A13
ADMINISTRATIVE REPORT
Date: March 10, 1997
Dept. File:1.40.97.02
CC File No. 1801-1
TO: Vancouver City Council
FROM: General Manager of Engineering Services
SUBJECT: Award of Contract No. 9705: Installation of Valve Chambers and Related Work at Three Sites - Dedicated
Fire Protection System(DFPS)
RECOMMENDATION
A. THAT Contract No. 9705 for the Installation of Valve Chambers and Related Work at Three Sites be awarded
to the low bidder meeting the contract requirements, KWH Constructors Ltd., for the net total tender
price of $801,782.90, using the funding sources identified. (The applicable G.S.T. rebate has been
subtracted from the total tendered price.)
B. THAT the bid bonds from the unsuccessful tenderers be returned.
C. THAT the Director of Legal Services be authorized to enter into a construction services contract with
KWH Constructors Ltd. for Contract No. 9705, for the Installation of Valve Chambers and Related Work at
Three Sites for the DFPS, in consultation with the General Manager of Engineering Services.
COUNCIL POLICY
Construction contracts over $300,000 are to be awarded by City Council.
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PURPOSE
This report recommends that the contract to construct three valve chambers and related work as part of the completion of
the first phase of the DFPS pipeline system be awarded to KWH Constructors, the low bidder meeting qualifications.
BACKGROUND
In April 1992, City Council approved in principle the concept and funding of a Dedicated Fire Protection System (DFPS).
The system is designed to provide large volumes of high pressure water for fire fighting. During normal operations the
system will supplement the City s water system. In the event of an emergency, when the City s water system is disrupted,
the DFPS will utilize salt water pumped directly from the ocean. When the DFPS project is completed, coverage will
include the Downtown, West End and Kitsilano.
The DFPS project includes the construction of 3 pump stations, a dedicated system of watermains and a new radio
transmitter station on Grouse Mountain. All facilities are being designed to remain operational following the maximum
credible seismic event for the Lower Mainland.
To date, intake structures and pump stations at Coal Harbour and False Creek, the new radio transmitter station, and
1500m of 600mm steel pipelines have been completed. One Fire Department hose tender truck, designed to complement the
DFPS, is presently in service at Fire Hall #8. An additional 1600m of 600mm pipeline will be completed this year by City
forces which will complete the link between the False Creek and Coal Harbour Pump Stations.
DISCUSSION
The installation of the valve chambers and related work is a precursor to the 1600m of pipeline to be installed this
summer to complete the pipeline link between False Creek and Coal Harbour.
The valve chambers and related works contract will be adminis-tered as a series of lump sums. The construction services
contract includes quoted unit prices for specific additions and deletions. The successful contractor has submitted a
detailed breakdown of the lump sum prices tendered, which will be used for the computation of interim progress payments.
The final cost of the contract may vary as a result of variances from the estimated
quantities of work and/or changes to the scope of work; however it is anticipated that the work will be completed within
budget.
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Five complete tenders were submitted. All tenders contained the appropriate bonding. A summary of the bids, as announced
at the tender opening, is as follows:
Contractor Total Tender Price
KWH Constructors Ltd. $ 832,920.00
Westport Construction Group $ 889,384.00
B. Cusano Contracting $ 963,000.00
Cicuto & Sons Contractors $ 979,011.48
Sand Piper Contracting $1,048,493.00
All tenderer's submissions were arithmetically correct.
The tender submitted by the low bidder, KWH Constructors Ltd., meets all the contract requirements, including insurance
and bonding, and construction completion date. KWH Constructors Ltd. have demonstrated experience with similar types of
construction work and have completed similar work in a satisfactory and timely manner, according to references.
BUDGET AND SUMMARY
The breakdown of the recommended low bid from KWH Constructors Ltd. can be summarized as follows:
Construction Contract: $778,430.00
Net G.S.T. $ 23,352.90
Net Total Contract Value $801,782.90
The engineer s cost estimate, for the installation of valve chambers and related work at three sites contained in
contract 9705 was $980,560.00 including net GST.
Subject to Council approval today of the Waterworks Capital Budget, funds are available for the award of construction
services contract 9705 to the low bid construction tender, meeting contract requirements, submitted by KWH Constructors
Ltd., for the Dedicated Fire Protection System, Installation of Valve Chambers and Related Work at Three Sites.
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