A5 ADMINISTRATIVE REPORT Date: March 6, 1996 Dept. File No.: 1.40.96.02 TO: Vancouver City Council FROM: General Manager of Engineering Services SUBJECT: Award of Contract No. 9601 for the Upgrading of the Chilco and Alberni Chlorinating Station RECOMMENDATION A. THAT Contract No. 9601 for the Upgrading of Chilco and Alberni Rechlorination Station be awarded to the low bidder meeting specifications, CANEM SYSTEMS LIMITED in the amount of $237,005.00, being the total tender amount, including all options. No legal rights shall arise hereby and none shall arise until execution of the Agreement. B. THAT funding for the Upgrading of the Chilco and Alberni Rechlorination Station project be provided from account 17/35/4200/999 "Pressure Reducing Valve (PRV) Stations. C. THAT the General Manager of Engineering Services be authorized to enter a contract with CANEM SYSTEMS LIMITED in the amount of $237,005.00, in consultation with the Director of Legal Services. COUNCIL POLICY Construction contracts over $200,000 are to be awarded by Council. PURPOSE The purpose of this report is to obtain Council approval to award Contract No. 9601 for the Upgrading of the Chilco and Alberni Rechlorination Station to the low bidder, CANEM SYSTEMS LIMITED. BACKGROUND The Waterworks capital plan provides for annual replacement of various PRV stations throughout the City. These stations have reached the end of their service life to a point where some components are near failure. The safe and proper operation of these stations is essential to provide a reliable supply of water for both domestic consumption and fire protection. The station at Chilco and Alberni Street operates as both a pressure regulating and chlorine level boosting facility. The electrical and mechanical systems are aging poorly and have required an above average level of maintenance in the past years. Therefore, the facility was identified as a high priority for modification and upgrading in the 1995 Waterworks Capital Budget. CONSTRUCTION TENDERS Tenders for Contract No. 9601 for the upgrading of the Chilco and Alberni Rechlorination Station were opened on March 5, 1996, and referred to the General Manager of Engineering Services. All tenders have been checked for completeness and accuracy. A tabulation of the lump sum tendered prices is shown below with the lowest tender, meeting specification underlined. The Consultants' estimated cost of the contract work, including the installation of the valves and related piping supplied by the City, was $350,000.00. CANEM Systems Limited $237,005.00 Jain Contracting Limited $242,954.00 Daryl-Evans Limited $256,754.69 Besco Contracting Limited $314,818.61 Each Contractor has submitted a total lump sum tender price for all work under this contact. Also, as requested, the contractors have submitted a breakdown in the lump sum prices which will be used for computation of interim payments. The final cost of the contract may vary as a result of additions and deletions, and extra or "force" account work if required. The tender submitted by the low bidder, CANEM Systems Limited is in accordance with the specifications in the contract documents. The Contractor has submitted an acceptable construction schedule that meets the City's requirements for substantial completion of the project by June 1, 1996. The tender documents required a mandatory pre-tender site meeting, which the contractor attended. The supervisory personnel proposed by CANEM Systems Limited have the appropriate related experience from similar projects and it has been confirmed that they have completed other projects in a satisfactory manner and on time. As such, their qualifications are considered adequate for this contract. COST AND FUNDING This project was included in the 1995 Waterworks Capital Plan to upgrade and replace various PRV and rechlorination stations. Funds for this contract are available in account 17/35/4200/999 "Pressure Reducing Valve (PRV) Stations. * * * * *