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Council Meeting Minutes 20 March 2012 - West Tamar Council

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20 March 2012<br />

7) Financial Impact<br />

An amount <strong>of</strong> $127,000 for urban roads and $38,000 for stormwater was set<br />

aside in this financial year’s capital works budget, providing a total <strong>of</strong><br />

$165,000 to undertake the works. This is more than sufficient to cover the<br />

construction cost plus survey, design and supervision.<br />

8) Alternative Options<br />

Council is not bound to accept the lowest priced tender and may accept any<br />

tender which it considers to be the most advantageous.<br />

Alternative options are:<br />

• Award the contract to the lowest price tenderer.<br />

• Accept one <strong>of</strong> the higher priced tenders.<br />

• Not accept a tender.<br />

9) Risk Management<br />

There are two main areas <strong>of</strong> risk to council:<br />

1) Risk to road users.<br />

The risk to road users will be reduced by the proposed works due to:<br />

- Increased road width and sealed surface<br />

- Piping <strong>of</strong> the open drain.<br />

2) Contract risk to council.<br />

The risk to council from action <strong>of</strong> the Contractor or failure <strong>of</strong> the<br />

contract has been minimised by the following actions:<br />

- The contractor is an established civil contractor who has<br />

successfully completed many similar projects for Council.<br />

- The suppliers listed in the tender submission are recognised<br />

businesses who have supplied similar products to council<br />

contractors in the past.<br />

- The contractor is required to provide full insurance details prior to<br />

starting work on the contract.<br />

- The contractor is required to install traffic management installed<br />

in accordance with the DIER Code <strong>of</strong> Practice for Traffic<br />

Management as specified in the Contract Documents.<br />

10) Asset Management<br />

The upgrade <strong>of</strong> the stormwater network will control the extensive amount <strong>of</strong><br />

overflow that is current running down the road surface and flooding out some<br />

<strong>of</strong> the private property in the street. The widening and sealing will improve<br />

the level <strong>of</strong> service and reduce maintenance requirements.<br />

11) Officer’s Comments<br />

The three lowest tenderers are known to council and are civil contractors<br />

experienced in this type <strong>of</strong> work.<br />

The lowest priced tender received was submitted by J & JM Williams, a<br />

contractor who has satisfactorily completed similar construction projects for<br />

Council. Williams proposes to commence construction in May 2012 with a<br />

construction period <strong>of</strong> 4 weeks.<br />

45

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