Loading...
HomeMy WebLinkAboutFIN-2022-101 - T22-007 Downtown Cycling Network Construction (Cedar Street, Ontario Street South) Financial Services Department www.kitchener.ca REPORT TO: Committee of the Whole DATE OF MEETING: February 28, 2022 SUBMITTED BY: Ryan Scott, Manager, Procurement, 519-741-2200 ext. 7214 PREPARED BY: Jenny Ung, Procurement Specialist, 519-741-2200 ext. 7216 WARD(S) INVOLVED: Wards 9, 10 DATE OF REPORT: February 18, 2022 REPORT NO.: FIN-2022-101 SUBJECT: T22-007 Downtown Cycling Network Construction (Cedar Street, Ontario Street South) RECOMMENDATION: That Tender T22-007 Downtown Cycling Network Construction (Cedar Street, Ontario Street South), be awarded to Steed and Evans Limited, St. Jacobs, Ontario, at their tendered price of $1,195,828.34, including provisional items and contingencies of $117,446., plus H.S.T. of $170,725.67, for a total of $1,484,000.02. 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 the value of the bid being recommended for award is in excess of the Council approved budget; There were two (2) solicitations received for this procurement; 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 next phase of the Downtown Cycling Network. Funds for construction have previously been approved by Council as part of the 2021 budget. 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. *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. Work for this tender is scheduled for Cedar Street from Church street to Weber Street East and Krug Street from Weber Street East to Lancaster Street East as well as on Ontario Street South from Joseph Street to King Street West. The project is scheduled to begin April 4th, 2022, weather permitting. REPORT: As per clause 170.7.3 of the Purchasing By-law 2017- Value, the Director of Supply Services 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. the value of the Bid being recommended for award including any contingency allowance are in excess of th Tenders were advertised publicly on the City of Kitchener website. Documents were downloaded by twenty-four (24) interested parties and by the closing date of Thursday February 12, 2022, two (2) tenders had been received. The following tenders were received: Bid Price Steed and Evans Limited St. Jacobs ON $1,484,000.02 * Capital Paving Inc Guelph ON $2,160,559.99 The tenders were reviewed by J. Seip, 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 $125,000.00. 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 deficit (E) will be funded by future phases of work. Tender T22-007 Downtown Cycling Construction The total budget for all phases of this project is $ 5,276,000.00 Estimated Cost for this Phase of Work Tender T22-007 costs, including HST 1,484,000.02 less: HST rebate on tender (147,611.97) Net Cost Being Awarded 1,336,388.05 A Costs Incurred to Date - Projected Costs: Regional Traffic Signal Adjustments 86,900.00 Projected Costs: Utility Relocation 100,000.00 Projected Costs: Staff Time 119,340.00 Project Costs: Sign Shop 30,000.00 Total Estimated Cost for this Phase of Work 1,672,628.05 C Budget for this Phase of Work Revenue Fund 71,000.00 Parking 331,000.00 Canada Community Benefit Fund 686,000.00 Development Charges 314,000.00 Ontario St. Transfer 105,000.00 Total Budget for this Phase of Work 1,507,000.00 B Estimated Surplus/(Deficit) for this Phase of Work (B - C) (165,628.05) D Estimated Surplus/(Deficit) from previous phases (15,884.16) Total Estimated Surplus/(Deficit) (181,512.21) E COMMUNITY ENGAGEMENT: INFORM council / committee meeting. PREVIOUS REPORTS/AUTHORITIES: There are no previous reports/authorities related to this matter. APPROVEDBY: Jonathan Lautenbach, Chief Financial Officer, Financial Services Department