Report to: Development Services Committee Report
Date:
SUBJECT: Award of Tender #044-T-10
Woodbine By-pass Construction – Phases 1A and 3B
PREPARED BY: Alick Wong, Manager, Infrastructure and Capital Works, ext. 3120
Gabor Szakter, Senior Capital Works Engineer, ext. 4040
Robert Slater, Senior Construction Buyer, ext 3189
RECOMMENDATION:
1. That the report entitled “Award of Tender # 044-T-10 Woodbine Avenue By-pass Construction – Phases 1A and 3B” be received;
2. And that the tender be awarded to Con-drain Company (1983) Ltd. in the total amount of $4,929,479.82, inclusive of HST, subject to the receipt of funding, or other financial arrangements to the satisfaction of the Town’s Chief Administrative Officer as described in this report;
3. And that a contingency amount of $492,947.98, inclusive of HST, be established to cover any additional construction costs and that the Director of Engineering be authorized to approve the expenditure of this contingency amount up to the specified limit;
4. And that staff be authorized to retain AECOM as preferred supplier to provide construction inspection, contract administration services, geotechnical material testing, and inspection of electrical works during construction of the project to an upset limit of $188,133.89 inclusive of HST, in accordance with Purchasing By-Law 2004-341, Part II, Section 7 (1);
5. And that a contingency amount of $18,723.84, inclusive of HST, be established to cover any additional construction inspection, contract administration costs, geotechnical material testing, inspection of electrical works;
6. And that staff be authorized to issue a Purchase Order to Powerstream Ltd. in the amount of $111,936.00, inclusive of HST, for their pole relocations along Phase 3B of the Woodbine Avenue By-pass;
7. And that staff be authorized to issue a Purchase Order to Rogers Cable Communication Inc. in the amount of $24,207.48, inclusive of HST, for their cable and fibre-optic cable relocations along Phases 1A and 3B of the Woodbine Avenue By-pass;
8. And that staff be authorized to issue a Purchase Order to Bell Canada in the amount of $87,208.32, inclusive of HST, for the cost of their cable relocations along Phases 3B of the Woodbine Avenue By-pass;
9. And that the internal engineering project management fee of 4% be charged in accordance with the Tri-party Agreement and as estimated in this report;
10. And that the sidewalk and illumination portions of the tender $203,752.26 and $310,589.77 respectively, inclusive of HST, be funded from the Engineering Department’s Capital Accounts #83-5350-10057-005, and # 83-5350-9301-005;
11. And that the multi-use path portions of the tender $213,986.34, inclusive of HST, be funded from the Engineering Department’s Capital Accounts #83-5350-8114-005;
12. And that the sanitary sewer portions of the tender $108,661.81, inclusive of design, contract administration, and construction costs and contingencies, inclusive of HST, be funded from the Engineering Department’s 404 North Trunk Sanitary Sewer Account #83-5350-7346-005;
13.
And that the Region of York be requested to enter into
an Operation and Maintenance agreement for a combined storm sewer and outlet;
14.
And that the risk assessment related to the status of a stormwater
management pond provided by the 404 North Developers, property, permits, and
utility relocations be acknowledged.
EXECUTIVE SUMMARY:
The Woodbine Avenue By-pass will provide a critical transportation link to support development in both Cathedral and the 404 North Secondary Plans and protect Victoria Square Hamlet from Regional traffic. A Class Environmental Assessment for the project was completed in 2003 by the Region of York with construction of the By-pass scheduled to be undertaken by the Region in 2012.
In November 2007, a Tri Party
Agreement was executed by the Town, the Region of York and the Cathedral
Developers. This agreement facilitated
early construction of Phase 1 and 2A of the Woodbine By-pass, which extends
from just north of
For Phases 2B and 3, a Tri Party Agreement was executed in May 2010 by the Town, the Region of York and the 404 North Developers Group. Phases 2B and 3 extend from Lord Melborne Street to Woodbine Avenue as per Attachment ‘A’. The 404 North Developers Group is also responsible for the majority of the construction costs with subsequent Regional Development Charge credits.
The conditions in both Tri Party Agreements, stipulate that the Town assume responsibility for the design, approvals, project management and maintenance of the Woodbine By-pass on behalf of the Region of York in order to advance the construction of the By-pass from 2012 to 2009/10. Upon completion of the By-pass in its entirety, the Region will assume responsibility for the By-pass (including maintenance and capital replacement).
The construction of all phases (shown on Attachment ‘A’) of the By-pass is separated into three contracts and the status of each contract is as follows:
- Phase
1B – North of Major Mackenzie Drive to
- Phases 2A, 2B and 3A–
3.
Phases 1A and 3B – This proposed contract comprises the
two interfaces between existing Woodbine Avenue and the By-pass. Phase 1A is from existing
In both Tri-Party Agreements, the Town is funding the sidewalk, multi-use path, and illumination components through its development charges and pre-DCA reserve.
PURPOSE:
The purpose of this report is to award the contract for the construction of Phases 1A and 3B of the Woodbine Avenue By-pass, and to authorize the relocation of existing utilities by Powerstream, Rogers, and Bell Canada.
BACKGROUND:
The Region’s 10 Year Capital Program identified construction of the Woodbine Avenue By-pass in their 2012 budget plan. In order to facilitate the development of both the Cathedral lands and the 404 North business parks, the Town has assumed the responsibility for the design, approvals and construction of the Woodbine Avenue By-pass. In November, 2007 a Tri Party Agreement was executed between the Town, the Region of York and the Cathedral Developers for Phases 1 and 2A of the By-pass, funded by the Cathedral Developers. In May, 2010 another Tri Party Agreement was executed by the Town, the Region of York, and the 404 North Developers, funded by the 404 North Developers.
In the Spring, 2010 the detailed
designs, construction
drawings, specifications and tender documents for
Phases 1A and 3B were completed by AECOM (formerly Earth Tech Limited) and Masongsong Associates Engineering Limited
(MAEL), respectively. In order to have
this road open to the public by the end of 2010, staff have tendered Phases 1A
and 3B. There are outstanding issues
which staff has advised bidders with respect to the timing of permits,
availability of an outlet pond and property, and advised them to schedule their
work accordingly.
OPTIONS/ DISCUSSION:
1.
Prequalification
Due to the scope of the project, contractors were pre-qualified to ensure
that all bidders would have the necessary qualifications, experience and
resources to complete the works in accordance with Town of
PREQUALIFICATION
INFORMATION
|
Advertised, place and date |
|
|
Prequalification closed on |
|
|
Number of contractors picking up bid documents |
18 |
|
Number of contractors responding to bid |
18 |
|
Number of contractors prequalified |
16 |
2.
Construction Tender
The construction tender # 044-T-10 was issued in accordance with the
Purchasing By-law 2004-341. Engineering
and Purchasing staff and Town’s engineering consultant, MAEL, has reviewed the
bid documents and are satisfied that all terms, conditions, bid prices and
specifications comply with the Town’s requirements. The tender results are summarized below:
BID INFORMATION
|
Tender release |
|
|
Bids closed on |
|
|
Number of contractors picking up bid documents |
15 |
|
Number of contractors responding with valid bid |
6 |
Detailed
pricing information as submitted is
as follows, inclusive of HST;
|
|
Contractors |
Bid Opening Price |
Corrected* Price |
|
1 |
Con-drain Company
(1983) Ltd. |
$4,949,831.82 |
$4,929,479.82 |
|
2 |
Dufferin Construction Co. |
$5,576,188.00 |
$5,507,500.00 |
|
3 |
Dagmar Construction Inc. |
$5,585,629.49 |
no changes |
|
4 |
ELPIRA Construction & Materials |
$5,753,272.11 |
no changes |
|
5 |
KAPP Contracting |
$5,843,728.12 |
no changes |
|
6 |
Brennan Paving & Construction |
$6,178,452.36 |
no changes |
*Arithmetic
error corrected.
3.
Detailed Design, Contract Administration, and Site Inspection Services
AECOM completed the
detailed design, contract administration, and site inspection of Phase 1B of
the Woodbine Avenue By-pass, and recently completed the detailed design for
Phase 1A. MAEL was engaged by the Town
to complete the detailed design, administration, and site inspection of Phase
2A, 2B, and 3A, and recently completed the detailed design for Phase 3B, while
also combining the completed design of Phase 1A to create a single contract for
Phases 1A and 3B (Contract #044-T-10).
Town staff has been
satisfied with the design and contract administration services of both AECOM
and MAEL. Due to AECOM’s and MAEL’s
familiarity with the project, the project complexities and tight timelines,
staff have obtained quotations for the contract administration and site
inspection of Phases 1A and 3B from AECOM and MAEL.
The following table
represents the quotations provided by AECOM and MAEL:
|
Consultant |
Prices (Inclusive of HST) |
|
AECOM |
$188,133.89 |
|
MAEL |
$248,486.05 |
The construction cost
of Phases 1A and 3B is $4,929,479.82. AECOM’s and MAEL’s quotations represent
3.8% and 5.0% of the estimated construction cost, respectively. These percentages are competitive for a
project of this magnitude and complexity.
In an effort to award the contract administration
and inspection services for Phases 1A and 3B, staff recommends that the Request
For Proposals process be waived in accordance with Purchasing By-Law 2004-341,
Part II, Section 7 (1) - (h) where it necessary or in the best interests of the
Town to acquire Consulting and Professional Services from a preferred supplier
or from a supplier who has a proven track record with the Town in terms of
pricing, quality and service. Staff recommend that
AECOM be awarded with the contract administration and site inspection
assignment for Phases 1A and 3B of the Woodbine Avenue By-pass.
Based on AECOM’s quote, the cost of contract administration and inspection services of Phase 1A is $94,066.94.00 (inclusive of HST), to be funded from the Engineering Department’s Capital Account #83-5350-8455-005 and financed by the Cathedral Developers. AECOM’s quote for $94,066.94.00 (inclusive of HST) for the administration and inspection services of Phase 3B is to be funded from the Engineering Department’s Capital Account #83-5350-8441-005 and financed by the 404 North Developers.
Staff is recommending that a contingency fee of $18,723.84 (inclusive of HST) be allocated for additional contract administration and inspection efforts, should the need arise, of which $9,361.92 (inclusive of HST), is to be funded from the Engineering Department’s Capital Account #83-5350-8455-005 and $9,361.92 (inclusive of HST), to be funded from the Engineering Department’s Capital Account #83-5350-8441-005.
4.
Outstanding Issues
a.
Drainage
Pond by 404 North Developers
The storm sewers of Phase 3B of the Woodbine
Avenue By-pass require two outlets to a stormwater management pond, to be
provided by the Rice Group, of the 404 North Developers. The function of this
pond is to capture the drainage for a portion of Rice’s lands as well as from
the Woodbine Avenue By-pass right-of-way and Vetmar plan of subdivision. To date, this pond has only been built by
Rice to accommodate the drainage of their lands. The Town has been working with Rice to get
their commitment to enlarge the pond by July 15, 2010, which also includes
providing easements on their lands to accommodate two drainage corridors from the
two storm sewer outlets. In the absence
of the stormwater management pond, the contractor would be required to pump
away the storm runoff of the By-pass right-of-way, which may result in claims
to the By-pass contract.
One of the storm sewer outlets consists of
combining the road drainage from the Woodbine Avenue By-pass (Region’s flow)
with the local road drainage (Town’s flow), into a combined storm sewer for
250m. The Region prefers to separate the
Region’s flow from the Town’s flow. The
Town recommends the combined storm sewer for reasons of cost and ease of
construction, as well as a means to minimize the overcrowding of piping and
underground utilities within the road allowance. The approach of a combined
storm sewer system between the Town/Region/Developer was used on the 9th
line project from Highway 7 to Highway 407, and the Box Grove By-pass, whereby
an agreement was signed by all parties to address costs and maintenance. The Town requests that the Region enter into
a similar agreement with the Town for this 250m section of storm sewer.
b.
Outstanding
Property Issues
As per the Tri
Party agreement, the Town is acting on behalf of the Region on all land
negotiations and appraisals for the purpose of acquiring properties and
easements from non-participating landowners on Phase 3B of the Woodbine Avenue
By-pass. These properties are located in
the north portion of Phase 3B, where the By-pass ties in with existing Woodbine
Avenue. This tie-in point requires that
existing
Upon execution of the Tri-Party Agreement in May, 2010 both Vetmar and Rice Group are obligated to convey portions of their property to facilitate the construction of Phase 3B of the Woodbine Avenue By-pass. As outlined in the tri-party agreement, the developer group is also responsible to front end the Regional cost for the various land and easement acquisitions from non-participating landowners. There are no outstanding property requirements in Phases 1A as the right of way has been secured by the Region.
The following table provides a status of the property-related issues:
|
Address |
Transaction |
Status |
|
|
Easement |
Anticipated to close on |
|
|
Easement |
Anticipated to close on |
|
|
Purchase and Easement |
Approved by Region Council in
March, 2010. Transaction closed on |
|
(non-participating landowner) |
Agreement between Hydro One, Region and Town |
Town requires to re-grade an entrance on |
|
Vetmar (404 North Developers) |
Land transfer for By-pass right-of-way |
Land transfer process to Region commenced following execution of Tri-Party agreement of Phase 2B and 3. Transfer has been completed. |
|
Rice Group (404 North Developers) |
Land transfer for By-pass right-of-way |
Land transfer process to Region commenced following execution of Tri-Party agreement of Phase 2B and 3. Transfer anticipated to be completed in June, 2010. |
c. Permits
and Approvals
i.
Ministry of
Environment Permits
Prior to the construction of the storm sewers on Woodbine Avenue By-pass, the Town requires permits from the Ministry of Environment (MOE). The MOE permit for the storm sewer on Phase 1A was secured as part of an earlier submission in 2008. For Phase 3B, the MOE permit is anticipated to be received from the MOE in July, 2010.
There is a short sanitary sewer run as part of the Phase 3B work. Prior to construction of this sewer, the Town will require to secure an MOE permit. This permit is anticipated to be received from MOE in July, 2010.
Since these permits have not been secured yet, the contract tender documents have advised the contractor to schedule his work accordingly.
ii.
Ministry of Natural Resources
The south limit of Phase 1A of the By-pass is in close proximity of the
Carlton Creek just north of
d. Utilities
In Phases 1A and 3B, the existing hydro poles
by Powerstream are to be relocated on Woodbine Avenue, along with the
relocation of cables by their tenants, Rogers and Bell.
In phase 1A, the poles are proposed to be
relocated in June, 2010 following a purchase order that was provided to
Powerstream, stemming from Staff Award Report #101-S-10. Since the poles also
carry cable by Rogers, Town staff requests that a purchase order be created for
the relocation of Rogers’ cable, in the amount of $10,464.80 (plus applicable taxes).
In the Phase 3B portion, it is anticipated
that the pole and cable relocations will be completed by August, 2010. The contract tender documents have been
worded advising the contractor that the utility relocations are to be completed
prior to his road works commencing and that he is to schedule his work
accordingly. The cost of the pole
relocations by Powerstream is estimated to be $110,000.00 (exclusive of all applicable
taxes). Staff requests that a purchase order
be established to cover this relocation, including contingencies. In addition, staff request that purchase
orders be issued to Bell and Rogers for the costs of relocating their cables in
the amount of $85,700.00 and $13,324.00, respectively, exclusive of all applicable
taxes.
All abovementioned utility relocation costs
are based on the Municipal Access Agreement between the utility company and the
Region of York.
5.
Project
Schedule
The construction for Phases 1A and 3B of the Woodbine Avenue By-pass is scheduled to begin in late July, 2010. It is anticipated that the road will be constructed to base-course asphalt by late 2010, allowing the entire Woodbine Avenue By-pass to be opened to traffic. The surface course asphalt, sidewalk, and boulevard landscaping of the Woodbine Avenue By-pass will be constructed in the spring of 2011, which will conclude the construction of the By-pass.
6.
Project
Transfer to the Region of
The Woodbine Avenue By-pass is a Region of York arterial road. Upon completion of the construction of the By-pass in its entirety, from Major Mackenzie Drive to south of 19th Avenue, the road is to be conveyed to the Region of York in accordance with the Tri-Party Agreements between the Town, the Region of York and the two adjacent developers groups (Cathedral Developers Group and the 404 North Developers). The Tri-Party Agreements also outline in detail the various warranty and guarantee periods relating to the transfer of the road works to the Region of York upon completion. There is also a separate maintenance agreement that the Town and Region have entered into, following the execution of both Tri-Party Agreements.
FINANCIAL CONSIDERATIONS:
The total cost, inclusive of all taxes, of constructing Phases 1A and 3B of the Woodbine By-pass is as follows:
|
Item |
Total Costs Phase 1A, excluding HST |
Total Costs Phase 3B, including HST |
Total Costs Phases 1A and 3B, including HST |
|
Total Design Fees – AECOM |
$21,035.00* |
$63,675.92* |
$84,710.92 |
|
Total Design Fees – Masongong |
|
$155,046.87* |
$155,046.87 |
|
Construction Cost |
$1,651,745.63 |
$3,277,734.19 |
$4,929,479.82 |
|
Construction Contingencies |
$165,174.56 |
$327,773.42 |
$492,947.98 |
|
Contract Admin. and Site Inspections |
$94,066.94 |
$94,066.94 |
$188,133.89 |
|
Contract Admin. & Site Insp. Contingencies |
$9,361.92 |
$9,361.92 |
$18,723.84 |
|
Utilities relocation - Powerstream pole relocates |
$74,569.00* |
$111,936.00 |
$186,505.00 |
|
Utilities relocation - Powerstream pole relocates
– contingencies |
$7,500.00* |
|
$7,500.00 |
|
Utilities relocation - Bell relocation |
|
$87,208.32 |
$87,208.32 |
|
Utilities relocation - Rogers relocation |
$10,648.98 |
$13,548.80 |
$24,207.48 |
|
Total Property Costs (includes land value
appraisals) |
|
$160,460.26 |
$160,460.26 |
|
Engineering Department Project Management Fee @
4.0% |
$81,364.08 |
$172,032.89 |
$253,396.98 |
|
Totals |
$2,115,466.12 |
$4,472,855.24 |
$6,588,321.36 |
* Previously awarded
Cost sharing of the construction of Phases 1A and 3B of the Woodbine By-pass has been calculated in accordance with the terms of the Tri-Party Agreements between the Town, the Region of York and the Cathedral Developers Group and the 404 North Developers Group, and is summarized as follows:
Cathedral Developers – Phase 1A
|
Item |
Funding including HST |
|
Developers Works |
$27,984.68 |
|
Regional Works (funded by Cathedral Developers) |
$1,746,927.02 |
|
Town of Markham Works (sidewalk, illumination,
and multi-use path) |
$340,554.41 |
|
Total Estimated Project Funding |
$2,115,466.12 |
The Town funding sources are as follows:
- Sidewalk to be from the Engineering Department’s Capital Account #83-5350-10057-005 in the amount of $127,389.71, including HST.
- 3.0m wide concrete multi-use path (MUP) to be funded from the Engineering Department’s Capital Account #83-5350-8114-005 in the amount of $131,290.66, including HST.
- Illumination to be funded from the Engineering
Department’s Capital Account #83-5350-9301-005, in the amount of $81,874.04,
including HST.
The funding of
Phase1A, 1B, and 2A of the Woodbine Avenue By-pass is provided by the Cathedral
Developers. Based on the current status
of Phases 1B and 2A, it is anticipated that approximately $1,900,000 of funding
will be available to fund Phase 1A, which is sufficient to cover the Region’s
and Cathedral Developers’ share of the project.
404 North
Developers – Phases 3B
|
Item |
Funding including HST |
|
Developers Works |
$392,352.23 |
|
Regional Works (funded by Vetmar) |
$3,584,067.25 |
|
Town of Markham Works (sidewalk, illumination,
multi-use path, and sanitary sewer) |
$496,435.77 |
|
Total Estimated Project Funding |
$4,472,855.24 |
The Town funding sources are as follows:
- Sidewalk to be from the Engineering Department’s Capital Account #83-5350-10057-005 in the amount of $76,362.54, including HST.
- 3.0m wide concrete multi-use path (MUP) to be funded from the Engineering Department’s Capital Account #83-5350-8114-005 in the amount of $82,695.69, including HST.
- Illumination to be funded from the Engineering Department’s Capital Account #83-5350-9301-005, in the amount of $228,715.72, including HST.
- Sanitary sewer work to be funded from the Engineering Department’s 404 North Trunk Sanitary Sewer Account #83-5350-7346-005 in the amount of $108,661.81 including HST.
The Town has currently secured $3,400,000 in funding from Vetmar of the
404 North Developers to fund Phase 3B of the Woodbine Avenue By-pass and has
been deposited into Engineering
Department’s Capital Account # 83-5350-8441-005.
Since the cost
of the Regional Works, inclusive of HST, is $3,584,067.25, additional funding
of $184,067.25 is required from Vetmar, as per the conditions of the Tri Party
Agreement, which is to be deposited into Engineering
Department’s Capital Account # 83-5350-8441-005.
In addition,
the funding for the developer’s works required to be secured from Vetmar is
$392,352.23 inclusive
of HST, which will also be deposited into Engineering
Department’s Capital Account # 83-5350-8441-005. The Town has requested this additional
funding from Vetmar and is to be in receipt of these funds within 30 days of
the request, as per the conditions of the Tri-Party Agreement. Failing to receive these funds, the Town will
make revisions to preclude the developer’s works, which may result in additional
cost to the By-pass contract, for additional redesign of storm sewers and delays
caused due to amendments to MOE permits.
Overall Funding
Summery – Phases 1A and 3B
|
Item |
Funding including HST |
|
Developer Works |
$420,336.91 |
|
Regional Works (Funded by Developer) |
$5,330,994.26 |
|
Town of Markham Works (sidewalk, multi-use path,
illumination, and sanitary sewer) |
$836,990.18 |
|
Total Estimated Project Funding |
$6,588,321.36 |
All funds received
from external sources are to be deposited into Engineering Department’s Capital
Accounts # 83-5350-8455-005 for Phase 1A and # 83-5350-8441-005 for Phase 3B.
ALIGNMENT WITH STRATEGIC PRIORITIES:
Woodbine Avenue
is an important arterial route that provides a high volume of daily commuters
through York Region and the Town of
BUSINESS UNITS CONSULTED AND AFFECTED:
The Finance Department has reviewed this report and their comments have been incorporated.
RECOMMENDED BY:
________________________ ________________________
Alan Brown, C.E.T. Jim Baird, M.C.I.P., R.P.P.
Director of
ATTACHMENTS:
Attachment A – Location Plan
Attachment B – Financial Summaries of Phases 1A and 3B
Q:\DEVELOPMENT\ENGINEERING\REPORTS\2010\JUNE\WOODBINE AVE
BYPASS PHASE 1A AND 3B (JUNE 8)\AWARD OF TENDER REPORT #044-T-10 WOODBINE
BY-PASS PH 1A AND 3B-JUNE 8.DOC