Item - 2014.EX44.30

The Executive Committee recommends that:

1.         City Council suspend Pave-1 Construction Limited, and any legal entity affiliated with or of the same operating mind as that of Pave-1 Construction Limited, IPAC Paving Limited, Roadmill Construction Incorporated or Sebastian Corbo, as determined by the Director, Purchasing and Materials Management in consultation with the City Solicitor, from being awarded or granted any future City contracts, or otherwise profiting from any City contracts.

2.         City Council bypass the lowest bidder, Pave-1 Construction Limited, and award a contract to C. Valley Paving Limited., being the second lowest bidder meeting specifications of Tender 202-2014, for the restoration to roads, sidewalks and landscaping in various locations within the Etobicoke York and North York Districts in the amount of $1,741,350.00 net of all taxes ($1,771,997.76 net of HST Recoveries).

3.         City Council amend Contract No. 47017945 (Tender 256-2013) for the restoration to roads, sidewalks and landscaping in various locations within the Etobicoke York and North York Districts, with D & A Road Services Incorporated. by an additional amount of $500,000.00 net of all taxes ($508,800.00 net of HST recoveries) revising the current contract value from $989,600.00 to $1,489,600.00 net of all taxes ($1,515,816.96 net of HST recoveries) and extend the contract validity from November 4, 2014 to December 31, 2014.

The purpose of this report is to recommend that Council suspend Pave-1 Construction Limited ("Pave-1") from being awarded future City contracts due to its affiliation with previously suspended contractor IPAC Paving Limited ("IPAC"); bypass Pave-1 in relation to Tender 202-2014; and extend an existing contract to prevent the interruption of City services.  The report is being submitted to the Executive Committee for consideration to allow for public notice, as some elements of the report were not finalized prior to the publication of the Public Works and Infrastructure Committee agenda.