REQUEST FOR DECISION
DATE: August 21, 2019 Report No. EPW-19-028
TO: Laurie Hurst, Chief Administrative Officer
FROM: Jeff Miller, Director of Engineering and Public Works
SUBJECT:
Title
Various Capital Projects 2019 Tender Award
End
RECOMMENDATION:
Recommendation
That the Contract for the Various Capital Projects 2019 be awarded to G&E Contracting LP for $343,000.00 (excluding GST) and that funding of $30,600 be reallocated from the Corridor Management Program budget to cover these costs.
Body
RELEVANT POLICY:
Purchasing and Disposal Bylaw, 2014, No. 2845
STRATEGIC RELEVANCE:
Local Services and Infrastructure - Identify infrastructure repair and proactively plan for replacement needs
BACKGROUND:
The Various Capital Projects 2019 tender consists of work to improve pedestrian mobility and safety. Each project has its own approved budget but were amalgamated for the tendering process. At each site, core work on the various components of infrastructure (concrete, asphalt, above ground features) will be carried out. The locations of the sites are:
1. Head Street/Esquimalt Road
2. Colville Road/Hutchinson Road
See Attachment 1 for site locations.
Core work at each of the sites include:
• Remove and replace curb/gutter
• Remove and replace sidewalk/ramps
• Installation of stand alone traffic signals
• Upgrade of crosswalks with above ground infrastructure
• Installation of line painting
The tender for the project was posted on August 2, 2019 and closed on August 16, 2019 with only one bid being received. Evaluation criterion for this project was based on cost.
The bid received was from G&E Contracting LP for a total of $343,000 (excluding GST).
ISSUES:
1. Rationale for Selected Option
The objectives of this tender include an investment to infrastructure, improvement to pedestrian movement and improvement to safety. Each of the project sites will see the replacement of older infrastructure that is either outdated, at the end of its useful life or does not exist. The new infrastructure will be constructed to current standards and is expected to have a substantial life span.
All the project sites have the focus of improving conditions that will assist in the movement of pedestrians in a safe and efficient manner. These improvements range from improved sidewalks, accessibility ramps and above ground crossing structures. This work will increase the usability and safety of the pedestrian movement system.
The Work directly supports the objectives outlined in the Well Managed and Well Maintained Infrastructure section of the Strategic Plan. By carrying out this tender, the Pedestrian Charter is reinforced as well.
Staff is recommending that the contract be awarded to G&E Contracting LP.
2. Organizational Implications
Staff have incorporated this project into their work plans for the year.
3. Financial Implications
The tender was composed of two projects with each project being assigned its own budget with funding approved from the Community Works Fund [CWF]. They were amalgamated due to the similar nature of the work and to create an attractive bid package.
The Township also made an application to ICBC for cost sharing of these projects. This application was approved and funding of $121,700 was granted.
A breakdown of the cost and budget monies available is:
Total of Tender (excluding GST) - $343,000
Head Street and Esquimalt Road
Approved Budget (CWF) - $200,000
ICBC contribution - $119,200
Budget - $319,200
Colville Road and Hutchinson
Approved Budget (CWF) - $ 25,000
ICBC contribution - $ 2,500
Budget - $ 27,500
Total budget available - $346,700
While the tender amount is $3,700 below the approved funding, this does not include a sufficient contingency amount. In order to allow for a contingency of 10%, the allocation of an additional $30,600 will be required.
These additional funds can be obtained in two ways. The first way is to reallocate funds from a previously approved capital project. If funding for this project was to be approved, a prior approved project would have to be delayed or require a scope change. The second way is to reallocate funds directly from the CWF. This Fund has a sufficient balance to accommodate this reallocation.
Staff’s recommendation is that the first approach be carried out. The Corridor Management Program has an approved budget of $500,000. The scope of this project involves the inspection of storm and sanitary collection mains as well an assessment of road/sidewalk surface condition and streetlight illumination.
To date, only the assessment of the surface works has been undertaken and is currently being finalized. The cost associated with this work is $70,000. This leaves $430,000 remaining in the budget. With the reallocation of $30,600 to this tender, the budget would then be $399,400. The scope of work for inspection of storm and sanitary collections mains would then be adjusted for this budget figure.
4. Sustainability & Environmental Implications
The focus of this tender is to improve infrastructure at various locations. These improvements will in turn increase the walkability of the Township. The improvements will improves mobility issues or improves safety conditions. At the end of each project, the various sites will be improved to encourage pedestrian usage along with providing a higher level of service.
5. Communication & Engagement
The successful bidder will receive verbal and by written notification that they have been awarded the contract. The scope of work and construction time frame will be posted on the Township’s website and other social media as the project moves forward.
ALTERNATIVES:
1. That the Contract for the Various Capital Projects 2019 be awarded to G&E Contracting LP for $343,000.00 (excluding GST) and that funding of $30,600 be reallocated from the Corridor Management Program budget to cover these costs.
2. That the Contract for the Various Capital Projects 2019 be awarded to G&E Contracting LP for $343,000.00 (not including GST) and that funding of $30,600 be reallocated from the Community Works Fund to cover these costs.
3. That the Contract for the Various Capital Projects 2019 is not awarded to G&E Contracting LP and the tender be cancelled.