Item - 2021.GL21.9

The General Government and Licensing Committee recommends that:

1. City Council receive the report (March 12, 2021) from the General Manager, Toronto Water and the Chief Procurement Officer for information.

The purpose of this report is to advise Toronto City Council, pursuant to Chapter 195 of the Toronto Municipal Code (Purchasing By-law, Section 195-7.4), of a non-competitive contract with OJCR Construction Limited to procure emergency general contracting and construction services to structurally secure a 2100 millimetre (more than seven feet in diameter) transmission watermain for a total value of $6,529,231.81 ($6,644,146.29 net of Harmonized Sales Tax recoveries).

The issuance of this non-competitive construction contract was a matter of extreme urgency due to the high risk of the watermain failing and causing catastrophic damage to the surrounding properties, the potential washout of Ellesmere Road and to protect health and safety. The 2100 millimetre watermain has now been permanently secured, the culvert structurally rehabilitated and the surrounding area restored.

In consultation with the Purchasing and Materials Management Division, this emergency procurement could not be reported to the General Government and Licensing Committee and Council in the required timeframe. This was as a result of the requirements for Toronto Water to investigate and undertake the critical emergency construction work and to properly reconcile and approve all payments to the contractor/subcontractors – a process that was finalized in December 2020. Reporting back to City Council is required in accordance with Municipal Code Chapter 195, Purchasing, where the potential value of the non-competitive contract exceeds $500,000 as per Article 7, Section 195-7.4(B) of the Purchasing By-law.