HomeMy WebLinkAboutTR-81-92 REPORT #2
TOWN OF NEWCASTLE
REPORT
i
File # a,
Res. #
By-Law #
(STING: COUNCIL
DATE: September 14, 1992
REPORT #: TR-81-92 FILE #:
SU&JECT: TENDER NW92-28, RECONSTRUCTION OF KING STREET (HWY #2) AND
MEARNS AVENUE, BOWMANVILLE
RECOMMENDATIONS:
It is respectfully recommended to Council the following:
1. THAT Report TR-81-92 be received;
2 . THAT Novacor Construction Ltd. , Thornhill, Ontario with
a total bid in the amount of $1,701,301.97, being the
lowest responsible bidder meeting all terms, conditions
and specifications of Tender NW92-28, be awarded the
contract for the Reconstruction of King St. (Hwy #2)
and Mearns Avenue, as required by the Department of
Public Works;
3. THAT the interim financing of the Region's portion of
this project be obtained from the Roads Contribution
Reserve Funds, as previously approved in Report
#WD-58-92;
4. THAT the Town's 1992 cost be financed from the general
surplus, approximately $285,000, through the general
ledger account, King Street #7205-89013-X; and
5 . THAT the balance of the project (approximately
$776,000 .00) and appropriate financing be committed in
advance of the 1993 budget and the costs be included in
the 1993 Public Works Department Capital Budget.
BACKGROUND AND C016MNT:
Tender specifications were provided by Totten Sims Hubicki
Associates for the reconstruction of King St. (Hwy #2) and Mearns
Avenue as required by the Department of Public Works.
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Page - 2 -
TR-81-92
TENDER NW92-28 - RECONSTRUCTION OF KING STREET (HWY #2) AND
MEARNS AVENUE, BOWMANVILLE
Tenders were advertised in the local papers, as well as the Daily
Commercial News . Subsequently, tenders were received and
tabulated as per Schedule "A" attached.
The tender bid breakdown is as follows:
Town's portion of Tender $1,217,065.69*
Region's portion of Tender $ 373,589 .56
Plus G.S.T $ 110,646 .72
Note: Town will receive
4% rebate on G.S.T.
Total Bid $1,701,301.97
The Engineer's estimate for the contract was $1,985,778 . 97 . The
estimated cost of Town of Newcastle works is as follows:
Town's Cost Region's Cost
Tender (Town portion marked
with * above) $1,217,065.69 $ 373,589 .56
Contingencies $ 34,363 .36 --
Preliminary Design (Spent 1990) $ 48,000.00 --
Design/Tendering (Spent up to $ 117,000 .00 --
1991 $77,000)
Contract Administration $ 147,762 .44 $ 44,067 . 05
Utility Relocation $ 63,000 .00 --
Property Acquisition $ 232,000 .00 --
Soils Investigation $ 5,000 .00 --
Sub-Total $1,864, 191.49 $ 417,656 .61
G.S .T. on Sub-Total
(excluding Contingencies) $ 128,087 .97 $ 25,451.26
TOTAL $1,992,279 .46 $ 443, 107 .87
Total Cost of Project $2,435,387 .33 (Town Cost $1,992,279 .46 +
Region Cost $443, 107 .87 including G.S.T. ) .
Council has reviewed this project prior to this report and has
given approval to the estimated 1992 financing requirements under
the following reports:
a) 1992 Capital Budget - $150,000 was approved for the land
purchase. This cost has been
excluded from the bid price as the
land purchase has been completed,
however this cost is included in
the overall project cost of
$2 ,435,387 .33
Page - 3 -
TR-81-92
TENDER NW92-28 - RECONSTRUCTION OF KING STREET (HWY #2) AND
MEARNS AVENUE, BOWMANVILLE
b) TR39-92 (June 1992) - approved a surplus allocation of
approximately $250,000 for the
project. It appears that the
actual requirement will be
approximately $285,000 . Report
TR39-92 also allocated $50,000 for
roads treatment in order to ensure
maximum subsidy availability. It
is recommend that the additional
$35,000 required for this project
be used from this $50,000
allocation and that the subsidy
accounts be monitored closer to the
year end and only utilized if
additional surplus funds are
required for subsidy maximization.
c) WD58-92 (July 1992) - in which the project was identified
and the Ministry subsidies were
outlined.
The Region's cost breakdown for this project is outlined on the
attached letter from Totten Sims Hubicki, dated August 26th and
addressed to Mr. Baker, Manager of Administrative Services,
Regional Municipality of Durham, marked Schedule "B" . As
recommended and approved in Report WD-58-92, the interim
financing of the Region's portion of this project will be
obtained from the Town's Roads Contribution Reserve Fund.
In order for the Town to optimize its subsidies from the Ministry
of Transportation, the Consultants for this project, Totten Sims
Hubicki, have prepared an estimated cost of work to be done in
1992, as follows:
ESTIMATED ESTIMATED
GROSS COST FINANCING
MINISTRY TOWN
CHARGEABLE UNDER
CONNECTING LINK $407, 100 . $366,390 . $ 40,710.
CHARGEABLE UNDER
PART X OF THE ACT $579,700. $289,850. $289,850.
CHARGEABLE TO TOWN $ 28, 700. -- $ 28,700.
CHARGEABLE TO
REGION OF DURHAM $252,000 . -- $252,000 .
TOTAL $1,267,500. $656,240 . $611,260.
------------ ----------- ---------
Note: Figures Exclude G.S.T.
Page - 4 -
TR-81-92
TENDER NW92-28 - RECONSTRUCTION OF KING STREET (HWY #2) AND
MEARNS AVENUE, BOWMANVILLE
Therefore, the Town's estimated financing in 1992 would be
obtained from the following sources:
Roads Contribution Reserve Fund $252,000. (Region)
Public Works Lot Levy 32,000 . ( 1992 Budget)
Tax Levy 43,000. ( 1992 Budget)
Surplus 284,260 .
TOTAL $611,260 .
The remainder of the project cost estimated to be $775,853 . 33
(total cost $2,435,387 .33 less the 1992 portion of $1,267,500,+
G.S.T. of $88,725 less Region's portion in 1993 of $178,309
includes G.S.T. less Preliminary Design of $48,000 and
Design/Tendering of $77,000 = $775,853. 33) will be included in
the 1993 Budget and will be eligible for 1993 normal road
subsidy. Effectively Council is committing these funds to be
expended in advance of the 1993 budget, however it is anticipated
from discussions with the Ministry of Transportation that this
project will be eligible for 50% to 90% funding in 1993 . The
appropriate financing of this portion of the contract will be
presented through the 1993 budget.
The Director of Public Works in conjunction with the Contractor
may adjust the work schedule depending upon the Town's other
Capital road projects so that the Town may receive the maximum
1992 normal roads subsidy. (Part X of the Act) .
The Treasurer has reviewed the funding requirements and concurs
with the recommendation. Queries with respect to department
needs, specifications, etc . , should be referred to the Director
of Public Works.
After further review and analysis of the bids by Public Works,
Totten Sims Hubicki Associates and Purchasing, it was mutually
agreed that the low bidder, Novacor Construction Ltd. , Thornhill,
Ontario, be recommended for the contract for the Reconstruction
of King St. (Hwy #2) and Mearns Avenue.
A letter from Totten Sims Hubicki is attached marked Schedule
11c .
The subject firm has previously performed satisfactorily for the
Town of Newcastle.
Respectfully submitted, Recommended for presentation
to the Committee,
r 7/1" �? 9
ie Marano, H.B. Sc. , AMCT. , Lawrence 1. Kot f,
Treasurer Chief Administ 'ive Officer.
W. A. Evans, P. Eng.
Director of Public Works
LAB:ss
Attachments
SCHEDULE "A"
BID SUMMARY
TENDER NW92-28, RECONSTRUCTION OF HWY.#2 AND MEARNS AVENUE
Bidder Bid Amount
Novacor Construction Ltd. $1,701,301.97
Thornhill, Ontario
Dagmar Construction Inc . $1,713,275 . 16 **
Markham, Ontario
Kamlu Construction Limited $1,756,530.29
Aurora, Ontario
Ron Robinson Limited $1,824, 169 .22 **
Oshawa, Ontario
Elirpa Construction & Materials Ltd. $1,903,401. 70
Pickering, Ontario
Pilen Construction of Canada Limited $1,927,750.25
Brampton, Ontario
* amended bid - G.S.T. calculated on contingencies
** amended bid - G.S.T. calculated on contingencies and
extension errors
SCHEDULE "B"
Jr-11
® 1A KING STREET EAST,P.O.BOX 398,COBOURG
ONTARIO,CANADA K9A 41-1
totten sims hubicki associates (416)373-3131 FAX(416)372-3631
Mr. J.G. Baker, Manager Administrative Services
Regional Municipality of Durham
P.O. Box 623, 105 Consumers Drive s r"�
WHITBY, Ontario LIN 6A3
August 26, 1992
Dear Sir:
Re: King Street/Meares Avenue Reconstruction, Bowmanville
Corporation of the Town of Newcastle, Contract NW92-28
Tenders for the above contract were opened at the Town of Newcastle offices on Friday, August 21, 1992.
A summary of the bids received and a copy of the tender advertisement is attached. The summary of bids
forms part of our report to the Town of Newcastle, a copy of which is attached for your information.
Copies of the three lowest bids are also attached.
The costs chargeable to the Region of Durham are summarized as follows:
Tender - Section 2, Sanitary Sewers $ 99,590.00
- Section 3, Watermains $242,015.00
- Section 4, General $ 21,984.56
- Section 5, Contingency Allowance $ 10,000.00
- Construction Administration $ 44.067.05
Total Amount $417,656.61
No costs have been included for design.
Your review and approval of the tender award to Novacor Construction is requested.
Yours very truly
totten Sims hubicki associates
1,Pa.
R.A. Kempto�Png4Q
. r `
Project Manager TOWN OF NEWCASTLE
RAK/ag
4591E/1/7/W 57/C PURCHASING DEPARTMENT
80
PC: Mr. W. A. Evans, P.Eng.
Mrs. Lou Ann Birkett
Mr. Peter Nundy, P.Eng., (+encl.)
ENGINEERS ARCHITECTS AND PLANNERS
SCHEDULE "C"
NEON 1A KING STREET EAST, P.O. BOX 398,COBOURG
ONTARIO,CANADA K9A 41-1
totten rims hubicki associates (416)372-2121 FAX(416)372-3621
416-623-4169
Mrs. Lou Ann Birkett, Purchasing & Supply Agent
g
ung
Corporation of the Town of Newcastle
Municipal Building, 40 Temperance Street AUG A 28 1992
BOWMANVILLE, Ontario L1C 3A6
TOIWN OF NEWCASTLE
PURCHASING C��t�ARl'Na NT
August 25, 1992 -
Dear Mrs. Birkett:
Re: Contract No. NW92-28, King Street and Mearns Avenue Reconstruction, Bowmanville,
Town of Newcastle
Tenders for the above project were opened at the Municipal offices on Friday, August 21, 1992. The list
of bids received were as follows:
• Pilen Construction of Canada Limited $1,927,750.25*
Elirpa Construction and Materials Ltd. 1,903,401.70*
• Ron robinson Limited 1,824,169.22**
Kamlu Construction Limited 1,756,530.29*
Dagmar Construction Limited 1,713,275.16**
• Novacor Construction Limited 1,701,301.97*
**Corrected Total. *G.S.T. removed on Contingency Allowance
• Engineer's Estimate: $1,985,778.97
We have checked the low bidders tender and wish to advise that all requirements have been satisfactorily
addressed. The Agreement to Bond has been executed and a deposit cheque in the amount of$75,000.00
accompanied the tender.
Novacor Construction has undertaken a number of contracts under the supervision of our firm in recent
years. A few of the larger projects completed include the following:
1988 - Trunk Storm Sewer, Town of Cobourg $1,600,000.
1989 - Subdivision Servicing, Town of Cobourg $1,700,000.
1990 - Road Reconstruction (Nash Road and
Varcoe Road, Town of Newcastle $ 600,000.
1991 - Road Reconstruction, John Street,
Town of Port Hope $ 300,000.
Road Reconstruction, Town of Cobourg $ 900,000.
ENGINEERS ARCHITECTS AND PLANNERS
'Mrs. Lou Ann Birkett, Purchasing&Supply Agent
August 25, 1992 2
In the current year Novacor Construction has completed a $2,100,000 reconstruction project for the
Region of Durham, a $300,000 Contract for the Town of Lindsay and are currently working on a
$750,000 contract for the Region of Hamilton - Wentworth.
Novacor Construction Limited is a competent, experienced Contracting firm. Our working relationship
with the firm has been generally good.
Based on our experience with this company, we recommend that the contract be awarded to the low
bidder.
The estimated cost of Town of Newcastle works is as follows:
Roadworks, Signals and Structures - Sections No. 1, 6 and 7.
General, Section 4.
Tender $1,217,065.69
Contingencies 34,363.36
Preliminary Design 48,000.00
Design and Tendering Services 117,000.00
Contract Administration 147,762.44
Utility Relocation 63,000.00
Property Acquisition 232,000.00
Soils Investigation 5,000.00
Sub-total $1,864,191.49
G.S.T. on Sub-total (excluding Contingencies) $ 128,087.97
Total $1,992,279.46
Of the total cost the items for sidewalk, step construction and sidewalk removal are not eligible for subsidy
by the Ministry of Transportation. This cost amounts to approximately $115,000.00.
All deposit cheques other then the low and second bids may now be released.
Yours very truly
totten sims hubicki associates
'4C4 —
R.A. Kempton, Eng.
Project Manager
RAK/ag
458sErv7i8057ic
PC: Mr. W.A. Evans, P.Eng.
Mr. D. Patterson
Mr. A.S. Cannella
Mrs. Kay Rand
Ms. Lori Gordon
totten sims hubicki associates