ADMINISTRATIVE REPORT
Date: September 21, 1998
Author/Local: T. Reid/6241Dept. File No. 1.40.9806
RTS No. 00091
CC File No. 1805
TO: Vancouver City Council
FROM: General Manager of Engineering Services
SUBJECT: Award of Contract No. 9814: Construction of Valve Chamber #6 and
Related Works - Dedicated Fire Protection System (DFPS).
RECOMMENDATION
A. THAT Contract No. 9814 for the construction of Valve Chamber #6 and related works be awarded to the low bidder meeting the contract requirements, KWH Constructors Ltd., for the net total tender price of $477,332.90 using the funding sources identified, including net G.S.T.
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. 9814, for the construction of Valve Chamber #6 and related works for the DFPS, in consultation with the General Manager of Engineering Services.
GENERAL MANAGER'S COMMENTS
The General Manager of Engineering Services RECOMMENDS approval of A, B and C.
COUNCIL POLICY
Construction contracts over $300,000 are to be awarded by City Council.
PURPOSE
This report recommends that the contract to construct a valve chamber 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 Citys water system. In the event of an emergency, when the Citys 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 2 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 3100m of 600mm steel pipelines linking the two pump stations have been completed. One Fire Department hose tender truck, designed to complement the DFPS, is presently in service at Fire Hall #8. An additional 1400m of 600mm pipeline will be completed this year by City forces which will connect to the valve chamber associated with Contract 9814.
DISCUSSION
The construction of valve chamber #6 and related work is in addition to 1400m of 610mm diameter pipeline being installed this summer by City crews as part of a secondary pipeline loop connecting False Creek and Coal Harbour through the downtown business district. Completion of the loop will take place in 1999 with the installation of 1500m of 610mm diameter steel pipeline.
The valve chamber and related works contract will be administered 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.
Five complete tenders were submitted. All tenders contained the appropriate bonding. All tenderers submissions have been checked for correct addition and GST calculations and have been correctly adjusted where necessary. A summary of the bids, is as follows:
Contractor Total Tender Price
KWH Constructors Ltd. $ 495,870.10
Westport Construction Group $ 588,928.00
Alexander Construction Ltd. $ 646,018.00
Mutual Construction Ltd. $ 693,841.61
Tritech Industries Ltd. $ 748,679.00The 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 and previous contracts with the City.
BUDGET AND SUMMARY
The breakdown of the recommended low bid from KWH Constructors Ltd. can be summarized as follows:
Construction Contract: $ 463,430.00
Net G.S.T. $ 13,902.90
Net Total Contract Value $ 477,332.90The engineers cost estimate, for the installation of valve chamber #6 and related work in Contract 9814 was $621,811.00, including net GST.
Funds are available from the Waterworks Capital Accounts for the award of construction services contract 9814 to the low bid construction tender, meeting contract requirements, submitted by KWH Constructors Ltd. for the Dedicated Fire Protection System, Construction of Valve Chamber #6 and Related Work.
* * * * *
(c) 1998 City of Vancouver