Item - 2021.IE23.12

The Infrastructure and Environment Committee recommends that:

1. City Council, in accordance with Section 195-8.5 of Toronto Municipal Code Chapter 195 (Purchasing), authorize the award of Contract Number 19ECS-MI-01AB, Request for Tender Document Number 2736063782, for the Waste Activated Sludge Thickening Facility and South Substation Upgrades Project at the Ashbridges Bay Treatment Plant, in the amount of $139,355,528 net of all applicable taxes and charges ($141,808,186 net of Harmonized Sales Tax recoveries) to Kenaidan Contracting Limited, having submitted the lowest compliant bid and meeting the specifications in conformance with the Tender requirements.

2. City Council authorize an amendment to Purchase Order 6037889 with Black and Veatch Canada Company, for Detailed Design Services by increasing the value by $752,541 net of all applicable taxes charges ($765,786 net of Harmonized Sales Tax recoveries), from $7,787,836 net of all applicable taxes and charges ($7,924,902 net of Harmonized Sales Tax recoveries) to $8,540,377 net of all applicable taxes and charges ($8,690,688 net of Harmonized Sales Tax recoveries).

3. City Council authorize an amendment to Purchase Order 6045912 with Black & Veatch Limited, for Contract Administration Services by increasing the value by $7,334,324 net of all applicable taxes and charges ($7,463,408 net of Harmonized Sales Tax recoveries), from $8,645,938 net of all applicable taxes and charges ($8,798,111 net of Harmonized Sales Tax recoveries) to $15,980,262 net of all applicable taxes and charges ($16,261,515 net of Harmonized Sales Tax recoveries), subject to approval of Recommendation 4 below.

4. City Council authorize the reallocation of project costs and cash flows in Toronto Water's Approved 2021 Capital Budget and 2022-2030 Capital Plan in the amount of $7,463,408 from Contract Number 19ECS-MI-01AB that will be awarded under budget to support the recommended amendments to Purchase Order Number 6045912, as presented in Table 4, Budget Adjustment Reallocations, of the Financial Impact Statement to the report (June 18, 2021) from the Chief Engineer and Executive Director, Engineering and Construction Services, the General Manager, Toronto Water and the Chief Procurement Officer, Purchasing and Materials Management, with a zero Budget impact to Toronto Water.

The purpose of this report is to advise of the results of Request for Tender Document Number 2736063782, Contract Number 19ECS-MI-01AB, for the Waste Activated Sludge Thickening Facility and South Substation Upgrades Project at the Ashbridges Bay Treatment Plant and request authority to award the contract to Kenaidan Contracting Limited, in the amount of $139,355,528 net of all applicable taxes and charges ($141,808,185 net of Harmonized Sales Tax recoveries).

Authority is also being requested to amend Purchase Order Number 6037889 with Black & Veatch Canada Company, for the provision of Detailed Design Services, in the amount of $752,541 net of all applicable taxes and charges ($765,786 net of Harmonized Sales Tax recoveries) and to amend Purchase Order Number 6045912 with Black & Veatch Canada Company, for the provision of Contract Administration Services in the amount of $7,334,324 net of all applicable taxes and charges ($7,463,408 net of Harmonized Sales Tax recoveries).

Further, authority is being requested to reallocate project costs and cash flows in Toronto Water's Approved 2021 Capital Budget and Approved 2022-2030 Capital Plan in the amount of $7,463,408 million from a project that will be awarded under budget to support the cost of the recommended amendments to Purchase Order Number 6045912.