City Enters into Negotiations for Fixed Price Contract to Build new Johnson Street Bridge

PCL Constructors Westcoast Inc. (PCL) has been selected as the “preferred proponent” under the Request for Proposal to build the new Johnson Street Bridge. Council directed staff to proceed to negotiations to finalize the details of the fixed-price contract in a closed session last Friday.

“The collaborative procurement process was designed to deliver a proposal for a bridge that meets design and functionality requirements that the community approved through the referendum,” noted Mayor Dean Fortin. “We're very pleased with PCL's proposal and that we're now in a position to negotiate the fixed-price contract for the bridge within the approved budget.”

PCL's proposal was evaluated as the best proposal based on criteria outlined in a Request for Proposals issued earlier this year. The proposal includes various optimizations but remains in accordance with the original design concept. PCL is the largest contracting organization in Canada, and the 6th largest in the United States. PCL has built large scale bridges across North America, including the Alex Fraser Bridge in Vancouver.

The City's Fairness Monitor observed all steps in the procurement process, including meetings and correspondence between the City and proponents. His report on the Request for Proposal has been submitted to Council. As noted in his report, based on his observations, he is satisfied that the process leading to the selection of the preferred proponent was consistent with the Request for Proposal and is fair in all respects.

The two other companies who submitted proposals are Peter Kiewit Infrastructure Co. (Kiewit) and WCC Construction Canada, ULC (Walsh).

Over the coming months PCL and the City will negotiate the final details of a fixed-price contract for construction of the Johnson Street Bridge. Final approval will be required from Council prior to the award of the contract. The project will be completed before March 31, 2016 and construction is expected to begin in spring 2013.

In addition to moving forward on the construction contract, the City has a new contract agreement with MMM Group. MMM Group has been the primary engineering consultant since 2009 and will continue to provide all professional engineering services through to the completion of the project. They will continue to provide and oversee all final bridge designs, including optimizations brought forward by the preferred proponent, and provide project management services to insure that the project is completed in accordance with all contract documents. The value of MMM Group's contract is $9.1 million and within the planned budget for this work.

Making way for the improved road and path alignments within the project, next week the Greater Victoria Harbour Authority will complete final deconstruction of the former rail station. The roof and other salvageable materials will be removed from the site and the remaining parts will be deconstructed and recycled. The Greater Victoria Harbour Authority plans to reuse the roof and other building components within future developments at Ogden Point or Fisherman's Wharf.

Construction of the new bridge is expected to generate approximately 900 jobs and benefit many local businesses. The Urban Development Institute estimates that this project will have economic benefits of approximately half a billion dollars.

For more information, visit the project website