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HomeMy WebLinkAboutFIN-07-062 - E07-031 - Consultant Services - Engineering Audits - Victoria St Reconstruction & Joseph/Gaukel Streets Reconstruction Projects Report To: Mayor Carl Zehr and Members of Council Date of Meeting: 2007-05-14 Prepared By: Larry Gordon Date of Report 2007-05-08 Report No: FIN 07-062 Subject: E07-031- Consultant Services - Engineering Audits - Victoria Street Reconstruction and Joseph/Gaukel Streets Reconstruction Projects RECOMMENDA TION That Expression of Interest E07 -031, Consultant Services - Engineering Audits - Victoria Street Reconstruction and J oseph/Gaukel Streets Reconstruction Projects, be awarded to Marshall Macklin Monaghan Limited, Thornhill, Ontario at their estimated fee of $37,100., including G.S.T. BACKGROUND During the past two construction seasons, the City of Kitchener has undertaken two of its' largest and most complex projects in recent times, if not in its' history. These projects are the Victoria Street reconstruction and what is known as the J oseph/Gaukel Streets reconstruction. Both projects were broad in scope and complex in the sense that they involved multi-faceted infrastructure improvements together with large volumes of contaminated soils. In the case of both the Victoria Street and J oseph/Gaukel projects, the extent of soil contamination was far greater than originally estimated and the proportion of non-hazardous to hazardous material was also far greater than anticipated affecting the ultimate costs and completion dates of both projects significantly. The City anticipates that it will be continually faced with complex projects such as these given the industrial roots of the City's core, the ever changing environmental legislation and the City's increased interest in intensification of its' core and therefore wants to grow its' expertise to better manage them in the future. The Consultant will undertake a comprehensive Project Audit of Victoria Street Reconstruction and Joseph/Gaukel Streets Reconstruction projects. The intent is to identify both strengths and areas for improvement in the City's current engineering project processes and methodologies including project financing, project administration and project management and civil engIneerIng. REPORT In accordance with Chapter 170 of the Municipal Code pertaInIng to the Selection of Professional Services/Consultants, a Consultant's Review Committee was established consisting of C. Ladd, Chief Administrative Officer, R. Browning, General Manager of Development and Technical Services, D. Mansell, Director of Engineering, and L. Gordon, Director of Purchasing. Expressions of interest were advertised publicly in the Record, the City of Kitchener website and on the Ontario Public Buyers Electronic Tendering Information System. Documents were picked up by twelve (12) interested parties. By the closing date of Tuesday March 20th, 2007, five (5) responses had been received. The Review Committee met on Friday April 13th, 2007 to review the submissions. A shortlist of one (1) Consultant was selected for a further interview. The Review Committee met on Friday May 4th to interview the shortlisted candidate. The Committee elected to award the project to Marshall Macklin Monaghan Limited, Thornhill. A listing of the responding parties follows for your reference. Marshall Macklin Monaghan Limited, Thornhill Sanchez Engineering Inc., Cobourg Delcan Corporation, Markham Giffels Associates Limited, Cambridge Marsh Canada Limited, Toronto FINANCIAL IMPLICATIONS This audit relates directly to the management of the Victoria Street and J oseph/Gaukel infrastructure projects. As such, it would be appropriate to fund the associated costs through the project accounts. However, due to a lack of available funding in the two accounts, it is recommended that the cost be funded through the uncommitted infrastructure account (#852420). This account is used to fund negative budget variances on triple-funded infrastructure projects such as Victoria Street and the J oseph/Gaukel project. The projected balance for the uncommitted capital account (#852420) is as follows: C/C Water Sewer Current Balance (including 2007 budget) 871 ,904 313,493 2,509,446 3,694,843 Allocation for Salt-Impacted Soils (90,330) (120,967) (179,660) (390,957) Cost of Project Audit (net of GST) (8,050) (10,850) (16,100) (35,000) Projected Net Balance 773,524 181 ,677 2,313,686 3,268,886 Larry Gordon Director of Purchasing