. 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 eight (8) interested parties and by the closing date of Thursday August 10, 2017, four (4) tenders had been received. The tenders were reviewed by B. Garcia, Engineering Construction Project Manager, who concurs with the above recommendation. The following tenders were received: Insituform Technologies Limited PipeFlo Contracting Corporation Nieltech Services Limited D.M. Robichaud Associates Limited Hamilton ON Hamilton ON Cambridge ON Oshawa ON Bid Price $327,451.29 $426,567.76 $438,887.25 $450,881.53 Corrected Bid Price $325,173.21 * Tenders were checked for mathematical accuracy 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. 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 included within the approved capital budget. The estimated surplus (E) will remain within the project to fund future work. Tender T17-115 Cured in Place Sanitary Sewer Lining Estimated Cost for this Phase of Work Tender T17-115 costs, including HST 325,173.21 less: HST rebate on tender (32,344.65) Net Cost Being Awarded 292,828.56 Projected Costs: Staff Time/Permitting/Material Testing 48,000.00 Total Estimated Cost for this Phase of Work $340,828.56 Budget for this Phase of Work Sanitary Utility 398,000.00 Total Budget for this Phase of Work $398,000.00 Estimated Surplus/(Deficit) for this Phase of Work (B - C) 57,171.44 Balance in account, net of encumbrances 121,962.61 Total Estimated Surplus/(Deficit) $179,134.05 COMMUNITY ENGAGEMENT: A C B D E 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