HomeMy WebLinkAboutEGD-025-10Staff Report #4
LeadeagtheWay O RT
~~~~ RE P
ENGINEERING SERVICES DEPARTMENT
Meeting: COUNCIL
Date: Monday, July 12, 2010 Resolution #: -338- /0
Report #: EGD-025-10 File #: By-law #:
Subject: RECONSTRUCTION OF GREEN ROAD FROM STEVENS ROAD TO
635m NORTH
Recommendations:
It is respectfully recommended;
1- ' THAT Report EGD-025-10 be received;
2.> - THAT the engineering design, construction inspection services and construction
of.,Green-Road, from Stevens Road to 635m northerly, be authorized and
facilitated through the subdivision agreement with West Diamond Properties Inc.,
in conjunction with Brookhill West, Phase 1 subdivision works to the satisfaction
of the Director of Engineering Services and our Municipal Solicitor;
3. THAT Purchasing By-law 2006-127 Section 15.07 be waived for the construction
works associated with the reconstruction of Green Road;
4. THAT the Municipality's share ($825,000), of the Green Road construction works
be funded'from the reallocation of-the following accounts:
i. $690,000 for the reconstruction of Rudell Road in Newcastle, previously
approved as parf of the 2007 Capital Budget, identified by Account No.
110-32-330-83320-7401;
CORPORATION OF THE MUNICIPALITY OF CLARINGTON
40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L1C 3A6 T 905-623-3379 F 905-623-9282
REPORT NO.: EGD-025-10
PAGE 2
ii. $60,172.62 for Green Road surFace asphalt previously approved as part of
the 2010 Capital Budget, identified by Account No. 110-32-330-83298-
7401;
iii. $17,500.00 representing the unexpended amount of the surface asphalt
for Beech Avenue previously approved as part of the 2010 Capital Budget,
identified by Account No. 110-32-330-83272-7401;
iv. $16,000.00 representing the unexpended amount of the surface asphalt
for Church Street (Newcastle) previously approved as part of the 2010
Capital Budget, identified by Account No. 110-32-330-83290-7401; and
v. $41,327.38 representing the balance required be funded from the
Municipal Capital Works Reserve Fund.
5. THAT the 2010 Green Road surface asphalt capital project 110-32-330-83298-
7401 be cancelled and that the Municipality schedule the Green Road completion
works including surface asphalt, sidewalk and streetscaping in year 2011 of the
Municipality's 2011 Capital Budget Forecast; and
6. THAT the 2007 Rudell Road capital project 110-32-330-83320-7401 be cancelled
and that the Municipality schedule the Rudell Road reconstruction project in the
Municipality's Capital Budget and Forecast at such time that the Municipality has
entered into a subdivision agreement with the developer of the Foster Creek
North Subdivision (18T89059) and all necessary securities are in place.
Respectfully by,
Sub fitted by: A. S. Cannella
Director of Engineering Services
"-_ - `- 'y`-1 fit,
Reviewed by: Franklin Wu
Chief Administrative Officer
ASC/rafjb
July 12, 2010
REPORT NO.: EGD-025-10
PAGE 3
1.0 BACKGROUND
1.1 Green Road from Stevens Road northerly is identified as a 2011 project in the
Council Approved 2010 Development Charges. Background Study (DC Study).
Based on progress of the design submissions for developments in the Brookhill
Neighbourhood adjacent to Green Road at the time the 2010 Development
Charge Update was being prepared and based on past experience in processing
developments of this size, staff estimated that the Green Road reconstruction
works would not be required until 2011 which is reflected in the current DC
Study.
Early in 2010 West Diamond Properties Inc. had met all of the standard
requirements for first submission drawings to both the Region of Durham and the
Municipality of Clarington. At this point it appeared that the Green Road
reconstruction project would not be required until 2011. In March of 2010
however, the Region of Durham indicated the possibility that there may be
insufficient sanitary sewerage treatment plant capacity to accommodate all future
development projects within Bowmanville. Upon hearing that there was the
potential for delays West Diamond moved quickly through the normal review
process to obtain the necessary approvals required for their development to
proceed in 2010, approximately one year earlier than had been originally
anticipated.
In order for the Brookhill West -Stage 1 development to proceed, underground
infrastructure servicing (sanitary, water and storm sewer), must be provided
within the Green Road right-of-way within the limits as shown on Attachment #1.
Due to the location and depth of this required underground infrastructure a
majority, if not all, of the existing Green Road road structure would have to be
disturbed to facilitate the installation. Typically Clarington would require the
developer to restore the disturbed road in kind to meet our municipal standards if
the works were required in advance of an approved budget for the road
REPORT NO.: EGD-025-10
PAGE 4
reconstruction and that is what was planned for in West Diamond Properties
Inc.'s first submission.
Considering the Municipality's typical practice and the fact that Clarington had
identified this as a 2011 project in the 2010 Development Charge Update staff
recognized that it would not be cost effective to have West Diamond Properties
Inc. restore Green Road to its current configuration and then have it fully
reconstructed and urbanized in less than a year. As such, Engineering staff
liaised with West Diamond Properties Inc. and their consultant Semas
Associates, to explore if there was an opportunity for both West Diamond
Properties Inc. and the Municipality of Clarington to reconstruct Green Road to its
future urban section cooperatively and in a manner mutually beneficial. Through
several discussions and meetings between the parties a cost sharing
arrangement for the reconstruction and urbanization of Green Road was arrived
at in which West Diamond Properties Inc. would agree to pay for the equivalent
of the road restoration cost over services impacting Green Road resulting in a
savings to the Municipality of roughly $275,000 and also agreed to pay for all
engineering services costs for the design and construction administration
required to complete the work which is estimated to save the Municipality roughly
$110,000. In tum the Municipality would be required to pay the costs of the
balance of the works on Green Road which are not associated with the
development of the adjacent subdivision totaling roughly $825,000 in 2010 and
$225,000 in 2011.
The construction of Green Road will require coordination between 4 parties. This
includes the Municipality, Durham Region, Hydro One, and the Developments
east and west of Green Road. The services provided by each are listed below;
• Hydro One will be relocating a portion of their major feeder line within the
Green. Road right-of--way;
• The Developer will be installing the required servicing infrastructure and
grading in the road allowance to facilitate the subdivisions;
REPORT NO.: EGD-025-10 PAGE 5
• The Region will provide the additional servicing with respect to watermains
and sanitary sewers along Green Road;
The Municipality will be installing the local storm sewers, street lighting,
street trees required and construct Green Road adding to the improved
road network required to support the development of West Bowmanville.
In order to expedite this project so that West Diamond Properties Inc. can begin
construction, obtain building permits later this year and receive occupancy
permits in the spring, the Municipality has agreed to take the lead role in
coordinating the details of the road re-construction project.
1.2 In the preparation of the 2007 Capital Budget the Municipality was given
assurances by the developers of the Foster Creek North Subdivision (18T-
89059) that their development in the northeast quadrant of King Avenue West
and Rudell Road in Newcastle was going to proceed in 2007. As such the
Municipality, in anticipation and in good faith, included funding for the
reconstruction of Rudell Road from King Avenue West to future Grady Drive, in
the amount of $1,000,000.00, in their 2007 Capital Budget which was
subsequently approved by Council. This funding is currently identified in the.
2007 Capital Budget as Account No. 110-32-330-83320-7401.
Since that time the Municipality has reviewed the timing for the servicing of this
development with the developers on an ongoing basis to confirm the need to
carry over the budgeted money. Each time there were assurances that the work
was going to proceed and that the budget allocation would be required. Knowing
of the many projects competing for the limited funds available from the
Municipality, staff requested a written confirmation from the current developer,
Lindvest Properties (Clarington) Limited, that they were going to proceed. They
responded on February 11, 2010 with the letter provided as Attachment #2.
Since this time staff have been liaising with Lindvest and their consultants to
complete and execute the subdivision agreement and provide the necessary
securities to proceed. Considering these issues it appears this development is
REPORT NO.: EGD-025-10 PAGE 6
not moving forward to construction in 2010 and therefore the need for funding of
the construction of Rudell Road remain uncertain.
2.0 REVIEW AND APPROVAL
2.1 Sernas Associates are the Engineering Consultants for owners of the
developments on the east and west side of Green Road. Since Sernas
Associates have been actively involved in this area and already have a database
of engineering knowledge on the slte and. road grading, existing drainage
proposals, servicing works, road design, and utility locations, it is desirable to
have this Engineering Consultant carry out the design for the reconstruction of
Green Road. This arrangement will eliminate any confusion and delays during
the design and construction process.
Through the series of discussions and meetings to review how the Municipality
and West Diamond Properties Inc. could work together to complete this project in
such a way to be mutually beneficial a cost sharing arrangement was agreed to
which is summarized in Attachment #3. West Diamond Properties Inc. will
relieve the Municipality of the design, contract administration and inspection of
the project in order to streamline the process thereby ensuring their development
schedule. The Municipality will benefit from the elimination of engineering fees
totalling roughly $110,000 as services are currently being completed by Sernas
Associates for West Diamond Properties Inc.. An additional benefit will be the
savings of roughly $275,000 associated with cost sharing of the road works
related to the servicing directly benefiting the development which will be paid for
by West Diamond Properties Inc..
The Municipality's standard subdivision agreement provides for the construction
of external works such as the Green Road construction by the developer. All
terms, conditions and schedules necessary to ensure that the Municipality's
interests are safeguarded from risk or liability are contained within the standard
subdivision agreement. All terms, conditions and schedules are prepared to the
REPORT NO.: EGD-025-10
PAGE 7
satisfaction of the Director of Finance, the Director of Engineering Services and
the Municipal Solicitor.
It is also suggested that the project be constructed in conjunction with the
development work using the contractor retained by West Diamond Properties Inc.
in order to take full advantage of pricing based on volume that West Diamond
Properties Inc. has received from Con-Drain (1983) Limited for the servicing of
the residential subdivision on the west side of Green Road. Engineering staff
have reviewed the unit pricing provided in March of 2010 and find it to be
comparable or lower than current construction pricing for similar work and
considering that prices are increasing due to typical seasonal adjustments for
mid summer tendering and the influx of work generated by Build Canada and
Infrastructure Stimulus Funding Engineering staff feel that the best interests of .
the Municipality are being met. The Engineering Department has discussed the
process with the Purchasing Division who have advised Engineering that
.Purchasing By-law 2006-127 Section 15.07 would have to be waved in order to
take advantage of this opportunity.
3.0 CONSTRUCTION PROJECT
3.1 In order to capitalize in the reduction of cost resulting from the elimination of the
duplication of effort, staff propose that Semas Associates design and administer
the construction contract, including inspection of the works during construction.
3.2 West Diamond Properties Inc. obtained unit pricing for their subdivision servicing
works (estimated at $8,500,000) in March of 2010 from Con-Drain (1983) Limited
which were extended for the unit costs to reconstruct Green Road in accordance
with the. design drawings. All parties wish to commence construction as soon as
the funding is in place. Through the subdivision agreement with West Diamond
Properties Inc. for the Brookhill West -Phase 1 subdivision West Diamond
Properties Inc. will provide securities, insurance and warranties for the Green
Road works as necessary to satisfy the Director of Finance, Director of
REPORT NO.: EGD-025-10
PAGE 8
Engineering Services and the Municipal Solicitor. Section 15.07 of the
Purchasing By-Law would have to be waived in order to proceed without delay.
3.3 The Green Road reconstruction costs are not included in the Municipality's 2010
Capital Budget. In consideration of the Foster Creek North Subdivision (18T-
89059) not proceeding this year there would be $690,000 available from the
2007 Capital Budget to fund the Green Road works should it be reallocated to
the Green Road project. Both of these reconstructions are growth related works
and are: funded by the Development Charge. The estimated overall cost for the
Green Rood Reconstruction project is estimated at approximately $1,500,000.00
with Clarington's share of the work totaling and estimated $825,000.00, including
utility relocation, contingencies and construction.
4.0 CONCLUSION
4.1 The commencement of the construction of the Brookhill West -Stage 1
development West of Green Road is imminent. In order to be able to issue
building permits, meet occupancy deadlines for spring 2011 and to realize the
cost savings associated with completing the Green Road works with the
subdivision servicing works staff recommend that administration (including
engineering design and construction inspection) and reconstruction of the Green
Road be completed in conjunction with the servicing of Brookhill West -Stage 1
and the works be undertaken by West Diamond Properties Inc.. In so doing,
Section 15.07 of Purchasing By-law 2006-127 must be waived.
4.2 In order to facilitate the Green Road reconstruction in 2010 it is recommended
that the Municipality's share of the costs for this project be funded from the
following:
i. reallocation of the $690,000.00 approved in the 2007 Capital Budget
(Account No. 110-32-330-83320-7401) for the reconstruction of Rudell
Road in Newcastle;
REPORT NO.: EGD-025-10
PAGE 8
ii. $60,172.62 for Green Road surface asphalt previously approved as part of
the 2010 Capital Budget, identified by Account No. 110-32-330-83298-
7401;
iii. $17,500.00, representing the unexpended amount of the surface asphalt
for Beech Avenue previously approved as part of the 2010 Capital Budget,
Account NO. 110-32-330-83272-7401;
iv. $16,000.00 representing the unexpended amount of the surface asphalt
for Church Street (Newcastle) previously approved as part of the 2010
Capital Budget, identified by Account No. 110-32-330-83290-7401; and
v. $41,327.38 representing the balance required be funded from the
Municipal Capital Works Reserve Fund.
4.3 Included in the second phase completion works will be, surface asphalt,
sidewalks and streetscaping. These works are required and the Municipality of
Clarington would be responsible for funding. It is therefgre recommended that
the Municipality plan to include funding for these works as part of the 2011
Captal Budget.
4.4 In order to be able to respond to the future needs of the Foster Creek North
subdivision it is recommended that the Municipality continue to encourage the
developer of this site to finalize the subdivision agreement and that at such time
all necessary securities are in place the Municipality consider including the
funding for the Rudell Road reconstruction costs in an appropriate future Capital
Budget and Forecast.
Concurrence: Director of Finance
Attachments:
Attachment 1 -Key Map
Attachment 2 - Lindvest Properties (Clarington) Limited -Commencement Verification
Letter
Attachment 3 -Collective Benefit Cost Apportionment
WEST
DIAMOND
PROPERTIES
INC. p
O
Z
w
t,
d
0
J 0
a
J w
N ```~
~~
Q ``~ m
O
m ~
(~
Z
¢K
J STEVENS RpAp
U
ham,
NO 2
UPTPNN AVE
S
4
A
O~
A
p`Sdy
F<<
~?
apNATNONCREs
o ~
g o
N
~ o
3 o ~
i
~ 3i
u i
0
Z
O
PRINCE WILLIAMB LEVARp
BO WMAN VILLE -
~ r,
a
N
o; ~
/9h~ay °' W
2 y (7 ~
m° E
Steven s Rd. S
a
tr
°
® DRAWN BY: E.L. DATE: Jul 7, 2010
Y
~ ~ REPORT EGD-025-10
~ q KEY. MAP ATTACHMENT NO. 1
G1PM5-Basel4VachmenislGreen Rtl S[eeens to Harvey Jones.mxtl
ATTACHMENT N0.:2
REPORT NO.: EGD•025-10
February 11, 2010
Municipality of Clarington
Department of Public Works
40 Temperance Street
Bowmanville,ON L1 C 3A6
Attention: Mr. A.S. Cannella. C.E.T.
Director of Engineering Services
Re: Foster Creek North
Draft Plan of Subdivision 18T-89059
Rudell Road Design and Reconstruction
Phase 1 Construction from King Avenue West to Grady Drive
Dear Sir:
We understand that you are seeking an update to our schedule regarding the
servicing of phase 1 of the Foster Creek subdivision. It is our intention to
commence underground servicing this spring and complete all work required for
building permit by the end of October 2010. This includes the construction of the
Southern portion of Ruddell Road to provide access to the Phase 1 Plan as
outlined in our 1St engineering submission.
Should you have any. questions, please do not hesitate to contact me at 416-635-
7520 ext. 509 at your convenience. Thank you.
Sincerely,
LINDVEST PROPERTIES (CLARINGTON) LIMITED
P
//'~~~
Michael Savas
Project Manager
3625 DUFFERIIJ STREET SUITE 405 DOWNSVIEW DN M3K 1N4
TEl: 416.635,7520 FAX: 416,635.9921
ATTACHMENT N0.:3
REPORT NO.: EGDA25-70
0
0
~ ?..
K m
f ~
< - z '6
~i a z z 8 °w
~ ~ > g a o
z ~ ~ ~ J ~
w3~°&a
p~ ~ 6 0-
y ~ W & i Z
Y Z W i
m S ~ % O
J
°a ~
o
rc u
°z
» W
W N
O W VY$!
N
d
0
~e ?
U
~W~
~~~
oWo
~~a
Si A 3
~
j
~ m
i~ ~ ~
~ r ~8 ~~ ~S
~ ~ ~ ~ ~ ~
~ e ~ » ~ ~
» '" I" » 1'^ » I»II
rv 8 n ~ n m u~
~ a ~ "s
~~ ~ ~ ~ ~ ~
o ~'
N O
~ 3
~ ° o
o » e
¢ = >
yl
O
U
a ~ a
~ ti O
O < O i
p ~ ~
~
z v
> >
" z
a ~ ~
~ ~
w
~ °
.4
8
F I~ R I~ ~ I~il
q8 g8 ~ g~~ ~ w
N N ~ hi ~ Irll
"'
0 Z
G
O ~
N
x O a
O
~ ~
N J ~
N G' a°
= 6
l~
i ~` K a~
p
Q U
g s ~
$~
~ ~ yy
E
s
x p
k ~ ~ o ~ y~
~ ~ ~ ® ~ E
» ~
® ~
b ~ ~ ~ ~ ~ ~
R
~ ~ ~ ~
g r ~ ~
~ p
R
G
' N 7S g
~ ~ ~ y3 ~ Q
3
N R 0 ~
~
y
~
2
~
F
R a
F s F 6 ppp
9
d
a
g4
~~
S
~E
LL