MEETING DATE: January 25, 2001

SUBJECT: PROCUREMENT AUTHORIZATION – SUPPLY OF PRECAST CONCRETE TRACK BEAMS 2001-2004

It is recommended that the Commission approve the issuance of a Purchase Order to Con Cast Pipe Ltd. in the total estimated amount of $344,126.92 for the supply of thirty precast concrete track beams for the Prince Edward Viaduct for the years 2001-2004.

Sufficient funds to accommodate these expenditures are included in Project 3.4 Bridges & Tunnels under the Prince Edward Viaduct Beam Replacement Program, as set out on pages 543 to 548 in the "State of Good Repair" category of the 2001-2005 Capital Program, as approved by the Commission on December 13, 2000.

The Prince Edward Viaduct carries the Bloor-Danforth subway over the Don Valley Parkway between Broadview Station and Castle Frank Station. There are a total of 280 precast concrete track support beams initially installed in the early 1960’s on the Prince Edward Viaduct below the bridge deck carrying Bloor Street.

Deterioration of the track beams became a concern when it was found that water saturated with sodium chloride was leaking from the roadway above onto the subway tracks and causing deterioration. Measures to contain and divert this leakage were undertaken, but corrosion of the steel reinforcement had begun. A program was commenced in 1978 to replace the precast concrete track beams.

The track beam replacement process is difficult due to the limited work time available outside regular service hours and the access problem associated with working 100 feet above the Don Valley. To date 95 of the 10 tonne track beams have been replaced.

All beams are inspected on a two year cycle with the next inspection scheduled for 2001. Beam condition is monitored and replacement prioritized. To ensure the continued safety of the subway system, thirty beams must be acquired now for locations identified for replacement in the 2001 to 2004 period as part of the Prince Edward Viaduct Beam Replacement Program.

Specifications were prepared for the multi-year (2001-2004) supply of precast concrete track beams for the Prince Edward Viaduct. An advertisement was placed in the Globe and Mail and as well a total of eight (8) companies were invited to submit tenders, out of which one (1) submitted a tender and two (2) replied that they were unable to quote. Responses are summarized in Appendix "A".

Staff surveyed the "unable to quote" and "non-respondent" vendors to determine the reasons for not submitting tenders. The survey revealed the following; vendors were unable to tender competitively, quantity of work too small, insufficient time to prepare tender, plant work load, and could not meet TTC specification.

The unit pricing per beam is approximately 33% higher than the current contract. Staff was advised that the current contract (1998-2000) tendered in February 1998 was in error and that the vendor suffered significant losses supplying the precast concrete beams over the past three years. Staff reviewed the 1998 tender responses and confirm that Con Cast Pipe’s pricing per beam were approximately 26% lower than the other two tender submissions. Con Cast Pipe Ltd. have noted that the pricing for the new contract (2001-2004) is more in line with industry pricing. As such staff are satisfied with Con Cast Pipe’s explanation for the 2001 price change.

The lowest and only tender for the supply of precast concrete track beams was submitted by Con Cast Pipe Ltd. in the amount of $344,126.92. This company has satisfactorily completed similar contracts for the Commission in the past and is the current supplier. Con Cast Pipe Ltd. have not taken any exceptions to the Commission’s tender, their submission is considered commercially compliant and staff are recommending acceptance.

It is necessary to proceed with the foregoing procurement expenditure in order to accommodate the replacement of precast concrete track beams on the Prince Edward Viaduct. This will ensure both the safety and integrity of the subway system on the bridge structure and the safety of human and vehicular traffic on the roadway and localized areas beneath.

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December 13, 2000

6-60-124

Attachments:

Company Total Tendered Price

Con Cast Pipe Ltd. $344,126.92

Pre-Con Inc. Unable to Quote

Advance Precast Ltd. Unable to Quote

Engineer’s Estimate $310,000.00