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HomeMy WebLinkAboutFIN 18-19Cfy �t DICKERING Report to Council Report Number: FIN 18-19 Date: October 21, 2019 From: Stan Karwowski Director, Finance & Treasurer Subject: Payment of Invoices Related to Preliminary Design of the Civic Centre Project Recommendation: 1. That Report FIN 18-19 of the Director, Finance & Treasurer be approved; 2. That Council authorize the Director, Finance & Treasurer to pay invoices related to the preliminary design for the Civic Centre in the amount of $543,284.45 (inclusive of HST) and the project cost be charged to capital account 5203.1902.6550; and 3. That the appropriate officials of the City of Pickering be authorized to take the necessary actions as indicated in this report. Executive Summary: The City has received invoices from Architects Alliance (AA) in the amount of $543,284.45 (includes HST). These invoices are related to the preliminary design of the Civic Centre project and excludes those costs associated with relocation of services. These costs can be directly attributable to the three buildings: Senior/Youth Centre ($108,991.89) Library ($166,833.84) and Arts Centre ($215,013.39). The higher cost for the Arts Centre building is mainly due to the several iterations of the plans to reflect changes in building scope. The invoices have been reviewed by City staff and Cushman & Wakefield and they have approved them for payment. These costs are related to the preliminary design work for the Civic Centre and the design work was used to generate the preliminary project cost figures for the financial stress test. Council approved report FIN 15-19 for the project to proceed and the preliminary design work is now being used to develop the detailed project drawings. Financial Implications: In the 2019 Capital budget, Council approved $1.5 million to be used for Civic Centre start-up costs. (The funding for this expenditure was coming from the Rate Stabilization Reserve). The purpose of this capital account was to address the costs associated with developing and investigating the Civic Centre project. The Civic Centre project is probably the most complicated multi building project that the City has ever undertaken. To -date, the City already has financial commitments of $880,000 (net HST) (Council Approved) related to relocation of services and project management design at the Civic Centre project. If Council approves, the $543,284.45, ($533,888,02 net HST) the remaining balance in this account would be $86,111. FIN 18-19 October 21, 2019 Subject: Payment of Invoices Related to Preliminary Design of the Civic Centre Project Page 2 Discussion: Cushman & Wakefield and City staff through a competitive process selected aA_ The selection process had to take into consideration the size and scope of the project. The total estimated size of the project including City and PTC (phase one and two) is over $1,0 billion. In other words, the firm selected had to have the experience and resources to dedicate to a project of this size. aA has approximately 45 architects, designers and technologists that provide the full spectrum of services, applied to a scope of practice that ranges from academic and institutional buildings to Targe -scale mixed-use developments: aA has completed projects all over Canada, the United States and Europe and they won design awards such as: Canadian Architect Magazine: Award of Excellence -- 2015 Pan/Parapan American Games Athletes' Village 1 Canary District and City of Toronto: Green Toronto Award — Sackville -Dundas Apartments. Architect Alliance (aA) has been working on the preliminary design of the Civic Centre starting in the first quarter of this year. Their work has been instrumental in advancing the project and producing concept drawings that have been presented to Members of Council and to Pickering residents. Their preliminary design work has been on display at the Pickering Town Centre for many months. Their preliminary design work is the foundation for the detailed design drawings that is currently under way. The invoices have been reviewed and vetted by City staff and Cushman & Wakefield and they recommend payment. PreparedlApproved/Endorsed By: Stan Karwowski, CPA, CMA, MBA Director, Finance & Treasurer Recommended for the consideration of Pickering City Council alit/ Tony Tony Prevedel, P.Eng. Chief Administrative Officer 15(