HomeMy WebLinkAboutFIN-2021-15 - T21-022 Downtown Cycling Network Construction
REPORT TO: Committee of the Whole
DATE OF MEETING: 2021-03-22
SUBMITTED BY: Ryan Scott, Manager of Procurement, 519-741-2200 ext. 7214
PREPARED BY: Polina Semenov, Procurement Specialist, 519-741-2200 ext. 7037
WARD(S) INVOLVED: Ward 9 and 10
DATE OF REPORT: 2021-03-12
REPORT NO.: FIN-2021-15
SUBJECT: T21-022 Downtown Cycling Network Construction
RECOMMENDATION:
That Tender T21-022 Downtown Cycling Network Construction, be awarded to Steed
and Evans Limited, St. Jacobs, Ontario, at their tendered price of $2,600,884.96,
including provisional items and contingencies of $240,180.00, plus H.S.T. of
$338,115.04, for a total of $2,939,000.00.
REPORT HIGHLIGHTS:
The purpose of this report is to obtain approval to proceed with an award as per
Purchasing By-law 2017-106;
The reason this report is coming forward is that only one (1) bid was received in
response to this solicitation;
This report supports People-friendly Transportation by installing a continuous and
protected cycling network.
BACKGROUND:
Transportation Planning in collaboration with Engineering Services is proceeding with the
construction of the modified first phase of the Downtown Cycling Network.
The installation of a Protected Downtown Cycling Grid (the grid) delivers on the Strategic
Plan goal of providing more People-Friendly Transportation options and addresses the
immediate priorities identified in the approved Cycling and Trails Master Plan.
The work is comprised of two (2) separate parts of which the limits are defined as follows:
Part 1 Joseph Street from Victoria Street South to Queen Street South, Water Street
from Joseph Street to Weber Street West, and Queen Street from Joseph Street to
Church Street;
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Please call 519-741-2345 or TTY 1-866-969-9994 for assistance.
Part 2 Cedar Street from Church Street to Lancaster Street East and Chapel Street
at Samuel Street and Simeon Street.
The tender allowed the work to be awarded in full (both parts) or in partial (part 1 and part 2
independently). Only part 1 is being recommended for award for the construction of the
separated bike lanes on Water Street, Joseph Street and Queen Street. This allows a
substantial portion of work to be completed of the downtown cycling grid.
Given the unique nature of this work, future phases of construction (including part 2) will be
re-evaluated on contract size, project management and traffic control requirements which
will aid in increasing interest in these projects from multiple contractors.
Funding for this project has been approved by council as part of the 2021 budget process.
The project is scheduled to begin April 6th, 2021.
REPORT:
As per clause 170.7.3 of the Purchasing By-law 2017-
Procurement Value, the Manager of Procurement shall submit a report to Council
recommending award of a purchase greater than $100,000 if any one or more of the
following conditions apply:
a. only one Bid was received in response to the Solicitation;
Tenders were advertised publicly on the City of Kitchener website. Documents were
downloaded by twenty (20) interested parties and by the closing date of Tuesday March 9,
2021, one (1) tender had been received.
The following tender was received:
Bid Price Bid Price
(Part 1 and 2) (Part 1)
Steed and Evans Limited St. Jacobs ON $3,625,000.01 $2,939,000.00
The tenders were reviewed by J. Seip, E.T., Engineering Technologist, who concurs with
the above recommendation.
STRATEGIC PLAN ALIGNMENT:
This report supports People-friendly Transportation by installing a continuous and protected
cycling network.
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 but the
upset limit exceeds 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 in the account to fund future phases of this project.
Tender T21-022
Downtown Cycling Construction
Estimated Cost for this Phase of Work
Adjusted Tender T21-022 costs, including HST 2,939,000.00
less: HST rebate on tender (292,339.34)
Net Cost Being Awarded $ 2,646,660.66 A
Costs Incurred to Date -
Projected Costs: Regional Traffic Signal Adjustments 117,700.00
Projected Costs: Consultant Inspection 185,000.00
Projected Costs: Staff Time/Material Testing 23,103.00
Total Estimated Cost for this Phase of Work $ 2,972,463.66 C
Budget for this Phase of Work
Cycling Infrastructure account- Phase 1 budget 2,657,000.00
Total Budget for this Phase of Work $ 2,657,000.00 B
Estimated Surplus/(Deficit) for this Phase of Work (B - C) (315,463.66) D
Balance in account, net of encumbrances 672,864.14
Total Estimated Surplus/(Deficit) $ 357,400.48 E
COMMUNITY ENGAGEMENT:
INFORM
the council / committee meeting.
PREVIOUS REPORTS/AUTHORITIES:
There are no previous reports/authorities related to this matter
APPROVED BY: Jonathan Lautenbach, Chief Financial Officer, Financial Services
Department