Block 3 construction management services

On this page

• 1. Introduction
• 2. Project requirement
• 3. Attestation of assurance
• 4. Methodology
• 5. Fairness monitoring activities and observations
• 6. Reference documents
• 7. Addendum to final report, March 13, 2017

1. Introduction

KPMG was engaged as a Fairness Monitor (FM) on June 14, 2016 to observe the Request for Proposals (RFP) process for Block 3 Construction Management Services, issued by Public Services and Procurement Canada (PSPC) on behalf of Parliamentary Precinct Branch as a result of Solicitation EP756-170422/A.

KPMG is an independent third party with respect to this activity.

The procurement process was conducted by PSPC to retain a contractor to provide construction services for Blocks 1, 2 and 3 located between Wellington, Bank, Sparks and Elgin streets in downtown Ottawa. In general, the scope of this contract for construction management (CM) includes project management and construction services. The specific services of the CM will be engaged in order to implement and ensure projects are delivered on schedule, within the construction estimate, and to the level of quality required for a building of this stature.

The procurement process involved a RFP, which was issued by PSPC on July 7, 2016. Bidders were invited to submit bids and the RFP required firms to demonstrate their qualifications, experience and organization of the bidder as well as pricing offered. An optional site visit with bidders took place on July 20, 2016. The bid assessment review took place on August 18, 2016. We reviewed all of the information provided and observed all relevant activities.

We hereby submit the Final Report, covering the activities of the Fairness Monitor, commencing with the RFP review before posting on July 7. 2016, continuing through the RFP closing on August 15, 2016 and the evaluation of proposals leading to the identification of the successful proponent.

This report includes our attestation of assurance, a summary of the scope and objectives of our assignment, and relevant observations from the activities undertaken.

2. Project requirement

The services of a Construction Manager (CM) are required to provide advice and plan, coordinate and implement various projects in and around buildings located in Parliamentary Precinct Blocks 1, 2 and 3, between, Wellington, Bank, Sparks and Elgin streets.

Projects will range from installation of exterior lighting, implementation of security measures, demolition, including hazardous material removal, fit up of space, replacement/modification of mechanical, electrical and life safety systems, structural upgrades, heritage restoration and building envelope work (masonry, widows, roof, etc). Work will be on the interior and exterior of the buildings and will require a variety of trades. Some of the work will take place in high finish and heritage areas which must be protected at all time. Most of the work will take place in occupied spaces where special measures will have to be taken to minimize impacts on the occupants. High quality work and workmanship will be expected throughout this contract.

The CM will lead the construction team, which comprises of its own workforce and all construction sub-trades retained by the CM.

3. Attestation of assurance

The Fairness Monitor hereby provides the following unqualified assurance statement concerning the Request for Proposal process for Block 3 Construction Management Services.

It is our professional opinion that the Request for Proposal process we observed, was carried out in a fair, open and transparent manner.

4. Methodology

KPMG was engaged as FM to observe the RFP process for Block 3 Construction Management Services, and to attest to the fairness, openness and transparency of this monitored activity.

In accordance with the terms of our engagement, we familiarized ourselves with the relevant documents, observed bid solicitation activities, which included the RFP, amendments and questions from and answers provided to bidders, attending site visits, and observed proposal evaluation activities as well as identified fairness-related matters to the contracting authorities and ensuring that responses and actions were reasonable and appropriate.

Section 5 of this report identifies the specific activities and observations of the FM in respect to those activities.

5. Fairness monitoring activities and observations

5.1 Request for proposal and terms of reference review

Prior to the publication of the RFP on July 7, 2016 on buyandsell.gc.ca, the FM reviewed the RFP and terms of reference (TOR). The RFP and TOR were accessible to all potential participants, without unjustified restrictions as to who may participate.

Observations

The FM reviewed the RFP and TOR and observed no fairness deficiencies.

5.2 Request for proposal posting

Following the release of the RFP on July 7, 2016 on buyandsell.gc.ca, the FM, the Contracting Authority and the Technical Authority attended the optional site visit on July 20, 2016 at 187 Sparks Street, 1st floor, Ottawa, Ontario. Five bidders attended the site visit.

Two amendments were released on July 25, 2016 and August 12, 2016, respectively. The first amendment modified the Terms of Reference originally issued concerning Block 3 only to include Block 1 and 2. The second amendment provided answers to ten questions from bidders. Each amendment was reviewed by the FM prior to posting.

Observations

No fairness deficiencies were observed regarding the publication of the RFP, the conduct of the site visit or the amendments to the RFP.

5.3 Request for proposal close

At close of the RFP on August 15, 2016, three bids were received. The FM discussed the manner in which the bid responses to the RFP were received and handled with the contracting authority and no fairness deficiencies were observed.

Observations

Three bids were received and handled in accordance with the deadline and requirements stated in the RFP. No fairness deficiencies were observed.

5.4 Evaluation instructions

Prior to proposal evaluations, the FM reviewed the evaluation guidelines, including evaluator responsibilities, code of conduct, security, confidentiality and conflict of interest requirements, and evaluation methodology.

The FM provided assurance as to the impartiality of evaluation methodology.

Observations

The FM reviewed the evaluation methodology and related requirements and observed no fairness deficiencies.

5.5 Mandatory review

Following the RFP closing, the review of the mandatory requirements was undertaken by PSPC of the three proposals received. All three proposals were deemed to be responsive to the mandatory requirements stated in the RFP; thus these proposals were eligible to proceed to the technical evaluation stage.

Observations

Based on the FM’s review of the results of the assessment of proponents’ compliance with the mandatory requirements, the FM observed no fairness considerations.

5.6 Technical evaluation

The technical evaluation requirements were evaluated on a pass or fail basis. Each of the technical proposals that met the mandatory criteria requirements was individually reviewed and assessed by each evaluator. The evaluators convened a consensus meeting to asses each of those proposals on August 18, 2016.

Two of the three proposals passed the technical evaluation requirements and were deemed responsive proposals and proceeded to the financial evaluation.

The FM was present and monitored the technical evaluation consensus process. The FM provided assurance that it was undertaken in a consistent fashion and that the results reflected the consensus of all evaluation board members.

Observations

The FM oversaw and reviewed the results of the technical evaluation and no fairness deficiencies were observed.

5.7 Price evaluation and proponent selection

The Contracting Authority performed due diligence and verified the pricing details on the forms provided by the two proponents who had passed the technical evaluation.

Financial evaluation summary sheets were prepared by the Contracting Authority and reviewed by the FM.

Observations

The selection of the successful proponent was consistent with the provisions and methodology outlined in the RFP and no fairness deficiencies were observed.

6. Reference documents

Documents related to Solicitation Number EP756-170422/A are available on buyandsell.gc.ca and/or through the project office.

Procurement documents by publication date

No.	Documents	Date
1	Invitation to Tender - Block 3 Construction Mgmt Services (EP756-170422/A)	July 7, 2016
2	Solicitation Amendment no. 001 - Block 3 Construction Mgmt Services (EP756-170422/A)	July 25, 2016
3	Solicitation Amendment no. 002 - Block 3 Construction Mgmt Services (EP756-170422/A)	August 12, 2016

7. Addendum to final report, March 13, 2017

Addendum to the Fairness Monitor (FM) Final Report dated December 19, 2016 pertaining to the competitive procurement process associated with Block 3 Construction Management Services, issued by Public Services and Procurement Canada (PSPC) on behalf of Parliamentary Precinct Branch as a result of Solicitation EP756-170422/A.

This Addendum to the Fairness Monitor Final Report covers the period following the conclusion of the evaluation phase and includes contract award and an allowance of time during which proponents could request a debriefing. Three proposals were received by PSPC in response to this Request for Proposal. All three proposals met the mandatory requirements and proceeded to the technical evaluation. Two of the three proposals achieved the minimum technical evaluation threshold to be deemed a responsive proposal and proceed to the financial evaluation. The successful bidder was notified of contract award on August 30, 2016 by email. The contract award notice was posted on buyandsell.gc.ca on September 1, 2016. All unsuccessful bidders were advised by email on August 30, 2015 that their proposals were not accepted for contract award and that they were entitled to a debriefing. The FM reviewed communications with the successful and unsuccessful bidders. No fairness deficiencies were observed.

There have been no requests for formal debriefings.

Attestation of assurance

The FM hereby provides the following unqualified assurance statement concerning the Block 3 Construction Management Services procurement process.

It is our professional opinion that the procurement process we observed was carried out in a fair, open and transparent manner.