ADMINISTRATIVE REPORT


                                           Date:  February 15, 1996
                                           Dept. File No. 1.40.96.01

   TO:       Vancouver City Council


   FROM:     General Manager of Engineering Services


   SUBJECT:  Award  of Consulting  Contract:   Design,  Cost Estimates  and
             Inspection  Services for  a  New Asphalt  Plant and  Aggregate
             Handling Facility at a North Fraser River Site.


   RECOMMENDATION

        A.   THAT  a   three   phase  Consultant   Services  Contract   for
             Preliminary  and Final  Design, including  Cost Estimates  and
             Inspection Services for  the construction of a new Works Yard,
             be  awarded to Westmar Consultants Inc. at an estimated fee of
             $995,000, plus net GST.  Funds for  the Engineering Consulting
             Services  Contract  are available  from  the Asphalt/Aggregate
             Plant Reserve  ($331,160) and the balance from the Truck Plant
             account ($693,690).   

        B.   THAT the Consultant be authorized to proceed with only Phase I
             -  Preliminary Design  and Class  B  cost estimate,  valued at
             $195,000,  plus net GST, and that staff report back to Council
             with  an  updated  project   budget  and  financing  plan  for
             approval, prior to proceeding with Phases II and III.  

        C.   THAT  the   Consultant  be  authorized  to   proceed  with  an
             "Investigation  of  the  Feasibility  of  Ocean  Disposal   of
             Construction Waste" for an additional fee of $18,749, plus net
             GST.  Funds for this additional study are available from Sewer
             Capital,    Investigation    for   Design    Budget,   Account
             #11/03/0612/999.

        D.   THAT the General Manager of Engineering Services be authorized
             to enter into a  Professional Services Agreement contract with
             Westmar Consultants Inc., in consultation with the Director of
             Legal Services.


   COUNCIL POLICY

   Consultant contracts over $30,000 are to be awarded by Council.

   Consultant  Services contracts  are to be  awarded on the  basis of best
   value.


   PURPOSE

   This report recommends that  a three phase contract for  preliminary and
   final design, including  cost estimates and inspection  services for the
   construction of the Engineering Department's new Works Yard, including a
   new  dock, aggregate  handling,  crushing/recycling  and  asphalt  plant
   facility at  a  site adjacent  the  North Fraser  River,  be awarded  to
   Westmar  Consultants  Inc.    As   additional,  but  related  work,  the
   consultant be authorized to  study the feasibility of ocean  disposal of
   construction waste materials generated by City works operations.

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   BACKGROUND

   The City's Cambie Yard facility has long provided aggregate handling and
   asphalt  plant facilities  that have  successfully supported  the City's
   operations for  many years;  however, the  aging  plant and  development
   pressures  in the False  Creek area have  motivated the City  to find an
   alternate location  for these facilities.   The new Works Yard,  with an
   estimated cost of $13.3 million, will replace most  of the Cambie Street
   facility and  will be  located at  a site  near the south  foot of  Main
   Street, adjacent the North Fraser River.

   Phase  I of the three phase consultant contract, requires the consultant
   to provide a  preliminary design and  class B  estimate, as approved  by
   Council January 16, 1996,  and examine the feasibility of  ocean dumping
   waste materials from the City's works operations.  Under Phase II, it is
   planned  to have final design and Class A estimates completed, including
   the design,  supply, and install  procurement packages  for the  asphalt
   plant,  recycling/crushing  plant,  conveyor   systems  and  barge  ramp
   facilities.     General  engineering  and   inspection  services  during
   construction,  including   record  services,  will  be   provided  under
   Phase III.  With Council s authorization,  it is staff's intention  that
   subject  to satisfactory performance, the firm retained for Phase I will
   also be used to complete the project.

   Approximately 450,000 tonnes of  aggregate will be processed at  the new
   facility yearly, of which approximately 250,000 tonnes will be delivered
   to  the  facility by  barge. Approximately  100,000  tonnes per  year of
   asphalt  will  be manufactured  and 200,000  tonnes  per year  of broken
   concrete and  asphalt from  road works  will be  crushed in  a recycling
   operation. Other  facilities  at the  site  will include  weigh  scales,
   materials laboratory, office facilities, and fuel storage.

   Dredging will be necessary for the  construction of the barge berth  and
   this will require appropriate  permitting.  As shoreline  protection and
   barge loading facility details are determined, the 


   Consultant will coordinate  with City staff all  permit applications and
   approvals  with  various agencies  including  the  Fraser River  Estuary
   Management Program  (FREMP), Navigable Waters Protection  Act (NWPA) and
   Department of Fisheries and Oceans (DFO).

   Engineering  staff  have  conducted a  basic  analysis  of the  economic
   benefits of ocean dumping construction waste materials generated by City
   works operations.   This analysis indicates a potential  for significant
   savings resulting  from the  elimination of  dumping fees and  decreased
   trucking costs which are  achieved by improved efficiencies in  our work
   operations.  The consultant study will determine  soil disposal protocol
   with  the required  government  agencies  and  provide a  detailed  cost
   benefit analysis of incorporating this service at the new facility.

   It  is anticipated, that preliminary  design and Class  B estimates will
   take approximately 11  weeks and  final permitting will  likely take  an
   additional  4 to  6 months.   Major  equipment procurement  will require
   another  3 to 4 months, during which  time the final design details will
   be  completed  concurrently.    Site  preparation  and  installation  of
   equipment  will  require  a further  1  to  2  months.   Therefore,  the
   estimated overall elapsed time to complete the project will be  10 to 14
   months.

   DISCUSSION

   Further to Council s  direction on  January 16, 1996,  staff   requested

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   proposals for preliminary design and class B estimate, as Phase I of the
   Consultant services,for the  new Works Yard.  The proposal request  also
   included  an  investigative study  regarding  the  feasibility of  ocean
   dumping, as a separate item. On completion of phase I, Staff will report
   back to Council with  an updated project  budget and financing plan  and
   request further approval prior to proceeding with Phase II, final design
   and class A estimates, and Phase III, inspection services.

   Four  engineering consultants were invited to  submit proposals for this
   work.  Two of the firms combined efforts and submitted a joint proposal.
   One of the firms chose  not to submit a proposal based  on their current
   work  load.  The  resulting  two   proposals  were  evaluated  by  three
   independent  reviewers, that  followed an  objective list  of evaluation
   criteria which fall into  the major categories of:  capability  to carry
   out work  (experience of design  team), management of  work (scheduling,
   cost control, quality control, comprehension of objectives), methodology
   proposed, and quality of proposal  (clarity and logic).  Within  each of
   the  major categories there are specific questions.  The evaluation form
   has been developed  in accordance  with advice from  the Association  of
   Professional Engineers and Engineering Department policy that  indicates
   consultants should be selected on a best value basis.

   The submitted proposals were well prepared and demonstrated that both of
   the  firms had  the  capability to  successfully  complete the  project.
   However,  the   proposal  presented  by  the   Westmar  Consultants  and
   Associated  Engineering  team  most  accurately  detailed  the  critical
   issues,  required  tasks,  estimated  work hours  and  disbursements  to
   successfully complete  the engineering  services in accordance  with the
   Terms of Reference  prepared by staff.  Sandwell's proposal estimated  a
   fee  of $672,119  for design  services, based  on 10,462  hours, for  an
   average rate of $64.24 per  hour. Westmar's proposal estimated a fee  of
   $779,000 for design services, based on 12,735 hours, for an average rate
   of  $61.17 per  hour.  Staff  consider  Westmar's  estimated  hours  and
   disbursements  are  an  accurate  reflection of  the  time  required  to
   complete this project.
    
   A  key  issue  in  the  evaluation  was  Westmar's  demonstrated  recent
   experience with similar projects  on the Fraser River and  their ability
   to  successfully coordinate the  complicated permitting process required
   for  the proposed  dock and  shoreline stabilization  construction, that
   will  be key to the success of  this project. Therefore, the proposal by
   Westmar Consultants Inc.  was considered  to offer the best value to the
   City  by the review panel.  The General Manager  of Engineering Services
   recommends that Westmar Consultants Inc. be awarded this contract.


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