REQUEST FOR DECISION
DATE: February 6, 2017 Report No. EPW-17-005
TO: Laurie Hurst, Chief Administrative Officer
FROM: Jeff Miller, Director of Engineering and Public Works
SUBJECT:
Title
Award of Construction Contract for Project 1 - Electrical Relocation, Esquimalt Town Square
End
RECOMMENDATION:
Recommendation
That Council approves the awarding of Project 1 - Electrical Relocation, Esquimalt Town Square for a cost of $457,333.80 (inclusive of the GST) to Ralmax Contracting Ltd.
Body
RELEVANT POLICY:
Not Applicable
STRATEGIC RELEVANCE:
Resilient and Diverse Economy - Continue with remediation of proper and development of remediation plan
Well Managed and Maintained Infrastructure - Identify infrastructure repair and proactively plan for replacement needs
BACKGROUND:
Project 1 - Electrical Relocation, Esquimalt Town Square (ETS) is the first project that will be undertaken by the Township in its efforts to redevelop the site. The undertaking of this project is necessary in order to allow construction of the ETS structures. The project includes the following work:
• Relocation of backup power generator
• Relocation of fiber optic and copper communication infrastructure
• Relocation of power transformer
• Relocation of electric vehicle charging station
• Fire truck storage structure demolition and disposal (to be a change order upon award of contract)
The tender for this project was issued on January 4, 2017 and closed on January 20, 2017. A total of two bids were received. One of the bids was deemed to be a qualified bid as it did not contain the required bonding as laid out by the tender documents. With this being the case, the qualified bid was not evaluated in the evaluation process.
The remaining bid detailed the following information:
• Bidder = Ralmax Contracting Ltd.
• Bid = 457,333.80 (includes GST)
• Schedule = 140 days
ISSUES:
1. Rationale for Selected Option
The Consultant and Staff have completed the review of the received tenders. Based on this review, it is Staff’s recommendation that the contract for Project 1- Electrical Relocation is awarded to Ralmax Contracting Ltd. The tender has met the requirements of the tender call and a review of the sub-contractors is favorable.
The Consultant has had a preliminary conversation with the Bidder about the time necessary to complete the work. The Bidder has indicated that there is an ability to shorten this time depending on lead times for various pieces of equipment and material. A new schedule will be obtained once the contract is awarded.
Once the contract is awarded, the Township will request pricing for the demolition of the fire truck storage building from the Bidder. This bidder has the capacity and expertise to carry out this work. If the Township or the Bidder decides not carry out this work, it will be bid out separately.
2. Organizational Implications
This project has been incorporated into the Director of Engineering and Public Works’ work plan for 2016. Resources from Engineering and Public Works will be utilized as required to assist in the undertaking of the project. There are no significant operational impacts expected due to the work.
3. Financial Implications
The budget required for this project is $457,333.80 (inclusive of GST). This cost has been reflected in the early budget request in Staff Report EPW-17-004.
4. Sustainability & Environmental Implications
As the project is initiated, the various parties will look to incorporate technology and methodology that reduce the environmental implications of the work. The sustainability of the project is incorporated into the overall design and management of the ETS site as it is developed.
5. Communication & Engagement
When the contract is awarded the Consultant and Bidder will be contacted. The Township will issue updates to the Township’s website and other social media forums regarding the progress of the project. Council will also receive periodic reports updating them on the progress of the project as required.
ALTERNATIVES:
1. That Council approves the awarding of Project 1 - Electrical Relocation, Esquimalt Town Square for a cost of $457,333.80 (inclusive of the GST) to Ralmax Contracting Ltd.
2. That Council does not approve the awarding of Project 1 - Electrical Relocation, Esquimalt Town Square for a cost of $457,333.80 (inclusive of GST) to Ralmax Contracting Ltd. and directs staff to cancel the tender and re-tender with work.