Report to: General Committee Report
Date: February 5, 2009
SUBJECT: Contract Extension
120-R-06 to The Ventin Group for prime consultant services for the Markham Museum – New Collections
Building
PREPARED BY: Gary
Adamkowski, Project Manager, MHPM Project Managers Inc
Michael Shatil, Manager Facility Assets
RECOMMENDATION:
THAT the report entitled “Contract Extension 120-R-06 to The Ventin Group for prime consultant
services for the Markham Museum – New Collections Building” be received;
AND THAT the contract extension for prime
consultant services for the Markham
Museum – New Collections
Building be awarded to
The Ventin Group (TVG), in the amount of $466,686.00 exclusive of GST and
disbursements;
AND THAT the tender process be waived in accordance with Purchasing Bylaw
2004-341, Part 11, Section 7(1) c which states “when
the extension of an existing contract would prove more cost-effective or beneficial”;
AND THAT the contract extension be funded from
account 073-6150-7417-005
Museum Collections
Building – Design Fees;
AND THAT Staff be authorized and directed to do
all things necessary to give effect to this resolution.
EXECUTIVE SUMMARY:
Not applicable.
PURPOSE:
The purpose of
this report is to obtain Council approval to extend the contract for prime
consultant services for the Markham
Museum – New Collections
Building to TVG.
BACKGROUND:
After evaluating the submissions to RFP #120-R-06, Architectural
Services – Markham
Museum – Ward Building
Reconstruction, purchase order D7-49 was issued to TVG in March 2007 (see appendix
A). The original award and purchase order covered only the schematic design
portion, which was $40,000 of the $215,000 total fee proposed by TVG which in
turn was based on total project estimate of $3,325,000. This translates to 6.5% ($215,000 /
$3,325,000) of total project estimate.
On May 13, 2008 Council passed
a resolution to restore the Ward
Building and separately
construct a New Collections Building
at a total project estimate of $9,158,000 which included an allocation for
internal costs, including the design fees, and instructed staff to negotiate an
increased fee for the much larger project scope (see appendix B). Consequently, after negotiations, TVG
submitted the following revised, firm, fee proposal for this project in the
amount of $602,175 (equates to 6.57% of the revised project estimate of
$9,158,000), summarized by task as follows:
|
Task
|
|
|
Schematic
Design
|
$75,271.88
|
|
Design
Development
|
$60,217.50
|
|
Contract
Documents
|
$301,087.50
|
|
Bidding/Negotiations
|
$15,054.38
|
|
Construction/Contract
Administration
|
150,543.75
|
|
Total
|
$602,175.00
|
On May 23, 2008, PO D7-49 was
increased to $135,489 to cover the Schematic Design and Design Development fee portions
of the Collections
Building project
identified above, pending subsequent Council approval to proceed through Design
Development.
On November 11, 2008, Council
authorized TVG to proceed through Detailed Design, Contract Documents and
Tender (see appendix C). And at the same
time, due to TVG’s involvement in project design, Staff requests the Contract
Administration service be approved as well.
As a result, a purchase order is requested in the amount of $466,686.63
($602,175 - $135,489) to cover Contract Documents, Bidding/Negotiations and
Contract Administration, which can be funded from budget remaining in project
7417 Museum Collections Building
- Design.
OPTIONS/ DISCUSSION:
Staff
recommends this contract extension be awarded to TVG, based on the May 13, 2008 direction of
Council to negotiate a new fee commensurate with the change in project scope
and in recognition of the fact this work is an ongoing extension of the
original project and consulting services scope.
TVG had provided the low bid in response to the original RFP and their
fee for the expanded scope is pro rata to the original. Further, TVG has completed the Design
Development phase and the penalty, in both time and cost, to introduce an
alternate design firm at this point would be substantial, hence the recommended
approach is easily the most cost effective alternative.
BID
INFORMATION:
Not applicable.
DETAILED PRICING INFORMATION:
FINANCIAL
CONSIDERATIONS AND TEMPLATE: (external link)
|
The following is a
summary of the financial considerations for this report:
|
|
Budget in 073-6150-7417-005 Museum Collections
Building – Design
|
a
|
$692,000.00
|
|
|
|
Expenditures-to-date
|
b
|
$184,262.73
|
|
|
|
Commitments
outstanding
|
c
|
$ 7,226.27
|
|
|
|
Budget Available
|
d=a-b-c
|
|
|
$500,511.00
|
|
Award to TVG
($602,175 - $135,489 in D7 49)
|
e
|
|
|
$466,686.00
|
|
Budget Remaining
After Award
|
f=d-e
|
|
|
$ 33,825.00*
|
|
*Budget
remaining after final invoices will return to original funding sources
|
ENVIRONMENTAL CONSIDERATIONS:
Not applicable.
ACCESSIBILITY
CONSIDERATIONS:
Not applicable.
ENGAGE 21ST
CONSIDERATIONS:
Not applicable.
BUSINESS
UNITS CONSULTED AND AFFECTED:
Not applicable.
RECOMMENDED
BY: ________________________ ________________________
Steve Andrews Brenda
Librecz
Director Commissioner,
Asset Management Community
and Fire Services
ATTACHMENTS:
Appendix A: Council Committee
meeting minutes, February
27, 2007, item 005b.
Appendix B: Council Committee
meeting minutes, May 13,
2008, item 006a.
Appendix C: Council Committee
meeting minutes, November
11, 2008, item 006a.
Q:\Commission
Share\Operations and Asset Management\Reports\2009\Asset Management\TVG
Contract Extension Council Report\TVG Contract Extension Council Report -
Collections Building.doc