HomeMy WebLinkAboutOES 10-09
REPORTTO
COUNCIL
APICKAft.3 Report Number: OES 10-09
Date: May 19, 2009 144
From: Everett Buntsma
Director, Operations & Emergency Services
Subject: Information Technology (IT) Server Room
- HVAC Upgrades - Pickering Civic Complex
- Tender No. T-5-2009
- File: A-1440
Recommendation:
1. That Report OES 10-09 regarding Tender No. T-5-2009 for the Information
Technology (IT) Server Room HVAC Upgrades, Pickering Civic Complex be
received;
2. That Tender No. T-5-2009 submitted by Mack Mechanical Solutions, Inc. in the
total tendered amount of $138,957.00 (GST included) be accepted;
3. That the total gross project cost of $170,457.00 (GST included) and a net project
cost of $162,340.00 including the total tendered amount and other associated
costs be approved;
4. That Council authorize the Director, Corporate Services & Treasurer to fund the
project in the amount of $162,340.00 by, a transfer from the Federal Gas Tax
Reserve Fund; and
5. That the appropriate City of Pickering officials be authorized to take necessary
action to give effect thereto.
i
Executive Summary: This matter has been reviewed and approved previously by
Council when Report OES 28-08 (copy attached) was submitted to Executive
Committee on October 14, 2008.
At that time, Council directed staff to proceed w th a formal tendering process for the
provision of ventilation and air conditioning in the Information Technology Server Room.
Bids have been received, and acceptance of the low bid submitted by Mack
Mechanical Solutions Inc. is recommended.
Report OES 10-09 May 11, 2009
Information Technology (IT) Server Room
- HVAC Upgrades - Pickering Civic Complex
- Tender No. T-5-2009 Page 2
Financial Implications:
The funds originally budgeted in 2008 in the amount of $20,000.00 have been fully
spent in 2008 on temporary air conditioning units, which will now be used elsewhere in
the City.
At this time, the City has received confirmation!. from AMO that this project is deemed
eligible to be funded from the Federal Gas Tax.
1.
TENDER AMOUNT
T-5-2009 $110,340
Cash Allowance 22,000
GST 6,617
Sub-Total $138,957
GST Rebate (6,617)
Total
$132,340
2.
APPROVED SOURCE OF FUNDS
O & ES Capital Budget
Location Project Code So4rce of Funds Budget Required
Pickering Civic 5700.0903.7505 Federal Gas Tax
Complex - Air
Conditioning Unit FUNDS AVAILABLE $200,000 $162,340
for
Information
Technology Server
Room
3.
ESTIMATED PROJECT COSTING SUMMARY
T-5-2009 5700.0903.6178
$132,340
Consultant Fees 10,000
Contingency 20.000
Total $162,340
GST 8,117
Total Gross Project Cost $170,457
GST Rebate (8,117)
Total Net Project Cost 62 4
Under /Over Budget
$37,660
CORP0227-07/01 revised
Report OES 10-09 May 11, 2009
Subject: Information'Technology (IT) Server Room 146
- HVAC Upgrades - Pickering Civic Complex
- Tender No. T-5-2009 Page 3
Sustainability Implications: At present, the internal remedial measures being
used to cool the Server Room are not energy or cost effective. They are only a short
term, temporary aid, not a solution.
If a properly designed upgrade is constructed, the climate control will once again fall
within the City's Sustainability Guidelines. Adequate ventilation and ducting will reduce
the energy requirement for cooling the area thus reducing the carbon footprint.
In addition, the potential loss of network time is in itself not sustainable due to loss of
productivity and customer service.
Background: The consulting firm of AECOM was retained to provide tendering
specifications and technical support for the required HVAC upgrades to the Information
Technology (IT) Server Room.
Bids have been received to the tendering call, which closed on Wednesday, April 15,
2009. Ten (10) companies were invited to participate. An advertisement was placed in
the Daily Commercial News and on the City's website. A mandatory site visit held on
Monday, April 6, 2009 and sixteen (16) companies attended of which ten (10) bidders
responded and submitted a bid for this project,. No addenda was issued during this
tender call.
The low bid was submitted by Mack Mechanical Solutions Inc. This company's
references have been checked and are deemed acceptable by the consultant (AECOM)
and the Division Head, Facilities Operations.
The Health & Safety Policy, Confined Space Entry Procedure, List of Employees
Trained in Confined Space, Workplace Injury; Summary Report, WSIB Clearance
Certificate and Certificate of Insurance submitted by Mack Mechanical Solutions Inc.
have been deemed acceptable by the Coordinator, Health & Safety. In conjunction with
staffs review of the contractor's previous work experience and the bonding available on
this project, the tender is deemed acceptable,
Upon careful examination of all tenders and relevant documents received, the Facilities
& Operations Division recommends the acceptance of the low bid submitted by Mack
Mechanical Solutions Inc. for Tender No. T-5-2009 in the amount of $138,957 (GST
included) and that the total net project cost of $162,340 be approved.
This report has been prepared in conjunction with the Manager, Supply & Services who
concurs with the foregoing.
CORP0227-07/01 revised
Report OES 10-09 May 11, 2009
Subject: Information Technology (IT) Server Room
- HVAC Upgrades - Pickering CiVic Complex
147 -Tender No. T-5-2009 Page 4
Attachments:
1. Report OES 28-08
2. Supply & Services Memorandum dated April 17, 2009
3. Record of Tenders Opened and Checked
4. AECOM letter of recommendation
Prepared By: Approve d By:
Tony Prevedel Brett Buntsma
Division Head, Facilities Operations Director, Operations & Emergency
Services
Ap roved/Endorsed By: Approved/Endorsed By:
i
Vera . Felgemacher illis Paterson
C.P.P., CPPO, CPPB, C.P.M., CMM III 'rector,, Corporate Services &
Manager, Supply & Services T easurer
TP:mld
Copy: Chief Administrative Officer
Recommended for the consideration
of Pickering City Council
C
Thomas T Q ' n, RDMR, CMM III
Chief Admini ative Officer
CORP0227-07/01 revised
i
ATTACHMENT# TO REPORT#LQE
of
Ca` REPORT TO
At d- EXECUTIVE COMMITTEE 1 $
Report Number: OES 28-08
Date: October 14, 2008
From: Everett Buntsma
Director, Operations & Emergency Services
Subject: Information Technology (IT) Server Room
- Ventilation and Air Conditioning, Civic Complex
- File: A-1440
Recommendation:
1. That Report OES 28-08 regarding the Ventilation and Air Conditioning (HVAC)
requirements for the Information Technology (IT) Server Room in the Civic
Complex be received;
2. That staff be directed to proceed with a formal tender process for the provision of
ventilation and air conditioning in the Information Technology Server Room.
Executive Summary: The IT Server Room on the second floor of the Civic
Complex is experiencing serious climate control problems. Three factors were
identified that necessitated the HVAC be upgraded within the computer room during
2007: the first being additional hardware being aOded during the past several years to
accommodate network growth; the second to compensate for the warming of the Civic
Complex's air conditioning system that the computer room partially depends upon; and
the third to replace the roof-mounted unit that vas installed approximately five years
ago that is now insufficient to meet demand.
i
The 2008 Capital Budget included a $20,000.00 Olowance for the IT computer room air
conditioning replacement; however, the total .cost based on informal quotations
received on the Consultant's design is estimateid to be approximately $175,000.00,
therefore, it was decided to re-submit this project in the 2009 Capital Budget and
implement a temporary solution until then.
However, during mid-July, a temporary unit was i stalled within the computer room to
assist with rising temperatures, but during the n ght of September 4, 2008, the unit
failed resulting in a complete shutdown of the computer room servers as a result of
temperatures reaching 108 degrees Fahrenheit; The shutdown of the computer
network resulted in the lost productivity of one-hal ' f day for most employees, and a full
day for others, depending on the application systerh, accessed. The ability of the City to
provide the expected level of customer service to its residents also was impacted.
As this failure could occur again at any time, staff .are seeking authorization to proceed
through the formal tendering process now.
-149 a r
Report OES 28-08 October 14, 2008
Subject: IT Server Room
? Ventilation and Air Conditioning Page 2
Financial Implications: The 2008 Capital Budget included a $20,000 allowance for
IT Server Room air conditioning, but the total cost based on quotations received is
estimated to be approximately $ 175,000.00. This is the realistic cost for a long-term
solution.
Funding for the expenditure, if approved by Council after the results of the Tender Call
are known, will be provided from the 2008 Current Budget Contingency Account and/or
Federal Gas Tax Funds and therefore, will not increase the total approved Budgets for
2008.
Sustainability Implications: At present, the internal remedial measures being
used to cool the Server Room are not energy or cost effective.
If a properly designed upgrade is constructed, the climate control will once again fall
within the City's Sustainability Guidelines. Adequate ventilation and ducting will reduce
the energy requirement for cooling the area thus reducing the carbon footprint.
In addition, the potential loss of network time is in itself not sustainable due to loss of
productivity and customer service.
Background: The need for upgraded ventilation and climate control in the IT
Server Room, on the second floor of the Civic 0omplex was recognized in 2007 and
budgeted for as a capital item in the 2008 Capital Budget for a total amount of
$20,000.00. This budget estimate was originally based on an assumption that
additional compressor units could simply be addeO to the roof.
Engineering consultants (TSH) were commissioned to provide working sketches and
specifications for the required upgrades in spring of 2008. During this process, it
became evident that the required modifications would exceed the original budget
estimate, as the ducting and ventilation was considered to be inadequate for a simple
fix. Therefore, it was decided to defer the pfoject until 2009, and during 2008,
implement a temporary solution using a portion of the $20,000.00. As stated, the
temporary solution failed causing a complete shutdown in the City's computer network.
Informal quotations from a list of qualified contractors were requested in July 2008 and
site meetings were arranged by staff with each of t~e contractors.
CORP0227.07/01 revised
- -S D -0
of
Report OES 28-08 October 14, 2008 150
Subject: IT Server Room
Ventilation and Air Conditioning Page 3
i3
Quotations were received from three qualified contractors and ranged from
$140,000.00 to $175,000.00. These quotations were based on detailed working
sketches and a site visit. Details of the actual bids are not included due to
confidentiality issues.
As the prices greatly exceeded budget, it was decided to defer this project to the 2009
Capital Budget. In consultation with the Manager of Information Technology, an interim
solution involving portable air conditioners was agreed upon in July 2008. However,
because of the ducting limitations only one air conditioner could be operating and it was
the only solution available within the budget restraints.
On September 4, 2008, the temporary system failed. While it is unknown how long the
computer room was without air-conditioning, it is known that at 8:10 am, the
temperature within the computer room was 108 degrees Fahrenheit and metal
components were hot to the touch. The following identifies both the known impact of
this equipment failure, as well as the potential impact.
Known
1. The City as a whole suffered a minimum of four and one-half hours of lost
productivity, as the network was known to be inoperative from 7:00 am to 11:30
am.
2. Most servers went into thermal mode and shut down to protect against the
extreme heat. The newer servers did not shut down, but powered down the
processing capacity to reduce the heat output and power requirements.
3. The server hosting the financial, budget, customer care and property systems
failed to start at 11:30 am, most likely as a result of heat damage. HP was called
and according to the maintenance contract, the server was operational by 5:00
pm.
Potential
1. It is quite possible the City will experience computer equipment failure(s). within the
next three to five weeks. The result will be lost productivity.
2. It is possible that components of the telephone system could fail within the coming
weeks due to the extreme heat experienced. If that were to occur, the City would
be unable to respond to incoming telephone' calls, or to place outgoing calls. A
system identified as the Corporation's most important system would be
unavailable for an unknown time period.
CORP0227-07/01 revised
151 of
Report IDES 28-08 October 14, 2008
Subject: IT Server Room
4 Ventilation and Air Conditioning Page 4
3. It is possible that components of the email system could fail within the coming
weeks due to the extreme heat experienced. If that were to occur, the City would
be unable to send emails, and incoming empils could be lost.
Staff have set up two portable air conditioning units to maintain an appropriate
temperature in the Server Room. However, this solution is not effective in the long
term. At present, hot air discharging from the Server Room is increasing the cooling
load demand and creating a static air pressure prpblem in the entire Civic Complex.
It is therefore recommended that staff be authorized to proceed with a formal tender
process. Once completed, the results, together with financing will be presented to
Council for approval in 2008.
Attachments:. Not applicable
Prepared By: Approved/Endorsed By:
Tony revedel Everett unts
Division Head, Facilities Operations Director, Operations & Emergency Services
Prepared By: Approved/Endorsed By:
Jory.Storms Gillif, AWinager, Information Technology Director, Corporate Services & Treasurer
TP:mld
Copy: Chief Administrative Officer
Recommended for the consideration
of Pickering City Council
T J. Quinn, M , CMM II
Chief Administrative Officer
CORP0227-07/01 revised
ATTACHMENT# TO REPORT# ~ E,
of 3
Cal, o 1 5 2
PIC I
MEMO
To: Tony Prevedel April 17, 2009
Division Head, Facilities Operations
From: Vera A. Felgemacher
Manager; Supply & Services
Copy: Supervisor, Facilities Operations
Subject: Tender No. T-5-2009
Tender for IT Server Room HVAC Upgrades - Pickering Civic Complex .
Closing: April 15, 2009
Tenders have been received for the above project. Eight (8) companies were invited to
participate. An advertisement was placed in the Daily Commercial News and on the City's
Website. A mandatory site visit was held on Monday, April 6, 2009, Sixteen (16) bidders
attended of which ten (10) bidders responded and submitted a tender for this project.
A copy of the Record of Tenders Opened and Chocked used at the public tender opening is
attached. Tenders shall be irrevocable for 60 days after the official closing date and time.
Purchasing Procedure No. PUR 010-001, Item 10.03 (r) provides checking tendered unit
prices and extensions; unit prices shall govern and extensions will be corrected accordingly,
which has been done.
All deposits other than the low three bidders may be returned to the applicable bidders as
provided for by Purchasing Procedure No. PUR 010-001, Item 10.03(w). Three (3) bids have
been retained for review at this time.
SUMMARY
PST & GST included
Bidder Total Tendered Amount $ After Calculation ;Check $
Mack Mechanical Solutions Inc. $138,9517.00 $138,957.00
Superior Boiler Works and $142,666.55 $142,666.55
Welding Ltd.
Prairie Plumbing & Heating $157,290.00 $157,290.00
Snyder Construction $177,643.94 $177,643.94
ATTACHMENT# oZ.__ 4-OREPORT#61CS
153 a of
Plan Group Inc. $179,550.00 $179,550.00
Bomben Plumbing & Heatin $183,750.00 $183,750.00
Canadian Tech Air Systems $219,450.00 $219,450.00
Gimco Ltd. $220,500.00 $220,500.00
Nekison Engineering &
Construction Ltd. $304,500.00 $304,500.00
Automatic rejection - Agreement to bond submitted not in the amount
of 100% of principal's bid amount for Performance and 100% of
Pro 1 Group Ltd. principal's bid amount for Labour and Materials Payments. Reference:
Purchasing By-lawn No. 5900-01, Procedure No. PUR 010-001, 10.04,
Ftem 9 (c), 1 B Item 17, 18, 19, and Agreement to Bond Form AB-1
Pursuant to Information to Bidders Item 21, the following will be requested of the low bidder for
your review during the evaluation stage of this tender call. Please advise when you wish us to
proceed with this task.
(a) a copy of the Health and Safety Policy to be used on this project, currently dated and
signed;
(b) ! Proof of compliance with amended Confined Space Entry Regulations (September 30,
2006). Copies of certified Training and Procedures to be used on this project;
(c) A list of employees trained in the confined space entry procedure who will be working on
this project;
(d) a copy of the current Cost and Frequency Report issued by Workplace Safety & Insurance
Board (in lieu of the Cost and Frequency document, a copy of the current CAD 7, NEER,
or MAP reports may be submitted);
(e) a copy of the current Clearance Certificate issued by Workplace Safety & Insurance Board
(received with tender submission);
(f) the City's certificate of insurance completed by the bidder's agent, broker or insurer
(received with tender submission);
(g) list of sub-contractors in accordance with GC Item 33, Form SCL-1
Include the following items in your Report to Council:
(a) if items (a) through (d) noted above, are acceptable to the Co-ordinator, Health & Safety
(b) any past work experience Mack Mechanical Solutions Inc. including work location;
(c) without past work experience, if reference information is acceptable;
(d) the appropriate account number(s) to which this work is to be charged;
(e) the budget amount(s)- assigned thereto;
(f) Treasurer's confirmation of funding;
(g) related departmental approvals;
(h) any reason(s) why the low bid of Mack Mechanical Solutions Inc. is not acceptable; and
(i) related comments specific to the project.
April 16, 2009
Tender No. T-5-2009 Page 2
Tender for IT Server Room HVAC Upgrades -
Pickering Civic Complex
ATTACH MENT# a TOREPORT# 6=0~G
of
154
AECOM as the consultant on this project will be reviewing submissions and making
recommendations to you. The consultant should also review carefully all submittal information
based on tendering instructions. If the consultant notices any infractions or information
missing during the evaluation, please contact a member of Supply & Services as soon as
possible.
Please do not disclose any information to enquiries except you can direct them to the City's
website for the unofficial bid results as read out at the Public tender opening. Bidders will be
advised of the outcome in due course.
If you require further information, please feel free to contact me or a member of Supply &
Servic S,
Vera A. elgemacher
VF/jg
Attachments
April 16, 2009
Tender No. T-5-2009 Page 3
Tender for IT Server Room HVAC Upgrades -
Pickering Civic Complex _
ATTACH MENT#-.,:3 TOREPORT#
155 _ of
j The following unofficial Bid results as read out at the public tender opening
April 15, 2009 for:
1
Subject Tender No. T-5-2009
IT Server Room HVAC Upgrades - Pickering Civic Complex
E Bidder
Total Tendered Amount
Snyder Construction $177,643.94
Bomben Plumbing & Heating
$183,750.00
Plan Group Inc.
$179,550.00
Canadian Tech Air Systems
$219,450.00
Prairie Plumbing & Heating $157,290.00
Nekison Engineering & Construction Ltd. $304,500.00
Superior Boiler Works and Welding Ltd.
$142,666.55
Pro 1 group Ltd.
$211,680.00
Mack Mechanical Inc.
Solutions
$138,957.00
Ltd.
$220,500.00
The information is strictly preliminary, pending review and verification of conformance to terms,
conditions and specifications
r
-2UUU Hl Ug: H AM AECOM FAX NO. 905 668 0221 P. 02
ATTACHMENT# _z4 i`0 REPORT#b 0 - (5
AECOM of 156
300 Water Street
Whitby. Ontario, Canada .LIN 912
(905) 668-9363 Fax: (905) 668-0222
April 24, 2009
Mr. Tony Prevedel
Division Head,
11acilities Operations Division,
City of Pickering
One The Esplanade
Pickering, Ont,
LIV 6K7
Dear Mr. Prevedel:
Re: Civic. Centre .
I.T. Server Room HVAC Upgrades, Pickering Civic Complex, Tender T-5-2009 .
AECOM Project No. 22-14562
We reviewed the docLainents received from your office: identifying the three low bidders who submitted
quotations:
'Mack Mechanical Solutions Inc. "Mack Mechanical") $138,957.00, GST included
Su erior Boiler Works and Weldin Limited "Su riot") $142,666.55, GST included
Prairie Pl umbin and Heatin "Prairie PIumbin a d Hearin " $157 290.00, G 3T included
For each of the bids:
a) The quotation form does not appear to have mat6matical errors nor does it appear informal.
b) Bid Bonds and Agreement to Bond forms were provided.
c) Three reference projects were provided.
d) It is assumed that corporate seals are affixed on the original documents as the seals are not visible
on the copies reviewed.
Only the Superior Boiler Works and Welding Limited tender included an insurance form and WSM sheet.
These documents are not required at the time of the bid submission.
There does not appear to be any non-conformity in any of the tender documents; the three low bidders'
documents are compliant.
The project budget estimate was $160,000 and all three of the low bids were below the budget estimate
for the project.
We note that the there is a substantial difference in the years of experience between the three low bidders
as follows:
Mack Mechanical 3 ears
Su erior 46 ears
Prairie Plumb in and Heatin
21 ears
APR-24-2009-FRI 0917 AM AECOM FAX NO. 905 668 0221 P. 03
aTTAc lriPty `r0REP0RT#,.810C,
lVlr. Prevedel, City of Pickering of
1 5j4 6124, 2009
None of the bidders identified any past experience with: the City of Pickering.
We contacted the references listed by each of the three bidders to review their previous work
performance:
a) Prairie Plumbing and Heating had reasonable reports from two of three references that
we contacted. A project for one of the references included services for a small
computer room. The third reference has not responded to date. Prairie Plumbing and
Heating has also satisfactorily completed a number of other projects in the Durham
Region with AECOM however none, of the projects involved a computer room.
b) Mack Mechanical received positive reports regarding their work and dealings from all
of their referenced projects. The references contacted advised us that they were
impressed with Mack Mechanical's professionalism, administration abilities and
timely completion of the projects. There was a computer room involved in two of the
three referenced projects.
c) We attempted to contact the three references for Superior. The telephone numbers for
two of the references were no longer in service, however, new numbers were
discovered and contact was made. The contact names identified were no longer
employed at the listed agencies. The thud reference advised us that they were
completely satisfied with Superior's performance, capabilities and organization on the
listed project, as well as on a number of other projects. Please note that none of the
projects referenced actually relate to computer room installations.
Since this project involves confined space entry requirements, as defined by the City of Pickering, the
selected successful bidder should be required. to produce the proper confirmation documents for the
personnel anticipated to be assigned to this project in order to confirm compliance to the OSHA
procedures.
In conclusion, the lowest compliant bidder is Mack Mechanical with a quotation of $138,957.00 GST
included). Superior's quotation is second at $142,666.55 (GST included) and Prairie; Plumbing and
Heating's quotation is third at $157,290.00 (GST included).
We trust the aforementioned is satisfactory.
Yours truly,
AECOM Canada Ltd.
Mark A. Benedet P.Eng.
Manager -Mechanical Engineering
MAB