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Home My WebLink AboutOPS 08-22Report to Council Report Number: OPS 08-22 Date: February 28, 2022 From: Brian Duffield Director, Operations Subject: Tennis Court Lighting Revitalization -File: A-1440 Recommendation: 1.That Tender No. T2021-35 submitted by R.A. Graham Construction Ltd. in the amount of $202,631.54 (HST included) be accepted; 2.That the total gross project cost of $243,897.00 (HST included), including the amount of the tender, contingency, and other associated costs, and the total net project cost of $219,637.00 (net of HST rebate) be approved; 3.That the Director, Finance & Treasurer be authorized to finance the total net project costs of $219,637.00 through a transfer from the Federal Gas Tax Reserve Fund: a)That the budget available in project C10225.2102 in the amount of $162,000.00 be increased to $219,637.00; and, 4.That the appropriate City of Pickering officials be authorized to take the necessary action to give effect hereto. Executive Summary: The existing lighting systems of the indoor tennis courts at Chestnut Hill Development Recreation Complex (CHDRC) have experienced performance degradation resulting in overall lighting level reduction throughout the space which has affected use of the space. The scope of work of this tender includes replacement of the affected fixtures, upgraded controls, and the conversion of existing fluorescent light fixtures in the back of house utility rooms to LED to reduce overall energy use. Tender T2021-35 was issued on December 29, 2021, and closed on January 26, 2022. One bid was received. Subject to receipt and approval of all submittals required by the tender documents, the low bid submitted by R.A. Graham Construction Ltd. in the amount of $202,631.54 (HST included) is recommended for approval. The total gross project cost is estimated to be $243,897.00 and the total net project cost is estimated at $219,637.00 (net of HST rebate). OPS 08-22 February 28, 2022 Subject: Tennis Court Lighting Revitalization Page 2 Financial Implications: 1. Tender Amount Tender No. T2021-35 $179,319.95 HST (13%) Total Gross Tender Cost 23,311.59 $202,631.54 2.Estimated Project Costing Summary Tender No. T2021-35 $179,320.00 Consulting, Testing & Inspection 15,000.00 Construction Contingency (12%) 21,518.00 Total Project Cost $215,838.00 HST (13%) 28,059.00 Total Gross Project Costs $243,897.00 HST Rebate (11.24%) (24,260.00) Total Net Project Cost $219,637.00 2.Approved Source of Funds - Community Centres Capital Budget Approved Code C10225.2102.80 Source of Funds Federal Gas Tax Funds Available $162,000.00 Funds Required $219,637.00 Project Cost under (over) approved funds by ($57,637.00) Section 11.02 of the Financial Control Policy (FIN 030) requires that where authority has been given in the annual Capital Budget for a particular project, the Chief Administrative Officer, the appropriate Department Head(s), and the Treasurer may jointly approve changes to such authorized amounts provided that the total amount of the over expenditures: (a) does not exceed the lesser of ten percent of the approved capital expenditure or $100,000.00; and, (b) are offset by corresponding under expenditures in other approved capital expenditures. Additionally, Section 11.05 requires that Current and Capital Budget expenditures in excess of the limits established under Section 11.02 shall require the approval of the Treasurer, the Chief Administrative Officer, and Council. Discussion: The Council approved 2021 Capital Budget included funding for the replacement of existing lighting fixtures in the indoor tennis courts and conversion of existing fluorescent fixtures throughout CHDRC to LED fixtures. The two scopes of work were combined in order to provide savings through economies of scale and avoid duplication in mobilization and administrative costs that would have resulted from two separate tenders. OPS 08-22 February 28, 2022 Subject: Tennis Court Lighting Revitalization Page 3 Lighting improvements in the tennis courts will include the replacement of fixtures surrounding all four tennis courts and the addition of new fixtures along the perimeter of the volume of the space to eliminate shade and low illumination levels, such as under the walkway overhang on the west side. Three major mechanical and electrical utility rooms will have their fixtures converted from T8 and T12 fluorescent fixtures to LED as part of this work. Electrical equipment and fixture costs have experienced a significant increase over the last twelve months due to supply chain issues resulting from the COVID-19 pandemic, contributing to higher project costs than originally allowed for in the approved budgets. Due to the extent to which the existing lighting systems in the tennis courts have degraded, and ongoing upward cost pressures in the marketplace, it is recommended that this work proceed based on the available bid. Tender T2021-35 was issued on December 29, 2021, and closed on January 26, 2022. One bid was received. Subject to receipt and approval of all submittals required by the tender documents, the low bid submitted by R.A. Graham Construction Ltd. in the amount of $202,631.54 (HST included) is recommended for approval. The total gross project cost is estimated to be $243,897.00 and the total net project cost is estimated at $219,637.00 (net of HST rebate). Prepared By: Approved/Endorsed By: Original Signed By: Original Signed By: Vince Plouffe, OAA, RAIC Stan Karwowski, MBA, CPA, CMA Manager, Facilities Capital Projects Director, Finance & Treasurer Original Signed By: Brian Duffield Director, Operations BD:vp Recommended for the consideration of Pickering City Council Marisa Carpino, M.A. Chief Administrative Officer Original Signed By: