HomeMy WebLinkAboutCOD-040-09STAFF REFORT Ifl
Clari~~o
Leading tke Way
REPORT
CORPORATE SERVICES DEPARTMENT
Meeting: COUNCIL (~~,~o`~. ~ G ~ 3'-}~ ~ O~
Date: June 1, 2009
Report #: COD-040-09 File # By-law #
Subject: TENDER NO. CL2009-26 - ORONO ARENA ROOF REPLACEMENT
Recommendations:
It is respectfully recommended to Council the following
1: THAT Report COD-040-09 be received;
2. THAT staff be authorized to proceed with.the award of a contract for the replacement of
the Orono Arena Roof based on the compliant low bid received on Tender # CL2009-2ti
on the approval of the Director of Operations and the Chief Administration Officer;
3. THAT the funds required be drawn from Account #110-36-370-83683-7401 in the
amount of $290,300.00 with additional funds to an amount of $200,000.00 if needed, be
drawn from the Creating Jobs, Building Ontario funds set aside for the Newcastle Fire
Station Replacement;
4. THAT the Mayor and Clerk be authorized to execute the necessary agreement; and
5. THAT staff report to Council on the results of the tender call and the contract award.
Submitted by: //~~,~~~'r Reviewed by: ~~~/~iF~"'
~'1re~Narano, H.B.Sc:, C.M.O., a~c~n"Wu,
Director of Corporate Services ~ Chief Administrative Officer
I/~ Nanc Taylpr, B.B.A~.A.,
fff °°° "` Director of ~inancelTreasurer
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CORPORATION OF THE MUNICIPALITY OF CLARINGTON
40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L1C 3A6 T (905)623-3379 F (905)623-4169
REPORT NO.: COD-040-09
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REPORT NO.: COD-040-09 PAGE 2
1. BACKGROUND AND COMMENT
1.1 In 2008 the Director of Finance Report #FND-018-08 identified and approved funding in
the amount of $310,000.00 for the complete replacement of the Orono Arena Roof due
to rapidly deteriorating conditions. To date there is a commitment of $19,700.00 for
consulting services leaving a balance of $290,300.00 for the roof replacement.
1.2 A public tender has been issued with a closing date of June 11, 2009.
1.3 Just prior to issuance of the tender two issues came to light that require approval of
Council in order to proceed with an expedited tendering process and deal with the
anticipated budget shortfall. The two issues are as follows:
• Due to the short time allowed for work of this nature to be completed at the arena
(August 30, 2009) it is imperative that the award process be shortened as much
as possible. By pre- authorizing an award up to 3 weeks can be made available
for the completion of the work. Even with the added three weeks the schedule is
extremely tight.
• A further review of the condition of the roof identified additional work required to
maintain the facility. This work includes replacement of heat tracing in the roof
gutter; removal and replacement of steel gutter and the addition of nine (9)
galvanized steel downspouts. In addition, a review of a recent similar project in
the area has resulted in a reassessment and an increase in the estimate of the
actual roof replacement cost. The original estimate was set at $310,000.00. The
revised estimate is $351,600.00. With the addition of the heat tracing, steel roof
gutter and downspouts the revised estimate is $473,100.00.
2. ANALYSIS
2.1. Given the circumstances it is crucial to the project that an expedited award approval
process be put in place to allow as much time as possible for the replacement of the
arena roof and the restoration of the associated gutter, downspouts and heat tracer.
2.2. A compressed project schedule can result in rushed and poor quality work, warranty
follow up and potentially on-going issues. In addition, the shorter the time to complete
REPORT NO.: COD-040-09 aer:F:
REPORT NO.: COD-040-09 PAGE 3
the work to higher the cost as contractors are required to work longer hours and pay
overtime. A compressed time frame to complete also acts as a deterrent to bidders.
3. FINANCIAL
3.1. This project is in the 2009 Capital Budget in the Account #110 36-370-83683-7401 with a
budget amount of $310,000.00. This project currently has unspent funds of $290,300.00
available.
3.2. In September 2008, report FND-018-08 regarding the Creating Jobs, Building Ontario
Funding was approved by Council in which $1,500,000.00 for the Newcastle Fire Hall
Replacement was set aside. As the Newcastle Fire Hall Replacement project is not yet
ready to proceed, the Director of Finance/Treasurerhss recommended that $200,000.00
be made available from the Creating Jobs, Building Ontario Funding to complete the
project. Therefore, it is recommended that $200.000.00 be reallocated to the Orono
Arena Roof, if required. Full funding for the Newcastle Fire Hall Replacement will be
dealt with in a subsequent report at such time as that project is ready to proceed.
4. CONCLUSION
4.1. Staff is recommending that authorization to proceed with an award to the low compliant
bid be provided subject to the approval of the Director of Operations and the Chief
Administrative Officer, subject to the funding availability as outline above.
4.2. An information report summarizing the results of the tender process and the award will
be provided for Council's Information prior to the summer recess.
4.3. This report has been reviewed for recommendation by the Purchasing Manager and the
appropriate department and circulated as follows:
Concurrence: Director of Operations