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HomeMy WebLinkAboutOES 01-07 REPORT TO EXECUTIVE COMMITTEE Report Number: OES 01-07 Date: January 8, 2007 From: Everett Buntsma Director, Operations & Emer~~ency Services Subject: Quotation Q-57 -2006 - Storrington Pedestrian Bridge Replacement, Pine Creek - File: A-2130 Recommendation: 1. That Report OES-1-07 regarding the Storrington Pedestrian Bridge Replacement, Pine Creek, be received; 2. That Quotation Q-57 -2006 submittE3d by Rutherford Contracting Limited for the Storrington Pedestrian Bridge Replacement at a cost of $106,348.43 (GST included) be accepted; 3. That the total gross project cost of $ 132,213 (GST included) including the quotation amount and other associated costs, and the total net project cost of $124,729, be approved; 4. That Council authorize the Director, Corporate Services & Treasurer to finance the project through the issuance of debentures; and a) That debt financing through the Regional Municipality of Durham in the amount of $124,000 for a period not exceeding 10 years, at a rate to be determined be approved; b) That the balance amount of $729 be funded from the 2007 Current Budget; c) That the annual repayment charges in the amount of approximately $16,450 be included in the annual Current Budget for the City of Pickering commencing in 2008, continuing thereafter until the loan is repaid, and any financing cost to be paid out of the Current Budget; d) That the Director, Corporate Services & Treasurer has updated the City's 2006 Annual Repayment Limit and certified that this loan and the repayment thereof falls within the City's Annual Repayment Limit for debt and financial obligations, as E3stablished by the Province for municipalities in Ontario, and would not cause the City to exceed the updated Limit, and Report OES 01-07 January 8, 2007 Subject: Quotation Q-57 -2006 Storrington Pedestrian Bridge Replacement, Pine Creek 081 Page 2 therefore, Ontario Municipal Board approval was not required prior to City Council's authorization; 5. That the Treasurer be authorized to take any actions necessary in order to effect the foregoing; and 6. That the appropriate City of Pickering officials be authorized to take necessary action to give effect thereto. Executive Summary: As part of the 2006 Property Maintenance Capital Budget, the reconstruction of the pedestrian bridge over Pine Creek, between Storrington Street and Bronte Square was approved as a construction project. Quotation Q-57 -2006 was issued on Tuesday, October 31,2006 and closed on Wednesday, November 15, 2006 with five (5) bidders responding. The total gross project cost is estimated to be $132,213 for an estimated net cost to the City of $124,729 (net of GST rebate). Recently, municipalities in Durham Region and across the GT A have experienced high price construction tenders due to rising material costs, an over abundance of projects being tendered due to Federal and Provincial Grant programs, as well as a boom in the development sector. In order to proceed with this project, it will be necessary for the City to approve additional debt financing iin the amount of $24,000, over the amounts stated in the 2006 budget, for a total debt commitment of $124,000. The additional debt request of $24,000 would require additional annual debt charges of approximately $3,180 for the next ten years, resulting in a total combined financing cost increase of $31,800. This amount was not included in the annual debt charges when this project was budgeted for in 2006. The City's purchasing policy requires this award value to have Council approval of the contract and the financing in order to proceed with this project in a timely manner. Financial Implications: 1. TENDER AMOUNT Q-57 -2006 GST Sub-Total GST Rebate Total $100,328.71 6,019.72 106,348.43 (6,019.72) $100,328.71 Report OES 01-07 January 8, 2007 Subject: Quotation Q-57 -2006 o 8 2 Storrington Pedestrian Bridge Replacement, Pine Creek Page 3 2. APPROVED SOURCE OF FUNDS Pro ert Maintenance Ca ital Bud et Location Proiect Code Storrington Pedestrian 5311.0606.6181 Bridge Source of Funds BudQet Required Debt (10 Year) FUNDS AVAILABLE 100,000 124,729 100,000 100,00 3. ESTIMATED PROJECT COSTING SUMMARY Q-57 -2006 -.Quotation for Storrington Pedestrian Bridge Replacement, Pine Creek $100,329 Associated Costs Materials Testing Miscellaneous Costs Consultant Fees Construction Contingency 2,000 1,500 11 ,400 9.500 124,729 7,484 $132,213 (7,484 ) $124.729 GST Total Gross Project Cost GST Rebate Total Net Project Cost 4. Project Cost under (over) Approved Funds $(24,729) I The Director, Corporate Services & Treasurer has reviewed the budgetary implications and the financing of the expenditures contained in this report and concurs. Report OES 01-07 January 8, 2007 Subject: Quotation Q-57 -2006 Storrington Pedestrian Bridge Replacement, Pine Creek 08~3 Page 4 Sustainability Implications: The bridge replacement will continue to promote personal physical fitness and connectivity of the Community. It will enhance the walking environment for those who choose to walk to work, shopping and recreational destinations as well as the local transit stop. The bridge is located in the South Pine Creek Ravine and crosses over the Pine Creek which protects the Community's existing connecting point with nature and our natural heritage system. It is a sustainable project that betters the experience our residents and Community have already enjoyed. Background: As part of the PropE!rty Maintenance Capital 2006 Budget, the reconstruction of the pedestrian bridge over Pine Creek between Storrington Street and Bronte Square was identified as a construction project. The consulting firm of Cosburn Giberson was retained by the City to design a structure to replace the structurally deficient pedestrian bridge. Quotation Q-57-2006 was issued on Tuesday, October 31, 2006 and closed on Wednesday, NovembElr 15, 2006 with five (5) bidders responding. The low bid was submitted by Rutherford Contracting Limited. The total gross project cost is estimated to be $132,213 for an estimated net cost to the City of $124,729 (net of GST rebate). Presently there exists a current trend of high pricing in the construction industry, which is related to the fast rising cost of basic construction materials. Other contributing factors for the price increases are the abundance of Federal/Provincial Grants available such as COMRIF, Move Ontario and the Federal Gas Tax and competition from the private development sector. In order to proceed with this project it will be necessary for the City to approve additional debt financing in the amount of $24,000 for a total debt commitment of $124,000. Rutherford Contracting Limited references have been checked by Cosburn Giberson and are deemed acceptable by the Consultant and the Supervisor, Engineering & Capital Works. The Health & Safety Policy, current WSIB Council Amendment to Draft #7 (CAD-7), Certificate of Clearance issued by Workplace Safety & Insurance~ Board, and Certificate of Insurance, as submitted by Rutherford Contracting Limited have been reviewed by the (Acting) Coordinator, Safety & Employee Development and are deemed acceptable. In conjunction with staff's review of the contractor's previous work experience and the bonding available on this project, the quotation is deemed acceptable. Upon careful examination of all quotations and relevant documents received, the Operations & Emergency Services Department, Municipal Property & Engineering Division recommends the acceptance of the low bid submitted by Rutherford Contracting Limited for Quotation Q-57-2006 in the amount of $106,348.43 (GST included) and that the total net project cost of $124,729 be approved. This report has been prepared in conjunction with the Manager, Supply & Services who concurs with the foregoing. Report OES 01-07 January 8, 2007 Subject: Quotation Q-57 -2006 Storrington Pedestrian Bridge Replacement, Pine Creek 084 Page 5 Attachments: 1. Location Map 2. Supply & Services Memorandum dated November 15, 2006 (~ared By: / Darrell . Selsky v Supervi or, Engineering apital Works \ . \ Approved I se C'''-''''l '-'" / t' / ,//0 ,A~ Vera A. Felgemacher Manager, Supply & Services ~~.:.}.,? ."" ..' ~/'~':;F)='- _~.<~:/~...:;;;~;~';2~~ ~Giiiis A. Paterson Director, Corporate Services & Treasurer . ',''') . /7 / "'~oI1Ji'~11 ;2(j . '~rie~ . - "-"'" RIO ard W. Horn, P. Eng. D'Ivision Head Municipal Property & Engineering DS:nw Attachments Copy: Chief Administrative Officer Recommended for the consideration of Pickering Ci~ C unci! .11 ~---- ~\CHMENT#__L,m REPORT iJJ2,~_~,<al-() 7 _L,of ~L, 085 MUNICIPAL PROPERTY & ENGINEERING Attachment For Quote Q-57-2006 Storrington Pedestrian Bridge Replacement, Pine Creek LOCATION MAP PROPOSED CONSTRUCTION INCLUDES: The existing pedestrian bridge is to be removed and replaced. osn t;f ",..b RE POHT 1* ..QE.$, () I..{J 1 CORPORATE s-Edv{tE~ DEPARTMENT MEMORANDUM November 15, 2006 To: Richard Ho/born Division Head Municipal Property & Engineering Darrell Selsky Supervisor, Engineering & Capital Works From: Barbara Tran Buyer Subject: Quotation No. Q-57-2006, Storrington Pedestrian Bridge Replacement, Pine Creek CLOSING: Friday, November 10, 2006, before 12:00 NOON Quotations have been received for the above project. A total of 7 companies were invited to participate and received documents. One addendum was issued. Five (5) bidders responded and submitted a quotation for this project. Quotations shall be irrevocable for 60 days after the official closing date and time. Purchasing Procedure No. PUR 010-001, Item 10.03 (r) provides checking Quoted unit prices and extensions; unit prices shall govern and extensions will be corrected accordingly, which has been done. Bidder Total After Calculation Amount $ Check $ Rutherford Contracting Ltd. 106,348.43 106,348.43 Mopal Construction Limited 109,095.20 - 109,095.20 Bob Hendricksen Construction Limited 126,786.60 126,786.60 McPherson-Andrews Contraction Limited 140,224.22 140,224.22 Rideau Valley Constructors Limited 160,502.02 160,502.02 Summary (PST included, GST included) t.; 2" REPOR1# Or:.). cH -a 1 _..._6...>.- o'.~~.2.:-- Jovem2ber 15, 2006 Page 087 Richard Holborn Darrell Selsky Pursuant to Supplementary Standard Conditions Item 10, the following will be requested of the low bidder for your review during the evaluation stage of this quotation call. Please advise as soon as possible if we are to proceed in this direction. (a) a copy of the Health and Safety Policy to be used on this project; (b) a copy of the current Cost and FrequE!ncy Report issued by Workplace Safety & Insurance Board (in lieu of the Cost and Frequency document, a copy of the current CAD 7, NEER, or MAP reports may be submitted); (c) a copy of the current Certificate of Clearance issued by Workplace Safety & Insurance Board; (d) the City's certificate of insurance shall be completed by the bidder's agent, broker or insurer; In accordance with Purchasing Policy PUR 010.1 Item No. 04.05, an award exceeding $81,000.00 is subject to Council approval. Please review the copies of the bids. Include the following items in your Report to Council: (a) if items (a) through (d) noted above, are acceptable to the Safety & Training Co- ordinator; (b) any past work experience Rutherford Contracting Ltd. including work location; (c) without past work experience, if reference information is acceptable; (d) the appropriate account number(s) to which this work is to be charged; (e) the budget amount(s) assigned thereto; (f) Treasurer's confirmation of funding; (g) related departmental approvals; (h) any reason(s) why the low bid of Rutherford Contracting Ltd. is not acceptable; and (i) related comments specific to the project. Cosburn Giberson Landscape Architects as the consultants on this project will be reviewing submissions and making recommendations to you. The consultant should also review carefully all submittal information based on quotation instructions. If the consultant notices any infractions or information missing during the evaluation, please contact me or a member of Supply & Services as soon as possible. Duplicate copies of the bids are attached for the consultant's use. Please do not disclose any information to enquiries. Bidders will be advised of the outcome in due course. If you require further information, please feel free to contact me. 'j) . /;;~?l;ld!lf tt~( ........F Barbara Tran \ /bt Attachments Copy for: Director, Operations & Emergency Services