HomeMy WebLinkAboutFIN-07-045 - T07-002 - Road & Surface ConstructionReport To: Mayor Carl Zehr & Members of Council
Date of Meeting: 2007-04-16
Prepared By: Larry Gordon
Date of Report: 2007-04-10
Report No: FIN 07-045
Subject: T07-002 -Road and Surface Construction
RECOMMENDATION
That tender T07-002, Road and Surface Construction, be awarded to Steed And Evans Limited,
Kitchener, at their tendered price of $3,021,805.07, including provisional items and contingency
of $102,239.50 and G.S.T., and further that the Mayor and City Clerk be authorized to execute
an agreement satisfactory to the City Solicitor.
BACKGROUND
As part of a three year cyclical review process, the City of Kitchener's roadway network is
evaluated by consulting engineers in terms of surface distress, ride comfort and structural
adequacy. Collectively, these evaluations determine an overall pavement quality rating for each
road section within the entire network.
As a result of this network survey, a performance prediction model is created and an overall need
analysis is performed. Typically, pavement quality ratings will decrease over time and it is
necessary to model deterioration ratings or values in order to estimate network need
requirements. The final results of this evaluation process is a recommended pavement
improvement program stating which pavement sections to rehabilitate, the year in which
rehabilitation should be implemented, and the type of rehabilitation.
Once completed, the Asset Management group of Engineering Infrastructure will analyse this
information and compare this data in relationship with additional assets located within the road
right-of-way. Such assets include sidewalks, curbs, gas, water, storm and sanitary sewers. Upon
this asset assessment or evaluation, a road improvement program is prepared and implemented
on an annual basis; this program is called Road and Surface Construction.
REPORT
Tenders were advertised publicly in The Record, The Daily Commercial News, on the City of
Kitchener website and on the Internet through the Ontario Public Buyers Electronic Tendering
Information System. Fourteen (14) potential bidders picked up tender documents, and by the
closing date of Thursday March l~r, 2007, four (4) tenders had been received.
The low bid submitted by Four Seasons Site Development Ltd. of Mississauga, Ontario was not
compliant relative to the Form of Tender Statement "G", Bidder's Plant, which requires that the
bidders plant for asphalt supply must be within 35 KM's of Kitchener City Hall and failure to
comply with this requirement may result in the tender being rejected, and was rejected.
This is important because hot mix asphalt paving is subject to temperature and the quality of the
end product is dependent on the time of placement. The local supply of hot mix asphalt and
placement in a timely manner will provide greater probability that pavements will perform better
over time.
The tenders were reviewed by E. Saunderson, Design and Construction Project Manager, who
concurs with the above recommendation.
The following tenders were received:
Four Seasons Site Development Ltd. Mississauga, ON $2,985,499.54
Steed And Evans Limited Kitchener, ON $3,021,805.07*
LaFarge Paving & Construction Ltd. Petersburg, ON $3,109,354.19
Capital Paving Inc. Guelph, ON $3,179,012.31
FINANCIAL IMPLICATIONS
Funding will be provided from Index 852319 -Resurfacing City Streets
REVENUES
Current Balance (852319) $ 310,036.60
2007 Gas Tax Funding $1,993,000.00
Contribution from Region (Victoria St. -Margaret to Weber) $ 85,000.00
Additional Revenue Projected $ 601,598.90
TOTAL $2,989,635.50
EXPENSES
Tender T07-002 $3,021,805.07
Less G.S.T Rebate ($ 171,045.57)
$2,850,759.50 $2,850,759.50
Encumbrances $ 138,876.00
TOTAL EXPENSES $2,989,635.50
Larry Gordon
Director of Purchasing