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HomeMy WebLinkAboutENG 06-20Cfy ot DICKERING Report to Council Report Number: ENG 06-20 Date: July 27, 2020 From: Richard Holborn Director, Engineering Services Subject: Altona Bridge Replacement - Tender No. T2020-14 - File: A-1440 Recommendation: 1. That Tender No. T2020-14 for Altona Bridge Replacement as submitted by GMP Contracting Ltd. in the total tendered amount of $1,288,824.86 (HST included) be accepted; 2. That Council award the contract administration and construction inspection to Greer Galloway Group Inc. in accordance with the Purchasing Policy 10.03 (c) in the amount of $80,795.00 (HST extra) for Tender No. T2020-14 Altona Bridge Replacement; 3. That the total gross project cost of $1,666,672.00 (HST included), including the tendered amount, a contingency and other associated costs, and the total net project cost of $1,500,890.00 (net of HST rebate) be approved; 4. That Council authorize the Director, Finance & Treasurer to finance the net project cost in the amount of $1,500,890.00 as follows: a) The sum of $611,530.00 as approved in the 2018 Roads Capital Budget to be increased to $616,668.00 from the Ontario Community Infrastructure Fund; 2018 and unspent 2017 allocation; b) That the 2018 Roads Capital Budget approved source of funds for the Altona Bridge Replacement project to be revised from 20 -year debt to the Ontario Community Infrastructure Fund, 2019 allocation; c) The sum of $488,470.00 as approved in the 2018 Roads Capital Budget to be revised to $884,222.00 to be funded from the Ontario Community Infrastructure Fund, 2019 allocation; and, 5. That the appropriate officials of the City of Pickering be authorized to take the necessary actions as indicated in this report. ENG 06-20 Subject: Altona Bridge Replacement Tender No. T2020-14 July 27, 2020 Page 2 Executive Summary: As part of the 2018 Roads Capital Budget — Altona Bridge Replacement was approved as a construction project. Tender No. T2020-14 was issued on Wednesday, June 17, 2020 with a closing date of Wednesday, July 8, 2020. Ten companies submitted a bid for this project. The low bid of $1,288,824.86 (HST included) submitted by GMP Contracting Ltd. is recommended for approval. The total gross project cost is estimated at $1,666,672.00 (HST included) with an estimated total net project cost of $1,500,890.00 (net of HST rebate). Financial Implications: 1. Tender Amount Tender No. T2020-14 HST 13% Total $1,140,552.97 148,271.89 $1,288,824.86 2. Estimated Project Cost Summary Tender No. T2020-14 — Tender for the Altona Bridge Replacement Associated Costs Materials Testing Provincial OCIF Sponsor Signage Temporary Utility Relocations (Elexicon and Bell) Consultant Fees — Contract Administration & Construction Inspection (Greer Galloway Group Inc.) Toronto & Region Conservation Authority — Emergency Structure Works Permit (In -water works extension) OCIF Funding Requirement - Aboriginal Duty to Consult * Construction Contingency (15%) Sub Total — Costs HST (13%) Total Gross Project Cost HST Rebate (11.24%) Total Net Project Cost $1,140,553.00 40,000.00 2,500.00 25,000.00 80,795.00 10,000.00 5,000.00 171,083.00 $1,474.931.00 191,741.00 $1,666,672.00 (165,782.00) $1,500,890.00 * Bridge replacement projects have a high degree of complexity, and due to in -water work and unknown soil conditions related to underground work, a higher construction contingency of 15 percent is requested. ENG 06-20 Subject: Altona Bridge Replacement Tender No. T2020-14 July 27, 2020 Page 3 3. Approved Source of Funds — 2018 Roads Capital Budget Account Source of Funds Available Budget Required 5320.1806.6256 Debt — 20 Year $488,470.00 $0.00 OCIF Grant — 2017 unspent 611,530.00 * 616,668.00 funds & 2018 Allocation Total Funds OCIF Grant — 2019 Allocation & 0.00 884,222.00 Interest Earned $1,100,000.00 $1,500,890.00 * Actual funds available Project Cost under (over) approved funds by ($400,890.00) The OCIF allows the pooling of multiple years funds in order to provide sufficient funds for a larger project. The Altona Bridge Replacement project was budgeted in 2018, prior to the 2019 OCIF allocation. In 2018, it was decided best to fund the City's share of the cost by undertaking debt financing, and spread -out costs of borrowing over the life of the bridge. The 2019 OCIF allocation was not budgeted for any project in 2019, meanwhile the Altona Bridge project did not proceed in 2019 due to tender results exceeding the 2018 budget provision. At the same time, the province was informing municipalities that the OCIF program will be discontinued in the near future. This triggered the decision to direct the 2019 OCIF allocation to the Altona Bridge Replacement project, and eliminate the debt -financing requirement for the City's share. With the City proceeding with the OCIF funding, the City avoids future debt charges of approximately $36,000 per year for the next 20 years. As the estimated project cost is uncertain prior to the tendering process, staff decided that it is best to combine uncommitted OCIF funds, including interest earned to the Altona Bridge Replacement project, and to adjust the required amount once the project is tendered. The OCIF funding agreement permits funds to be spent within five years after the funds are received. Applying the principle of spending the oldest allocation of unspent funds first, starting from the small unspent 2017 allocation, continuing to 2018, and the balance from the 2019 allocation; the uncommitted amount of approximately $5,048.00 will deem to be from the 2019 allocation. This provides the City a deadline of 2023 to spend the uncommitted amount. This City will designate a new project for this uncommitted amount in the 2021 budget cycle, in order to provide sufficient time to complete the new project by 2023. ENG 06-20 July 27, 2020 Subject: Altona Bridge Replacement Tender No. T2020-14 Page 4 Discussion: As part of the 2016 & 2018 Biennial Municipal Bridge and Culvert Inspections Report, Altona Bridge (asset id 10002) has been identified as a priority for replacement. Originally constructed circa 1930, the bridge has reached the end of its infrastructure lifecycle. Over the last several biennial inspections (conducted by Keystone Bridge Management Corp.) load limits have been imposed, steadily decreasing the amount of weight the bridge can sustain, the current limit is posted at 5 tonnes. Emergency repair work was done to the structure by City forces in the spring of 2019, to further prevent undermining and erosion. The Altona bridge spans a tributary of Duffins Creek and as such, requires Toronto & Region Conservation Authority (TRCA) approvals for the project. The permit is in final stages of being secured. The TRCA restricts in -water work after September 15th, and it is anticipated that, with the proposed timing of construction, a request to extend that deadline will be required. The Report to Executive Committee dated April 11, 2016 (ENG 05-16) recommended Greer Galloway Group Inc. to undertake the engineering design of both the Altona and Wilson Bridges. With the design now complete for the Altona Bridge, it is standard practice to have the same design team provide further support to the City with Contract Administration and Inspection. This ensures good technical continuity for the project by using the same company and allows for certification upon completion. Greer Galloway Group Inc. have provided a cost estimate of $80,795.00 for all services (proposal submitted May 20, 2020), and are recommended for approval in accordance with the Purchasing Policy Section 10.03 (c). Due to the ongoing concerns and new business practices related to the COVID-19 virus pandemic, Engineering Services and Corporate Services staff will work with GMP Contracting Ltd., to ensure that proper procedures and protocols are in place to provide a safe work environment for Pickering residents, the contractor, sub -contractors, and City staff. These measures may include a delay to the start date of the project. Tender No. T2020-14 was issued on Wednesday, June 17, 2020 with a tender closing date of Wednesday, July 8, 2020. Ten companies submitted a bid for this project. The low bid of $1,288,824.86 (HST included) submitted by GMP Contracting Ltd. is recommended for approval. The total gross project cost is estimated at $1,666,672.00 (HST included) with an estimated total net project cost of $1,500,890.00 (net of HST rebate). References for GMP Contracting Ltd., their Waste Management Plan and list of sub -contractors have been reviewed and are deemed acceptable by the Manager, Capital Projects & Infrastructure. The City's Health & Safety Policy form, and a current Clearance Certificate issued by the Workplace Safety & Insurance Board has been submitted to the City by GMP Contracting Ltd.. The Certificate of Insurance has been reviewed by the Manager, Budgets & External Audit and is deemed acceptable. In conjunction with staff's review of the contractor's previous work experience the tender is deemed acceptable. Upon careful examination of all tenders and relevant documents received, the Engineering Services Department recommends acceptance of the low bid submitted by GMP Contracting Ltd. for Tender No. T2020-14 in the amount of $1,288,824.86 (HST included), and that the total net project cost of $1,500,890.00 (net of HST rebate) be approved. ENG 06-20 July 27, 2020 Subject: Altona Bridge Replacement Tender No. T2020-14 Page 5 Attachments: 1. Summary Memo from Supply & Services dated July 13, 2020 2, Record of Tenders Opened and Checked 3. Location Map Prepared By: Approved/Endorsed By: Scott Booker Manager, Capital Projects & Infrastructure J Richard Holborn, P.Eng. Director, Engineering Services Ray Rodrigues, CPPB Stan Karwowski, MBA, CPA, CMA Manager, Supply & Services Director, Finance & Treasurer SB:mjh Recommended for the consideration of Pickering City Council Marisa Carpino, M.A. Interim Chief Administrative Officer GLS od PICKERING Attachment #1 to Report # ENG 06-20 Memo To: Richard Holborn July 13, 2020 Director, Engineering Services From: Justin MacDonald (Acting) Senior Purchasing Analyst, Supply & Services Copy: Administrative Assistant, (Engineering Services) Manager, Supply & Services Subject: Tender No. T2020-14 Tender for Altona Bridge Replacement Closed: Wednesday, July 8, 2020 — 2:OOpm File: F-5400-001 Tender No. T2020-14 was advertised on the City's website on Wednesday, June 17, 2020. Ten companies have submitted a bid for this project. 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. Summary Harmonized Sales Tax Included Bidder Total Tendered Amount After Calculation Check GMP Contracting Ltd $1,288,824.86 $1,288,824.86 Esposito Bros Construction Ltd $1,299,304.42 $1,299,304.42 Todd Brothers Contracting Ltd $1,332,724.72 $1,332,724.72 Ratcliff Excavating & Grading $1,350,111.57 $1,350,111.57 2220742 O/A Bronte Construction $1,497,925.46 $1,497,925.46 Alliance Verdi Civil Inc $1,579,135.45 $1,579,135.45 MTM2 Contracting Inc $1,752,765.60 $1,705,870.60 Marbridge Construction $1,778,620.00 $1,778,620.00 Elirpa Construction & Materials Ltd $1,832,678.28 $1,944,774.28 EBC Inc $2,678,100.00 $2,678,100.00 Pursuant to Information to Bidders Item 26 Pre -Condition of Award and Item 20 Tendering Specifications, the following documentation will be requested of GMP Contracting Ltd 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 currently dated and signed Health and Safety Policy to be used in this project, including COVID-19 Protocols; (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 $1,100,000.00 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. 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 GMP Contracting Ltd 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. Tender No. T2020-14 Page 2 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. JM Attachments (5) Tender No. T2020-14 Page 3 PICKERlNG ard Attachment # 2 to Report # ENG 06-20 City of Pickering Record of Tenders Opened and Checked Tender Description: Altana Bridge Replacement Tender No.: Date: Time: T2020-14 Wednesday, July 8, 2020 Approx. 2:30 pm Local Time Bidder Name City Total Tendered Amount Bidder Sign In Comments Ratcliff Excavating & Grading Inc. $ \ u `� l 1 _ () Alliance Verdi Civil Inc. $ ' ql-- -); \K) Todd Brothers Contractingl Limited $ L\ L1 l Bronte Construction $ \ 7c c l , 3 i l Esposito Bros Construction Ltd. $ \ 2 \,'\61 446. 9-2- City Staff Present Other The information is strictly preliminary, pending review and verification of conformance to terms, conditions and specifications. D PICKERING City of Pickering Record of Tenders Opened and Checked Tender Description: Altona Bridge Replacement Tender No.: Date: Time: T2020-14 Wednesday, July 8, 2020 Approx. 2:30 pm Local Time Bidder Name Total Tendered Amount Bidder Sign In Comments Marbridge Construction Ltd. $ O GMP Contracting Ltd. $ 1 14 0 c. 2- - cil MTM -2 Contracting Inc. $ \ c S ' '1.,c) o -V, ‘(\c, s 1, -)--i, (m, . oo .-\'‘ e\cW' tVifiCi c $ \ \ !\ $ $ $ $ Attachment #3 to Report # ENG 06-20 SUBJECT AREA of AST UNhi"ITE ALTONA BRIDGE (ID 10002) 1110 O 0 0 U1 Y Z W U 0 0) Z z L O D 0 1 Engineering Services Department SCALE N.T.S CAT: July 16, 2020 Location Map Altona Bridge s E PICKERING