HomeMy WebLinkAboutCR 09-13From: Marisa Carpino
Director, Culture & Recreation
Report to
Executive Committee
Report Number: CR 09 -13
Date: May 13, 2013
Subject: Tender for Pickering Recreation Complex Banquet Hall and Washroom
Renovation Project
- Tender No. T -7 -2013
- File: A -1440
Recommendation:
That Report CR 09 -2013 of the Director, Culture & Recreation regarding the
Pickering Recreation Complex Banquet Hall and Washroom Renovation Project
be received;
2. That Tender No. T -7 -2013 submitted by M/2 Group Inc. in the total tendered
amount of $787,358.01 (HST included) be accepted;
3. That the total gross project cost of $917,432.00 (HST included), including the
tender amount and other associated costs, and the total net project cost of
$826,176.00 (net of HST rebate) be approved;
4
That Council authorize the (Acting) Division Head, Finance & Treasurer to
finance the project in the amount of $826,176.00 as follows:
a) the sum of $228,719.00 as provided for in the 2013 Recreation Complex
Capital Budget to be funded from the Community Infrastructure
Improvement Fund (CIIF);
b) the sum of $490,000.00 as provided for in the 2013 Recreation Complex
Capital Budget to be financed by the issue of debentures by The Regional
Municipality of Durham over a period not to exceed 10 years;
c) the sum of $100,000.00 as provided for in the 2012 Recreation Complex
Capital Budget to be funded from the Federal Gas Tax Reserve Fund
(FGT); and
d) the balance of $7,457.00 to be funded from property taxes; and
That the appropriate City of Pickering officials be authorized to take necessary
action to give effect thereto.
Report CR 09 -13
May 13, 2013
Page 2
Executive Summary: The City of Pickering has been approved for funding under the
CIIF for the Pickering Recreation Complex Banquet Hall and Washroom Renovation
Project. This project was approved in the 2013 Capital Budget in the amount of
$786,843.00.
The Pickering Recreation Complex Banquet Hall and Washroom Renovation Project will
include the installation of new energy efficient lighting controls and fixtures, new audio
visual equipment, new sound system, new flooring in banquet hall and washrooms,
renovated and accessible washroom facilities.
Financial Implications:
Tender No. T -7 -2013
Recreation Complex Banquet Hall and Washroom $696,777.00
Project
HST (13 %) 90,581.01
Total Gross Tender Cost $787,358.01
2. Estimated Project costing 5umm
Tender No. T -7 -2013 for Recreation Complex Banquet Hall
and Washroom Project
Miscellaneous Costs
Communication Costs (project signage, public
announcement)
Consulting Costs
Construction Contingency
Total Project Costs
HST (13 %)
Total Gross Project Cost
HST Rebate (11.24 %)
Total Net Project Cost
$696,777.00
4,310.00
5,000.00
35,800.00
70,000.00
$811,887.00
105,545.00
$917,432.00
(91,256.00)
Report CR 09 -13
3. Approved Source of Funds
May 13, 2013
Page 3
Recreation Complex — Core Budget
Account Code Source of Funds Budget Required
5731.1308.6181 Federal Grant — CIIF $228,719.00 $228,719.00
5731.1308.6181 Debt,— 10 year 558,124.00 490,000.00
5731.1202.6181 Federal Gas Tax 100,000.00 100,000.00
Reserve Fund
5731.1308.6181 Property Taxes 0.00 7,457.00
$886,843.00 $826,176.00
Project Cost under (over) approved funds by $60,667.00
This project is to be funded by a combination of funding from the FGT, the CIIF, 10 -year
debt, and property taxes.
The City of Pickering was successful in receiving a federal grant from the CIIF for the
Pickering Recreation Complex Banquet Hall and Washroom Renovation Project that
covers up to a third of the total project cost. The estimated project cost submitted for the
grant application was $686,157.00, out of which $228,719.00 (1/3) was approved to be
funded by the CIIF grant. The amount of this grant is limited to 33.3% of the estimated
cost submitted for this project. The City bears the remaining share of the 66.7 %.
FGT funding in the amount of $100,000.00 will be directed to the Banquet Hall- Dimmer
Control, Lighting Replacement (new energy efficient lighting controls) component of this
project. This component is eligible for FGT funding based on the green outcome
category of "Community Energy Savings ". The estimated cost of this component is
approximately $250,000.00.
Because a component of this project is to be funded from the FGT, we are to ensure we
comply with the FGT funding agreement requirement of not "stacking" federal funding
dollars, taking into consideration the approved funding under the CIIF is also a federal
grant. "Stacking" under the FGT funding agreement limits federal funding from all
sources for the City's share of the total cost to no more than 50% of the total cost of the
project.
The combined FGT and CIIF federal funds total $328,719.00 which is approximately
40% of the total funds required ($826,176.00). This is within the allowable total federal
funding dollar limit, and therefore does not contravene the "stacking" prohibition.
Report CR 09 -13
May 13, 2013
Page 4
As per the contribution agreement for the CIIF grant, this project must be completed. by
March 31, 2014 and as such immediate project mobilization is critical to this project.
Table 3 provides the amount to be funded from each source and confirms that the
funding sources conform to the approved and allowable funding ratio.
Discussion: The Pickering Recreation. Complex Banquet Hall and
Washroom Renovation Project was approved by Council in the 2013 Capital Budget in
the amount of $786,843.00. The project also utilizes carry over funds for the Banquet
Hall - Dimmer Control, Lighting Replacement Project from the approved 2012 Capital
Budget in the amount $100,000.00.
As part of the City of Pickering Five Year Accessibility Plan (2011- 2016), renovations of
the Pickering Recreation Complex Banquet Hall washrooms were identified as a 2013
capital project. A number of improvements to the Recreation Complex washroom
facilities are required in order to update outdated fixtures and improve barrier free
access to facility users.
The Pickering Recreation Complex Banquet Hall and Washroom Renovation Project will
include the installation of new energy efficient lighting and controls, new audio visual
and sound equipment, new flooring, renovated and accessible washroom facilities in the
banquet halls and new universal washrooms within the lobby of the Pickering
Recreation Complex (first floor).
Pickering Recreation Complex Banquet Halls are regularly used for weddings, dances,
trade shows, corporate training, city programs and other related functions. This
renovation project will provide accessible washroom facilities, new and improved energy
efficient lighting controls and fixtures, new banquet hall and washroom flooring and
state -of- the -art audiovisual and sound equipment for a variety of rental functions.
Bids have been received to the tendering call, which closed on Tuesday, April 3, 2013.
A mandatory site visit was held on Thursday, March 21, 2013 for the eight prequalified
contractors selected to submit a tender for this project. The low bid was submitted by
M/2 Group Inc.
Jurecka + Associates, consultant on the renovation project, recommends M/2 Group
Inc. as the lowest acceptable qualified bidder. The Health and Safety Policy, a current
Workplace Safety and Insurance Board (WSIB) Workplace Injury Summary Report, and
a Clearance Certificate issued by the WSIB as submitted by M/2 Group Inc. have been
reviewed by the Coordinator, Health & Safety and deemed acceptable. The Certificate
of Insurance is deemed acceptable to (Acting) Manager, Budgets & Internal Audit. In
conjunction with staff's review of the contractor's previous work experience, check of
references and bonding available on this project, the tender is deemed acceptable.
Report CR 09 -13
May 13, 2013
Page 5
Upon careful examination of all tenders and relevant documents received, the Culture &
Recreation Department recommends the acceptance of the low bid submitted by M/2
Group Inc. for Tender No. T -7 -2013 in the amount of $787,358.01 (HST included) and
that the total net project cost of $826,176.00 be approved.
Attachments:
1. Location Map
2. Supply & Services Memorandum dated April 3, 2013
3. Letter from Paul Jurecka, Jurecka + Associates Architects Inc. dated April 5, 2013
4. By -law to authorize the issuance of debentures in the amount of $490,000.00 for
the Pickering Recreation Complex Banquet Hall and Washroom Renovation
Project.
Prepared By:
ikenell
ap rvisor, Facility Operations
Vera A. Frelgemacher
C.P.P., CPPO, CPPB, C.P.M., CMM III
Manager, Supply & Services
Approved /Endorsed By:
Marisa Carpifrr- Director, C & Recreation
Stan Karwowski
(Acting) Division Head, Finance &
Treasurer
Report CR 09 -13
May 13, 2013
Page 6
Caryn Kong, CGA Paul Bigio i
Senior financial Analyst - Capital & Director, orp rate ervices &
Debt Management City Solicit r
MC-.1g
Recommended for the consideration
of Pickering City Council
get3
Tony Prevedel, P.Eng.
Chief Administrative Officer
ATTACHMENT # TO REPORT #L k- 09 -1 "�:)
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ENGINEERING & PUBLIC ATTACHMENT FOR CULTURE &
WORKS DEPARTMENT qty 00
CAPITAL PROJECTS & RECREATION REPORT CR 09 -13
INFRASTRUCTURE TENDER T -07 -2013 RENOVATION PROJECT
SCAB N.T.S DATE April 10 /2013 PICKERING RECREATION COMPLEX
ATTACHMENT# _ TO REPORT# c� C)C( —
ICI
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PICKERING Memo
To: Marisa Carpino April 3, 2013
Director, Culture & Recreation
From: Vera A. Felgemacher
Manager, Supply & Services
Copy: Supervisor, Facilities Operations
Subject: Tender No. T -7 -2013
Tender for Pickering Recreation Complex Banquet Hall & Washroom Renovation Project
- File: F- 5400 -001 '
Tenders have been received for the above project. An advertisement. was placed in the Daily
Commercial News and on the City's website inviting prequalified companies to download the
tendering documents for the above mentioned tender. One (1) addendum was issued on this
project. A mandatory site visit was held on Thursday, March 21, 2013. Seven (7) companies
attended the site visit of which seven (7) bidders submitted a tender and one (1) bidder responded
as unable to bid.
A copy of the Record of Tenders Opened and Checked 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 13.03 (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 13.03(w). Three (3) bids have been retained
for review at this time. '
Copies of the tenders are attached for your review along with the summary of costs.
SUMMARY
Harmonized Sales Tax Included
Bidder
Total Tendered Amount.
After Calculation Check
M/2 Group Inc.
$787,358.01
$787,358.01
HN Construction
$798,345.00
$798,345.00
DASD Contracting Inc.
$819,024.00
$819,024.00
Gerr Construction Ltd.
$841,850.00
$841,850.00
BECC Construction Ltd.
$858,241.78
$858,241.78
Rutherford Contracting Ltd.
$863,885.00
$863,885.00
Direct_ Construction Co. Ltd.
$887,615.00
$887,615.00
Buttcon Ltd.
Unable to Bid
References have already been checked and. deemed acceptable during the prequalification
process of Request for Proposal No. RFP -9 -2012
Pursuant to Information to Bidders Item 32, the following will be requested of the low bidder, M/2
Group Inc. for your review during the evaluation stage of this tender call. Advise when you
wish us to proceed with this task.
(a) the City's certificate of insurance shall be completed by the bidder's agent,
broker or insurer ;
(b) the City's Accessibility Regulations for Contracted Services form currently dated
and signed (received with tendering document);
(c) list of Sub- Contractors in accordance with General Conditions Item 30 (received
with tendering document); and
(d) Waste Management Plan to be used on this project in accordance with
Tendering Specifications Item 18.
Please include the following items in your Report to Council:
(a) , if item (a) — Insurance — is acceptable to the (Acting) Manager, Budgets & Internal
Audit;
(b) the appropriate account number(s) to which this work is to.be charged;
(c) , the budget amount(s) assigned thereto;
(d) Treasurer's confirmation of funding;
(e) related departmental approvals; and
(f) related comments specific to the project.
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 yo require further information, please feel free to contact me or a member of Supply &
VAF /jg
Attachme
April 3, 2013
Tender No. T -7 -2013
Pickering Recreation Complex Banquet Hall &
Washroom Renovation Project
Page 2
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ATTACHMENT # 3 TO REPORT # Cl- 09 — ( �
April 5, 2013
Division of Culture & Recreation
City of Pickering
One, The Esplinade
Pickering, Ontario
L1V 6K7
Attn: Marisa Carpino, Division Head
Jurecka + Associates Architects Inc
54 Gtr rdale ko,,.
Toronto, M6R 2T2
tel 416. 972.9385
fx 866. 475.7256
,ram jorecka , ca
Re: Review of Tender T -7 -2013:
Pickering Recreation Centre Banquet Hall and Washroom Renovation Project
Dear Ms. Carpino:
The lowest tender price for the Pickering Recreation Centre Banquet Hall project was
submitted by M/2 Group Inc... The City has already prequalified this contractor as part of
their recent process, so I have not sought to further review their experience at this stage.
Although we have no direct experience with them, we trust that M/2 Group Inc., the
lowest acceptable qualified bidder for your tender no. T -7 -2013 has satisfied the tender
requirements and is qualified to undertake this project as the General Contractor. This
Contractor has been vetted through your pre - qualification process and their bid is only
marginally below our project budget estimate. Since your purchasing policy requires that
you take the lowest bid, we accept that you award the contract to M/2 Group Inc. on the
basis of their bid submitted April 3, 2013. The base bid (including HST) should result in a
contract amount of $787,358.01. We further advise that you carry a contingency of at
least 10% for unforeseen conditions or associated project expenses.
Sincerely,
Paul Jurecka OAA
Jurecka + Associates Architects Inc.
ATTACHMENT #_4TO REPORT # GR
The Corporation of the City of Pickering
By -law No.
Being a by -law to authorize the Pickering
Recreation Complex Banquet Hall and
Washroom Renovation Project in the City of
Pickering and the issuance of debentures in
the amount of $490,000.00
Whereas Section 11 of the Municipal Act, 2001, as amended, provides that a lower -tier
municipality may pass by -laws respecting matters within the spheres of jurisdiction
described in that Section; and,
Whereas Subsection 401(1) of the Municipal Act, 2001, as amended, provides that a
municipality may incur a debt for municipal purposes, whether by borrowing money or in
any other way; and,
Whereas Subsection 401(3) of the Municipal Act, 2001, as amended, provides that a
lower -tier municipality in a regional municipality does not have the power to issue
debentures; and,
Whereas The Regional Municipality of Durham has the sole authority to issue
debentures for the purposes of its lower -tier municipalities including The Corporation of
the City of Pickering (the "City "); and,
Whereas the Council of the City wishes to proceed with debenture financing for the
Pickering Recreation Complex Banquet Hall and Washroom Renovation Project; and,
Whereas before authorizing the construction in respect of the Pickering Recreation
Complex Banquet Hall and Washroom Renovation Project, the Council of the City had
the Treasurer update the City's Annual Repayment Limit, the Treasurer calculated the
estimated annual amount payable in respect of such project and determined that such
annual amount would not cause the City to exceed the updated limit and, therefore,
Ontario Municipal Board approval was not required prior to City Council's authorization
as per Section 401 of the Municipal Act, 2001, as amended, and the regulations made
thereunder;
And whereas after determining that Ontario Municipal Board approval is not required,
the Council of the City approved Report CR 09 -13 on the date hereof and awarded
Tender T -7 -2013 for the Pickering Recreation Complex Banquet Hall and Washroom
Renovation Project;
Now therefore the Council of The Corporation of the City of Pickering hereby enacts as
follows:
By -law No.
Page 2
1. That the City proceed with the project referred to as "Pickering Recreation Complex
Banquet Hall and Washroom Renovation Project ".
2. That the estimated costs of the project in the amount of $826,176.00 be financed as
follows:
a) That the sum of $228,719.00 be funded from the Communities Infrastructure
Improvement Fund (CIIF);
b) That the sum of $490,000.00 be financed by the issue of debentures by The
Regional Municipality of Durham over a period not to exceed five years;
c) That the sum of $100,000.00 be funded from the Federal Gas Tax Reserve
Fund;
d) That the sum of $7,457.00 be funded from property taxes.
3. That the funds to repay the principal and interest of the debentures be provided for
in the annual Current Budget for the City commencing in 2014 and continuing
thereafter until the debenture financing is repaid.
By -law passed this 21St day of May, 2013.
David Ryan, Mayor
Debbie Shields, City Clerk