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Staff Report
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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