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Home My WebLink AboutOES 27-08 REPORT TO COUNCIL '1 '7 7 Report Number: OES 27-08 Date: September 15, 2008 From: Everett Buntsma Director, Operations & Emergency Services Subject: Tender T -16-2008 Tender for Sideline 4, Concession 5 to Highway 7 Phase I - Road Reconstruction File: A-1440 Recommendations: 1. That Report OES-27 -08 regarding the City Road Reconstruction for Sideline 4, Concession 5 to Highway 7 - Phase I be received; and 2. That Tender T-16-2008 submitted by Miller Paving Limited. for the City Road Reconstruction for Sideline 4 at a cost of $516,114.95 (GST included) be accepted; and 3. That the total gross project cost of $577,500 (GST included) including the tender amount and other associated costs and the total net project cost of $550,000 be approved; and 4. That Council authorize the Director, Corporate Services & Treasurer to finance the project as follows: a) that the sum of $427,000 be financed by the issue of debentures by The Regional Municipality of Durham over a period not to exceed ten (10) years, at a rate to be determined; b) that the sum of $122,650 be funded from the Development Charges Roads and Related Reserve Fund; c) that the balance of $350 be funded from the 2008 Current Budget; d) that the annual repayment charges in the amount of approximately $55,300 be included in the annual Current Budget for the City of Pickering commencing in 2009, continuing thereafter until the loan is repaid, and any financing cost to be paid out of the Current Budget; e) the Director, Corporate Services & Treasurer has updated the City's 2008 Annual Repayment Limit and certified that this loan and the repayment thereof falls within the City's Annual Repayment Limit (Limit) for debt and financial Report OES 27-08 September 15, 2008 Su bject: Tender T -16-2008 - Tender for City Sideline 4, Concession 5 to Highway 7 Concession 5 to Highway 7 Road Reconstruction - Phase I ,1 1 0 I / () Page 2 obligations, as established by the Province for municipalities in Ontario, and would not cause the City to exceed the updated Limit, and therefore, Ontario Municipal Board approval is not required prior to City Council's authorization; f) the Treasurer is authorized to take any actions necessary in order to effect the foregoing; and 5. That the draft by-law attached to this report be enacted; 6. That the appropriate City of Pickering officials be authorized to take necessary action to give effect thereto. Executive Summary: As part of the 2008 Development Projects Capital Budget, Road Reconstruction for Sideline 4 from Concession 5 to Highway 7 Phase 1 was approved as a construction project. Tender T-16-2008 was issued on Tuesday, August 12, 2008 and closed on Wednesday, September 3, 2008 with six (6) bidders responding. The total net project cost is estimated to be $550,000 to the City (net of (GST rebate). The City's purchasing policy requires staff to report to Council on results of the tender and financing in order to proceed with this project in a timely manner. Financial Implications: 1. TENDER AMOUNT T-16-2008 GST Sub-Total GST Rebate Total $491,538.05 24,576.90 516,114.95 (24,576.90) $491,538.05 2. APPROVED SOURCE OF FUNDS Roads Ca ital Bud et Location Sideline 4 Conc. 5 Sideline 4 Conc. 5 Project Code 5321.0801.6250 5321.0801.6250 Source of Funds Debt (10 Year) DC Roads & Related Current Budget FUNDS AVAILABLE Budqet 427,350 122,650 o 550,000 Required 427,000 . 122,650 350 550,000 Report OES 27-08 September 15, 2008 Subject: Tender T-16-2008 '1 7 9 Tender for City Sideline 4, Concession 5 to Highway 7 Concession 5 to Highway 7 Road Reconstruction - Phase I Page 3 3. ESTIMATED PROJECT COSTING SUMMARY T-16-2008 - Tender for City Road Reconstruction for Sideline 4 $491,538 Associated Costs Materials Testing Miscellaneous Costs Construction Contingency Total 15,000 5,000 38,462 $550,000 GST 27,500 Total Gross Project Cost $577,500 GST Rebate (27,500) $550,000 Total Net Project Cost . Und~!jOver Budget o I The Director, Corporate Services & Treasurer has reviewed the budgetary implications and the financing of the expenditures contained in this report and concurs. Sustainability Implications: This will allow for the hard surfacing of the roadway improving the geometries and vehicular flows in this area. This will also result in lower maintenance cost for years to come due to the road no longer requiring dust suppression maintenance. Background: As part of the Development Projects Capital 2008 Budget, Road Reconstruction for Sideline 4 from Concession 5 to Highway 7 Phase 1 was identified as a construction project. Tender T-16-2008 was issued on Tuesday, August 12, 2008 and closed on Wednesday, September 3, 2008 with six (6)) bidders responding. The total gross project cost is estimated to be $577,500 for an estimated net cost to the City of $550,000 (net of GST rebate). Miller Paving Limited, is currently working for the City on Tender T-7-2008 for Surface Treatment on Sideline 16 (R.R.#5 to North terminus), Sideline 16 (Dutch master Nurseries north to Concession #7) and Paddock Road (Hwy.#7 to Concession 7) and is deemed acceptable by 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 Report OES 27-08 September 15, 2008 Subject: Tender T-16-2008 Tender for City Sideline 4, Concession 5 to Highway 7 Concession 5 to Highway 7 Road Reconstruction - Phase I d '0 ! () I Page 4 and Certificate of Insurance as submitted by Miller Paving Limited, will be reviewed by the Coordinator, Health & Safety prior to the awarding of this tender by Council. In conjunction with staff review of the contractor's previous work experience with the City and the bonding available on this project, the tender is deemed acceptable. Upon careful examination of all tenders and relevant documents received, the Operations & Emergency Services Department, Municipal Property & Engineering ~ivision recommends the acceptance of the low bid submitted by Miller Paving Limited. for Tender T-16 -2008 in the amount of $516,114.95 (GST included) and that the total net project cost of $550,000 be approved. This report has been prepared in conjunction with the Manager, Supply & Services who concurs with the foregoing. Attachments: 1. Location Map 2. Supply & Services Memorandum dated September 3, 2008 3. By-law to authorize the City Road Reconstruction for Sideline 4, Concession 5 to Highway 7 - Phase I in the City of Pickering and the issuance of debentures therefor in the amount of $427,000 Prepared By: g Approved I Endorsed By: /~<e/'--:'::/~'" ........ /j /.... ---_...~'" Oarrell B. Selsky, Supervisor, Engineering &1. apital Works Everett nts Director, Operations & Emergency Services Report OES 27-08 September 15, 2008 Subject: Tender T-16-2008 '1 (~ 1 Tender for City Sideline 4, Concession 5 to Highway 7 Concession 5 to Highway 7 Road Reconstruction - Phase I Page 5 Prepared By: I I \ , II, I'\W Vera A. Felgemacher C.P.P., CPPO, CPPB, C.P.M., CMM III Manager, Supply & Services Approved I Endorsed By: .' I I II I " /.....>,..~~..:;::'7.._~ .,.-" ../~-"."...~- '-----~--r----- . r7 _____'~--. Gillis A. Paterson Director, Corporate Services & Treasurer .~-:.._-- .', .//)- i LH). ," I- I // i / ~r/ Richard W. Horborn, P. Eng. Division Head Municipal Property & Engineering I DS:ds Attachments Copy: Chief Administrative Officer " IS ..' / I OES 27 -()?5 (';/u "I L.~ , ~"-~,- 1(<~Ji ...) T !j__,l~!(!~fi'" l?I(~KERllLG I i),') I "I 4- MUNICIPAL PROPERTY & ENGINEERING Attachment for Tender T-16-2008 SIDELINE 4 Gl \j KIN SALE ["--1 <Tj I I I I I I I >- r-~ ~- ,23 I \.l......~ I I , LL I 0 SUBJECT I AREA I z I S I 0 I f- L- I I I I '" ~ "'!'- ",!,'.-- ~-.-~-I---~'- --- -.. .--- ---:"' ----..'.i...- -- --1- -.. -;. OF ; AJAX LOCATION MAP PROPOSED CONSTRUCTION INCLUDES: Complete reconstruction of Sideline 4 which includes; · Installation of a new and wider road, complete with new granular base and base asphalt · Drainage improvements where necessary Complete ditch restoration (fine grading and sodding where required) . to all areas affected by construction '1 >~ 3 i \...' ~ 2 I 3 CilLJ o~ MEMO To: Richard Holborn Division Head, Municip.al Property & Engineering From: Vera A. Felgemacher Manager, Supply & Services Supervisor, Engineering & Capital Works MUNICIPAl RECEIVED FilE NO. ABEV TO o FWD MAVOR CAO CUL a. REC MPE MPE OPS CENTRE FAC OPERATIONS Copy: Subject: Tender No. T-16-2008 Tender for Sideline 4 Road Reconstruction Closing: September 3, 2008 Tenders have been received for the above project. Twenty companies were invited to participate. An advertisement was placed in the Daily Commercial News, News Advertiser and on the City's Website. One addendum was issued. A total of eight companies picked up a tendering package for a non-refundable fee of $75.00. One bidder was unable to bid, and seven bidders responded and submitted a tender 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 10.03 (r) provides checking tendered unit prices and extensions; unit prices shall govern and extensions will be corrected accordingly, which has been done. A copy of bids received is attached for review. SUMMARY PST included, GST included Bidder Total Tendered Amount $ After Calculation Check $ Miller Paving $516,114.95 $516,114.95 Elirpa Construction & Materials $533,044.07 $533,044.07 Lafarge Paving & Construction Ltd. $652,544.03 $652,544.03 Dagmar Construction Inc. $681,762.12 $681,862.12 L .~ o~ ""~<~ ..3 '184 Automatic rejection - Bid deposit not provided. Reference: Purchasing Serve Construction By-law No. 5900-01, Procedure No. PUR 010-001, 10.04, Item 9(c), IB Item 17, 18, 19,20; TS Item 1,2,3. Automatic rejection - Bid deposit not sufficient. Reference: Purchasing Montgomery MacEwan By-law No. 5900-01, Procedure No. PUR 010-001, 10.04, Item 9(d), IB Item 17, 18, 19,20; TS Item 1,2,3. Bry Ron Contractinq Ltd. Unable to Bid ....,iIJ'.~....'-'...~.tWI<.. ..,o(.,p., - ...W!"lo......-....... ilM._'m ...._j)~~m.a.A rtl't1'1UW~ je,W;.'("i. k t.,,-,.'?~:.~_.u..~,a.~.~..~.....t?.'.'~T~!O,~...r.~.~a',~t,?.n:to......B.'.,id P,i' ers Item 21, ~he following will be requested of the low bidder for _. your review dUring tf;~ evaluat~on stage of this tender call. ".--.- _.~" ,~'.-... -.........- "'''T'-~I~ ~ . "~ ': "i\ i -:'l!!T~~..RY <?!:tl?~-;~:~\ci~'arid~afety Policy to be used on this project; -~'b.)......a...c~~;'Rf -thecur:re~t<mprkplace Injury Sur:nmary Report issued by Workplace Safety & . ~t=,~j!0.m~l:J.~~-q~~~~O~~:(I.0.:,;ILerr:;gf the Workplace Injury SU,mmary Report document, a copy of the ,,);eJ.1:~;,i.LQQ.f.f.~f!tQAQ ]~.NEE~"tJ:t':~AP reports may be submitted); "~~;;;:ij.~l~~~'lq~the g.ufreht Ol~~rance Certificate issued by Workplace Safety & Insurance Board; ".t . ....:!~:~~Q~.r!jflf"'F~~,QfJns}Jrance shall be completed by the bidder's agent, broker or insurer; Include the following items in your Report to Council: (a) if items (a) through (d) noted above, are acceptable to the Co-ordinator, Health & Safety (b) any past work experience Miller Paving Limited 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 Miller Paving Limited is not acceptable; and (i) related comments specific to the project. ' Please do not disclose any information to enquiries except you can direct them to the City's website for the unofficial bid results as read out at the Public tender opening. Bidders will be advised of the outcome in due course. If ~ou require further information, please feel free to contact me or a member of Supply & seKces. (-A\. Attach~nts /jh September 5, 2008 Tender No. T-16-2008 Tender for Sideline 4 Road Reconstruction Page 2 CITY OF PICKERING RECORD OF TENDERS OPENED AND CHECKED Tender No.: T-16-2008 Tender Description: Sideline 4 Road Reconstruction Time: Approx.2:15pm Date: Wednesday, September 3, 2008 Bidder Name ~:i~ Dagmar Construction Inc. ;:::< n ;'t, I d. ,,/"( \' f ~.; i1 ~: I :;.:' ,. .,,~ Elirpa Construction & Materials Lafarge Paving & Construction Ltd. Miller Paving Ltd. Montgomery MacEwen Contracting Limited Serve Construction Bry Ron Co~tracting Ltd U) Total Amount . I BIDDER'S I COMMENTS Tendered SIGN IN - t'J 'fil.J 7b:l. ./2- .. 5:3-3" oC/-tl.D.7 -.C,S:J..J ~.t,t~ 03 <4 S /~" 1/'1. 9S" Dio c"bj) . V /A.JSuI'I""~c.snr NO 3.;0 . ~ I Unable to Bid I Bid Deposit Agreement I Addendum to Bond Acknowledged '" "" 10.;' t)/lti S, ooo.QO v ,,;' ;' ""-/0 'I. Y;o~ a,o ii::lnp ".s,a70 :ou ,.,- -- /' v ./ ".... v f'"y.... .. d CITY Staff Present ('" n._' i:~' . ,.-. :;.;...[ 8'i\ ::::.F:X:,l":t.-, l. Da~ jf..' cY~j Other 3 I Z. OES ? 7-0g THE CORPORATION OF THE CITY OF PICKERING '1 H 6 BY-LAW NO. Being a by-law to authorize the City Road Reconstruction for Sideline 4, Concession 5 to Highway 7-Phase 1 in the City of Pickering and the issuance of debentures therefor in the amount of $427,000. 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, VVHEREAS 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 wishes construction to proceed in respect of the City Road Reconstruction for Sideline 4, Concessjon 5 to Highway 7-Phase 1 project; and, \/\/HEREAS before authorizing the construction to proceed in respect of the City Road Reconstruction for Sideline 4, Concession 5 to Highway 7-Phase 1 project on the date hereof 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 is not required 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 OES 27-08 on the date hereof and awarded Tender T -16-2008 for the City Road Reconstruction for Sideline 4, Concession 5 to Highway 7-Phase 1 project. N"f t; 3 RE PORT _.......2" .;,j ,,,,,._6 oES ~1-()~ BY-LAW NO '1' 7 I /" , 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 construction of the project referred to as "City Road Reconstruction for Sideline 4, Concession 5 to Highway 7 -Phase 1"; 2. That the estimated costs of the construction in the amount of $550,000 be financed as follows: a) That the sum of $427,000 be financed by the issue of debentures by The Regional Municipality of Durham over a period not to exceed ten (10) years; b) That the sum of $122,650 be funded by the Development Charges-Roads & Related Reserve Fund; c) That the balance amount of $350 be funded from the 2008 Current Budget; 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 2009 and continuing thereafter until the loan is repaid. BY -LAVV read a first, second and third time and finally passed this 15th day of September, 2008. David Ryan, Mayor Debi A. Wilcox, City Clerk