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HomeMy WebLinkAboutFSD-016-23Clarftwn Staff Report If this information is required in an alternate accessible format, please contact the Accessibility Coordinator at 905-623-3379 ext. 2131. Report To: General Government Committee Date of Meeting: April 17, 2023 Report Number: FSD-016-23 Submitted By: Trevor Pinn, Deputy CAO/Treasurer Reviewed By: Mary -Anne Dempster, CAO Resolution#: GG-092-23 File Number: CL2023-10 By-law Number: Report Subject: Rural Road Resurfacing and Drainage Improvements Recommendations: 1. That Report FSD-016-23 and any related delegations or communication items, be received; 2. That Miller Paving Limited with a total estimated bid amount of $10,642,800 (Net HST Rebate) for the initial three-year term and an estimated five-year contract value of $17,738,000 (Net HST Rebate) being the lowest compliant bidder meeting all terms, conditions and specifications of CL2023-10 be awarded the contract for Rural Road Resurfacing and Drainage Improvements; 3. That pending satisfactory performance and price, the Purchasing Manager, in consultation with the Director of Public Works, be given the authority to extend the contract for this service for up to two additional one-year terms; 4. That the total estimated funds required for this project for the first -year term in the amount of $3,700,240 (Net HST Rebate) include $3,547,600 (Net HST Rebate) for construction costs and other costs such as material testing and contingencies in the amount of $152,640 (Net HST Rebate) be funded by the Municipality as provided. The estimated funds required for the second, third, fourth and fifth -year term will be included in future budget accounts. Description Account Number Amount Rural Roads Resurfacing 110-36-330-83680-7401 $3,700,240 5. That all interested parties listed in Report FSD-016-23 and any delegations be advised of Council's decision. Municipality of Clarington Report FSD-016-23 Report Overview To request authorization from Council to award tender CL2023-10 for Rural Road Resurfacing and Drainage Improvements. 1. Background Page 2 1.1 Tender specifications for Rural Road Resurfacing and Drainage Improvements were prepared by the Public Works Department and provided to the Purchasing Services Division. 1.2 Tender CL2023-10 was issued by the Purchasing Services Division and advertised electronically on the Municipality's website. Notification of the availability of the document was also posted on the Ontario Public Buyers Association's website. 1.3 Twenty-four plan takers downloaded the tender document. 2. Analysis 2.1 The tender closed on March 30, 2023. 2.2 Two bids were received in response to the tender call. 2.3 The bids were reviewed and tabulated by the Purchasing Services Division (see Attachment 1) and deemed compliant. The results were forwarded to the Public Works Department for their review and consideration. 2.4 After review and analysis by the Public Works Department and the Purchasing Services Division, it was mutually agreed that the low -compliant bidder, Miller Paving Limited, be recommended for award of tender CL2023-10. 2.5 Miller Paving Limited has successfully completed work for the Municipality in the past. 3. Financial Considerations 3.1 The annual funding required for the first -year term in the estimated amount of $3,700,240 (Net HST Rebate) includes $3,547,600 (Net HST Rebate) for construction costs, and other costs such as material testing and contingencies in the amount of $152,640 (Net HST Rebate) will be funded by the Municipality as provided. Future budget accounts will include the funds required for the second, third, fourth, and fifth - year term terms. Municipality of Clarington Report FSD-016-23 Page 3 Description Account Number Amount Rural Roads Resurfacing 110-36-330-83680-7401 $3,700,240 3.2 Pricing submitted for Rural Road Resurfacing and Drainage Improvements is to remain firm for the first year of the contract. For future contract years, the unit prices would be adjusted on the anniversary date of the contract award by the annual percentage change in the most recent issuance of the Consumer Price Index (CPI), All Items, Ontario, as published by Statistics Canada and the pricing will remain firm for the contract year. 3.3 The total estimated contract is for three years plus two optional additional years and is approximately $18,501,200.31 (Net HST Rebate) and includes $17,738,000 (Net HST Rebate) in construction costs and $763,200 (Net HST Rebate) in other costs such as material testing and contingencies. 3.4 Queries with respect to the department's needs should be referred to the Director of Public Works. 4. Concurrence This report has been reviewed by the Director of Public Works, who concurs with the recommendations. 5. Conclusion It is respectfully recommended that Miller Paving Limited being the lowest compliant bidder, be awarded the contract for Rural Road Resurfacing and Drainage Improvements in accordance with the terms and conditions of Tender CL2023-10. Staff Contact: David Ferguson, Purchasing Manager, (905) 623-3379 x2209 or dferguson@clarington.net. Attachments: Attachment 1 — Summary of Bid Results Interested Parties: List of Interested Parties available from Department. Municipality of Clarington Report FSD-016-23 Page 4 Attachment 1 to Report FSD-016-23 Municipality of Clarington Summary of Bid Results Tender CL2023-10 Rural Road Resurfacing and Drainage Improvements One -Year Potential Five -Year Bidder Total Bid Total Bid (Net HST Rebate) (Net HST Rebate) Miller Paving Limited $ 3,547,600.06 $ 17,738,000.31 Dufferin Construction Company 3,782,647.75 18,913,238.76