HomeMy WebLinkAboutJanuary 8, 2024 - Special Council
Special Council Meeting Agenda
January 8, 2024 Hybrid Electronic Meeting
Council Chambers
Immediately Following
the Executive Committee Meeting
For information related to accessibility requirements please contact: Committee Coordinator 905.420.4611
clerks@pickering.ca
Members of the public may observe the open, public portion of the meeting proceedings by accessing the livestream. A recording of the meeting will also be available on the City’s website following the meeting.
A Special Meeting of Council has been scheduled and parts of this Meeting will be in-camera in accordance with the provisions of Section 239(2) of the Municipal Act and Procedure By-law, in that the matters to be discussed relate to:
f) advice that is subject to solicitor-client privilege, including communications necessary for that purpose; i) a trade secret or scientific, technical, commercial, financial or labour relations
information, supplied in confidence to the municipality or local board, which, if disclosed, could reasonably be expected to prejudice significantly the competitive position or interfere significantly with the contractual or other negotiations of a person, group of persons, or organization;
j) a trade secret or scientific, technical, commercial or financial information that belongs to the municipality or local board and has monetary value or potential monetary value; and, k) a position, plan, procedure, criteria or instruction to be applied to any negotiations
carried on or to be carried on by or on behalf of the municipality or local board.
Page 1. Roll Call 2. Disclosure of Interest
3. Delegations Members of the public looking to provide a verbal delegation to Members of Council for matters under Section 4 of the agenda may do so either in person, or through a virtual
connection into the meeting. For more information, and to register as a delegate, visit
www.pickering.ca/delegation, and complete the online delegation form or email clerks@pickering.ca. The list of delegates who have registered to speak will be called upon one by one by the
Chair in the order in which they have registered. A maximum of 5 minutes shall be
allotted for each delegation.
Special Council Meeting Agenda
January 8, 2024 Hybrid Electronic Meeting
Council Chambers
Immediately Following
the Executive Committee Meeting
For information related to accessibility requirements please contact: Committee Coordinator 905.420.4611
clerks@pickering.ca
Please be advised that your name will appear in the public record and will be posted on the City’s website as part of the meeting minutes. 4. Matters for Consideration 4.1 Director, Engineering Services, Report ENG 01-24 1 Amendment to the Road Servicing Agreement with Tribute (Liverpool) Limited - Walnut Lane Extension Recommendation: 1. That the Road Servicing Agreement with Tribute (Liverpool) Limited to facilitate for the construction of the Walnut Lane extension between Kingston Road and Liverpool Road be revised to reflect an
increase in the total project cost in the amount of $1,097,815.00 (plus HST); 2. That the Mayor and City Clerk are hereby authorized to execute the revised Road Servicing Agreement between the City of Pickering
and Tribute (Liverpool) Limited subject to revisions acceptable to the Director, Engineering Services and the Director, Corporate Services & City Solicitor; 3. That Council authorize the Director, Finance & Treasurer to finance
the additional project cost of $1,240,531.00 (HST included) and net project cost of $1,117,137.00 (net of HST rebate), above the approved 2022 and 2023 Capital Budget amounts, as outlined in the revised Road Servicing Agreement as follows:
a) the additional sum of $279,284.00 to be funded from a transfer from the City’s DC Share Reserve; b) the additional sum of $837,853.00 to be funded from a transfer from the Development Charges -Transportation Reserve Fund;
and, 4. That the appropriate City of Pickering officials be authorized to take the necessary actions as indicated in this report.
Special Council Meeting Agenda
January 8, 2024 Hybrid Electronic Meeting
Council Chambers
Immediately Following
the Executive Committee Meeting
For information related to accessibility requirements please contact: Committee Coordinator 905.420.4611
clerks@pickering.ca
5.In Camera Matters (Main Committee Room)
5.1 Confidential Verbal Update from the Chief Administrative Officer andReceipt of Legal Advice from J. Mark Rodger, Partner, BLG LLP
Re: Elexicon Corporation Strategic Initiatives
6.Confidential Special Council – Public Report (Council Chambers)
7.Confirmatory By-law
8.Adjournment
Report to Council
Report Number: ENG 01-24
Date: January 8, 2024
From: Richard Holborn
Director, Engineering Services
Subject: Amendment to the Road Servicing Agreement with Tribute (Liverpool) Limited
-Walnut Lane Extension
-File: A-1440
Recommendation:
1.That the Road Servicing Agreement with Tribute (Liverpool) Limited to facilitate for the
construction of the Walnut Lane extension between Kingston Road and Liverpool Road
be revised to reflect an increase in the total project cost in the amount of $1,097,815.00
(plus HST);
2.That the Mayor and City Clerk are hereby authorized to execute the revised Road
Servicing Agreement between the City of Pickering and Tribute (Liverpool) Limited
subject to revisions acceptable to the Director, Engineering Services and the Director,
Corporate Services & City Solicitor;
3.That Council authorize the Director, Finance & Treasurer to finance the additional project
cost of $1,240,531.00 (HST included) and net project cost of $1,117,137.00 (net of HST
rebate), above the approved 2022 and 2023 Capital Budget amounts, as outlined in the
revised Road Servicing Agreement as follows:
a)the additional sum of $279,284.00 to be funded from a transfer from the City’s DC
Share Reserve;
b)the additional sum of $837,853.00 to be funded from a transfer from the Development
Charges -Transportation Reserve Fund; and,
4.That the appropriate City of Pickering officials be authorized to take the necessary
actions as indicated in this report.
Executive Summary: Through Resolution #988/22 Council approved entering into a Road
Servicing Agreement with Tribute (Liverpool) Limited related to the design and approvals
component of the Walnut Lane extension between Kingston Road and Liverpool Road. This
component has a total project cost of $643,700.00 (plus HST) funded 25 per cent from the
City’s DC Share Reserve and 75 per cent from the Development Charges Transportation
Reserve Fund.
Through Resolution #169/23 Council approved entering into a Road Servicing Agreement with
Tribute (Liverpool) Limited related to the construction component. The Road Servicing
Agreement included a construction amount of $7,768,248.00 (plus HST) funded 25 per cent
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ENG 01-24 January 8, 2024
Subject: Amendment to the Road Servicing Agreement
with Tribute (Liverpool) Limited Page 2
from the City’s DC Share Reserve and 75 per cent from the Development Charges
Transportation Reserve Fund.
These amounts totaling $8,411,948.00 (plus HST) were approved in the 2022 and 2023
Capital Budgets. Tribute (Liverpool) Limited has tendered the project and the low bids received
and recommended resulted in the need for additional funds. After a value engineering
exercise, the additional amount required is $1,097,815.00 (plus HST) which includes a
construction contingency of five per cent.
Staff is recommending that Council approve the additional amount of $1,097,815.00 (plus
HST) required and that the Road Servicing Agreement for construction be amended to reflect
the increased cost.
Relationship to the Pickering Strategic Plan: The recommendations in this report
respond to Pickering Strategic Plan Priority 3: Advance innovation & responsible planning to
support a connected, well-serviced community. The extension of Walnut Lane to Liverpool
Road will enhance the City’s transportation infrastructure.
The recommendations in this report also respond to Pickering Strategic Plan Priority 2:
Advocate for an inclusive, healthy & welcoming community. New development adjacent to the
Walnut Lane extension will include affordable dwelling units made available through the
involvement of Habitat for Humanity.
Financial Implications: In the 2022 Capital Budget an amount of $6,550,300.00 (net of
HST rebate) was approved for the completion of design, approvals, permits and construction of
the Walnut Lane extension. The amount included $655,029.00 (net of HST rebate) for
consulting soft costs, and $5,895,271.00 (net of HST rebate) for construction costs based on
the cost estimate at that time. The estimated cost for the design, construction and
inspection/contract administration for the Walnut Lane extension was updated and increased
to $8,560,000.00 (net of HST rebate) due to current market conditions and the requirement for
a larger span structure over Pine Creek. The 2022 Development Charges Study as approved
by Council reflects the revised cost estimate.
In the 2023 Capital Budget – Development Projects (DC Funded) account, additional funds in
the amount of $2,009,700.00 (net of HST rebate) was approved to bring the estimated total net
project cost up to the $8,560,000.00 (net of HST rebate) required.
Tribute (Liverpool) Limited has tendered the project and the low bids received and
recommended resulted in the need for additional funds. After a value engineering exercise, the
additional amount required is $1,097,815.00 (plus HST). The additional amount required
includes a construction contingency of five per cent.
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ENG 01-24 January 8, 2024
Subject: Amendment to the Road Servicing Agreement
with Tribute (Liverpool) Limited Page 3
1.Road Servicing Agreement Amount
Road Servicing Agreement – Construction $7,768,248.00
Additional amount required 1,097,815.00
Total Project Cost (excl taxes) 8,866,063.00
HST (13%) 1,152,588.00
Gross Project Cost $10,018,651.00
HST Rebate (11.24%) (996,545.00)
Net Project Cost to City (incl 1.76%) $9,022,106.00
2.Estimated Project Cost Summary
Road Servicing Agreement – Design $643,700.00
Road Servicing Agreement – Construction (revised) 8,866,063.00
Total Project Cost $9,509,763.00
HST (13%) 1,236,269.00
Total Gross Project Cost $10,746,032.00
HST Rebate (11.24%) (1,068,897.00)
Total Net Project Cost to City (incl 1.76%) $9,677,135.00
3.Approved Source of Funds Available for Construction
Expense Code Source of Funds Budget Required
2022 Budget:
C10575.1801 City's Share DC
Reserve
$1,473,817.00 $1,473,817.00
C10575.1801 DC Transportation
Reserve Fund
4,421,453.00 4,421,453.00
2023 Budget:
C10575.1801 City’s Share DC
Reserve
502,425.00 502,425.00
C10575.1801 DC Transportation
Reserve Fund
1,507,275.00 1,507,275.00
Additional Funds
Required
C10575.1801 City’s Share DC
Reserve
0.00 279,284.00
C10575.1801 DC Transportation
Reserve Fund
0.00 837,853.00
Total $7,904,970.00 $9,022,107.00
Under/(Over) Approved Funds ($1,117,137.00)
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ENG 01-24 January 8, 2024
Subject: Amendment to the Road Servicing Agreement
with Tribute (Liverpool) Limited Page 4
Over the last few years, construction costs have increased. The City’s commitment to this
project is demonstrated by increasing the original budget two times, over the last few years.
Discussion: Tribute (Liverpool) Limited are constructing a residential high-rise development
consisting of three towers on the west side of Liverpool Road having heights of 46, 49 and 53
storeys, containing a total of 1,779 units and 1,155 square metres of commercial space at
grade. The development requires appropriate public road infrastructure be provided in
conjunction with the development. The public road infrastructure includes the Walnut Lane
extension.
Report ENG 21-22 was considered by Council at the September 20, 2022 Council Meeting.
Through Resolution #988/22, Council authorized the Mayor and City Clerk to execute the Road
Servicing Agreement to facilitate the design and approvals for the construction of the Walnut
Lane extension between Kingston Road and Liverpool Road. The net project cost of
$655,029.00 (net of HST rebate) which was approved in the 2022 Capital Budget, was
included in the agreement as the project cost.
Report ENG 05-23 was considered by Council at the April 24, 2023 Council Meeting. Through
Resolution #169/23, Council authorized the Mayor and City Clerk to execute the Road
Servicing Agreement to facilitate construction. The balance of funds approved in 2022
($5,895,271.00 net of HST rebate) plus the funds approved in the 2023 Capital Budget
($2,009,700.00 net of HST rebate), were included in the agreement as the project cost. The
total cost committed for construction was $7,904,971.00 (net of HST rebate).
Tribute (Liverpool) Limited has tendered the project based on 90 per cent design. Tribute
received five competitive bids for the road, storm sewer and bridge works, and four competitive
bids for the streetlight and traffic signal works, however the two low bids when combined
exceeded the total amount committed for construction. The low bids submitted by KAPP
Infrastructure Ltd. and Black & McDonald would have required a combined increase of
$1,051,071.00 (plus HST) with no construction contingency.
City staff met with Tribute to analyze the low bids and to undertake a value engineering
exercise to consider options to reduce the construction cost. By removing the multi-use path
on the north side of Walnut Lane, and the two storm sewer outfall access roads, savings of
approximately $322,000.00 (plus HST) were realized. There were also savings of
approximately $28,000.00 (plus HST) in the streetlight and traffic signal component of work. As
a precautionary measure, a five per cent construction contingency of $397,091.00 has been
added to the revised total project cost.
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ENG 01-24 January 8, 2024
Subject: Amendment to the Road Servicing Agreement
with Tribute (Liverpool) Limited Page 5
Attachment:
1. Location Map
Approved/Endorsed By:
Original signed by:
Richard Holborn, P. Eng.
Director, Engineering Services
Original signed by:
Paul Bigioni
Director, Corporate Services & City Solicitor
Original signed by:
Stan Karwowski, MBA, CPA, CMA
Director, Finance & Treasurer
RH:mjh
Recommended for the consideration
of Pickering City Council
Original signed by:
Marisa Carpino, M.A.
Chief Administrative Officer
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Engineering Services Department
DATE: N.T.S. January 2, 2024
Location Map
ENG 01-24 -ot,o/·P1CKER1NG
Attachment #1 to Report ENG 01-24
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