HomeMy WebLinkAboutENG 17-18-Cl~cJf-PJ(KERJNG From: Subject: Richard Holborn Director, Engineering Services Salem Road -Road Reconstruction Tender No.T-16-2018 -File: A-1440 Recommendation: Report to Council Report Number: ENG 17-18 Date: September 17, 2018 1. That Tender No. T-16-2018 Salem Road -Road Reconstruction as submitted by NEI Construction Corporation in the total tendered amount of $1,316,276.26 (HST included) be accepted; 2. That the total gross project cost of $1,565,697.00 (HST included), including the tendered amount and other associated costs, and the total net project cost of $1,409,959.00 (net of HST rebate) be approved; 3. That Council authorizes the Director, Finance & Treasurer to finance the net project cost in the amount of $1,409,959.00 as follows: a) the sum of $700,000.00 as provided for in the 2016 Development Projects Capital Budget to be financed by the issue of debentures by The Regional Municipality of Durham over a period not to exceed 10 years; b) the sum of $704,980.00 as provided for in the 2016 Development Projects Capital Budget to be funded by a transfer from the Development Charges -Transportation Reserve Fund; c) the sum of $4,979.00 to be funded from property taxes; d) the annual repayment charges in the amount of approximately $84,200.00 be provided for in the annual Current Budget commencing in 2018 or subsequent year in which the debentures are issued and continuing thereafter until the debenture financing is repaid; e) the Treasurer be authorized to make any changes, adjustments, and revisions to amounts, terms, conditions, or take any actions necessary in order to effect the foregoing; 4. That the draft by-law attached to this report be enacted; and 5. That the appropriate officials of the City of Pickering be authorized to take the necessary actions as indicated in this report.
ENG 17-18 September 17, 2018 Subject: Salem Road -Road Reconstruction Tender No. T-16-2018 Page 2 Executive Summary: As part of the 2016 Development Projects Capital Budget, Salem Road -Road Reconstruction from Fifth Concession Road to Highway 7 was approved as a construction project. Tender No. T-16-2018 Salem Road -Road Reconstruction was issued on Wednesday, August 8, 2018 and closed on Wednesday, September 5, 2018 with 6 bidders responding. The low bid submitted by NEI Construction Corporation in the amount of $1,316,276.26 (HST included) is recommended for approval. The total gross project cost is estimated at $1,565,697.00 (HST included) and the total net project cost is estimated at $1,409,959.00 (net of HST rebate). Financial Implications: 1. Tender Amount Tender No. T-16-2018 HST (13%) Total Gross Tender Amount 2. Estimated Pro·ect Cost Summar Tender No. T-16-2018 for Salem Road -Road Reconstruction Associated Costs Materials Testing Miscellaneous (Consultant fees, TRCA application fees, etc.) Project Contingency (15%) Sub Total HST (13%) Total Gross Project Cost HST Rebate (11.24%) Total Net Project Cost 3. A roved Source of Funds Expense Code Source of Funds 5321.1608.6250 5321.1608.6250 Debt -10 Year Development Charges -Transportation Reserve Fund Property Taxes Available Budget $1,100,000.00 $1,100,000.00 $ 1,164,846.25 151,430.35 $1.316.296.60 $1,164,846.00 20,000 20,000 180,727.00 $1,385,573.00 180,123.00 $1,565,697.00 (155,738.00) $1.409.959.00 Required $700,000.00 704,980.00 4,979.00 Total Funds $2.200.000.00 $1.409.959.00 I Project Cost under (over) approved funds by $790,041.00 1
ENG 17-18 Subject: Salem Road -Road Reconstruction Tender No. T-16-2018 September 17, 2018 Page 3 Discussion: As part of the 2016 Development Projects Capital Budget, Salem Road -Road Reconstruction from Fifth Concession Road to Highway 7 was approved as a construction project. City staff met with Toronto & Region Conservation Authority (TRCA) representatives on January 26, 2018 to discuss the permit requirements for this project. Ontario Regulation #166/06, Development, Interference with Wetlands and Alterations to Shorelines and Watercourses Application applies to this project. Tender No. T-16-2018 was issued on Wednesday, August 8, 2018 and closed on Thursday, September 5, 2018 with 6 bidders responding. The low bid submitted by NEI Construction Corporation is recommended for approval. Award to the low bid submitted by NEI Construction Corporation, will be conditional upon receiving the City's Health & Safety form, Certificate of Clearance issued by the Workplace Safety & Insurance Board, Certificate of Insurance and requisite approvals. In conjunction with staff's review of the contractor's previous work experience with the City (Tender No. T-11-2018 Westney Road -Road Reconstruction) and the bonding available on this project, the tender is deemed acceptable. Upon careful examination of all tenders and relevant documents received to date, the Engineering Services Department recommends acceptance of the low bid submitted by NEI Construction Corporation for Tender No. T-16-2018 in the amount of $1,316,276.26 (HST included), and that the total net project cost of $1,409,959.00 (net of HST rebate) including associated costs and a 15 per cent project contingency be approved. Attachments: 1. Supply & Services Memorandum dated September 6, 2018 2. Record of Tenders Opened and Checked 3. Location Map 4. Being a by-law to authorize the Salem Road -Road Reconstruction project in the City of Pickering and the issuance of debentures in the amount of $700,000.00.
ENG 17-18 Subject: Salem Road -Road Reconstruction Tender No. T-16-2018 Scott Booker Manager, Capital Projects & Infrastructure I,; Kong, CPA, CGA Senior Financial Analyst, Capital & Debt Management Ray drigues · Manager, Supply & Services RH:mjh Recommended for the consideration of Pickering City Council September 17, 2018 Approved/Endorsed By: Ri ard Holborn, P.Eng irector, Engineering Services Page 4 Stan Karwowski, MBA, CPA, CMA Director, Finance & Treasurer #J 5:R/,0,2-o,e, Tony Prevedel, P.Eng. Chief Administrative Officer
-D4of-P](KER]NG ATTACHMENT# __ TOREPOR # [;JC1 /1-l':.> --=---of ?-To: From: Copy: Richard Holborn Director, Engineering Services Jacqueline Charles Senior Purchasing Analyst Administrative Assistant, Engineering Services Manager, Supply & Services Subject: Tender No. T-16-2018 Tender for Salem Road -Road Reconstruction Closed: Wednesday, September 5, 2018 -2:00pm File: F-5400-001 Tender No. T-16-2018 was advertised on the City's website on August 8, 2018. Memo September 6, 2018 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 completed below. The unsuccessful Bidder's tendering deposit, other than a bid bond, shall 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 and are attached. Pursuant to Information to Bidders Item 26 and Tendering Specifications Item 21, the following documentation will be requested of NEI Construction Corporation for your review during the evaluation stage of this tender call. Please advise if Supply & Services is to proceed with collecting the following documentation: (a) A copy of the City's Health and Safety Policy form currently dated and signed; (b) A copy of the current Clearance Certificate issued by Workplace Safety & Insurance Board; (c) The City's certificate of insurance or approved alternative form completed by the Bidder's agent, broker or insurer; and (d) Waste Management Plan. A budget of $2,200,000.00 was provided to Supply & Services for this procurement. If the recommendation to award exceeds the budgeted amount, refer to Financial Control Policy Item 11 for additional instructions. ·
ATTACHMENT# d-TO EPOR "1-t Ervl1 l-::J..-IS 2--of r In accordance with Purchasing Policy Item 06.04, the authority for the dollar limit as set out below excludes HST. As such, in accordance with Purchasing Policy Item 06.11, where the compliant quotation or tender meeting specifications and offering best value to the City is acceptable or where the highest scoring proposal is recommended and the estimated total purchase price is: (c) Over $250,000, the Manager may approve the award, subject to the approval of the Director, Treasurer, CAO and Council. Please include the following items in your report: 1. if Items (a) through (b) noted above are acceptable to the Co-ordinator, Health & Safety or designate, if required; · 2. if Item (c) is acceptable to the Manager, Budgets & Internal Audit; 3. if the list of subcontractors is acceptable to Engineering Services; 4. if Item (d) is acceptable to Engineering Services 5. any past work experience with low bidder NEI Construction Corporation including work location; 6. · without past work experience, if reference information is acceptable to Engineering Services; 7. the appropriate account number(s) to which this work is to be charged; 8. the budget amount(s) assigned thereto; 9. Treasurer's confirmation of funding; 10. related departmental approvals; and 11 . related comments specific to the project. After receiving Council's approval, an approved "on-line" requisition will be required to proceed. Enquiries can be directed to the City's website for the unofficial bid results as read out at the public tender opening or to Supply & Services. 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 & Services. JC Attachments(5) September 6, 2018 Tender No. T-16-2018 Page 2
City of Pickering
Record of Tenders Opened and Checked
Tender Description: Salem Road -Road Reconstruction
Tender No.: T-16-2018
Date: Wednesday, September 4, 2018
Time: Approx. 2: 15 pm Local Time
Bidder Name Total Tendered Amount Bidder Sign In Comments
NEI Construction Corp. $/'3:,/6 .2.lb-:J-(:, \ \
Brennan Paving & $ I SC[o <o bf? · '64 1A~Naj Construction Limited
Blackstone Paving & $ I GJ J'~ <} 3 <f · S'f Construction Limited
Coco Paving Inc $ I 6C/cf 6-4-4 ° r.+ 0 c.~/'-
Esposito Bros Construction $ I 75° SI f -7b Ltd I
Elirpa Construction & q{ I 72° 4/~t-q5 /ll Materials Ltd. It J I
City Staff Present Other
~
'V~------
The information is strictly preliminary, rpending review and verification of·conformance to terms, conditions and specifications.
Page 11
-Ct4of-p](KERJNG ATTACHMENT# '3 TO REPORT# };A,}(1 I·-:;.. -/8 Engineering Services Department Tender No. T-16-2018 Salem Road -Road Reconstruction .... , __ ___ l_of r Project Area SUBJECT AREA Location Map -Salem Road
ATTACHMENT# The Corporation of the City of Pickering By-law No. Being a by-law to authorize the Salem Road -Road Reconstruction project in the City of Pickering and the issuance of debentures in the amount of $700,000.00. 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 of Pickering wishes to proceed with debenture financing for the Salem Road -Road Reconstruction project; and, Whereas before authorizing the Salem Road -Road Reconstruction 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 ENG 17-18 on the date hereof and awarded Tender No. T-16-2018 for the Salem Road -Road Reconstruction project.
By-law No. Page 2 Now therefore the Council of The Corporation of the City of Pickering hereby enacts as follows: 1. That the City proceed with the project referred to as "Salem Road -Road Reconstruction"; 2. That the estimated costs of the project in the amount of $1,409,959.00 be financed as follows: a) that the sum of $700,000.00 be financed by the issue of debentures by The Regional Municipality of Durham over a period not to exceed ten years; b) the sum of $704,980.00 as provided for in the 2016 Development Projects Capital Budget to be funded by a transfer from the Development Charges -Transportation Reserve Fund; c) the sum of $4,979.00 to 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 2018 or such subsequent year in which the debentures are issued and continuing thereafter until the debenture financing is repaid. By-law passed this 17th day of September, 2018. David Ryan, Mayor Debbie Shields, City Clerk