city of summerside

City of Summerside

REQUEST FOR PROPOSALS

Water Tower Refurbishment

March 2018

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Request for ProposalsCity of Summerside

Water Tower Refurbishment

1. Introduction ....................................................................................................................................3

2. Background....................................................................................................................................3

3. Scope of the Work: ........................................................................................................................5

3.1. Qualifications and Experience.................................................................................................9

4. Fees...............................................................................................................................................9

5. Submission Requirements ...........................................................................................................10

5.1. Pre-Proposal Questions ........................................................................................................10

5.2. Addenda ................................................................................................................................10

5.3. Proposal Submission:............................................................................................................10

6. Criteria for Proposal Evaluation ...................................................................................................11

7. General Terms and Conditions ....................................................................................................12

7.1. Governing Law.......................................................................................................................12

7.2. Awarding Options...................................................................................................................12

7.3. Sub-Contracting.....................................................................................................................13

7.4. Disclosure / Confidentiality.....................................................................................................13

7.5. Final Agreement ....................................................................................................................13

7.6. Bonding/ Work Security .........................................................................................................13

8. Insurance .....................................................................................................................................14

Appendix 1..........................................................................................................................................17

Appendix 2..........................................................................................................................................20

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1. IntroductionThe City of Summerside will receive, until 12:59:59 pm local time April 10, 2018, proposals to carryout, on the City’s behalf, work related to the City’s Water Tower Refurbishment. This work will consistof removal of interior coating and design of and installation of new interior lining of tank, design andinstallation of new cathodic protection system, design and installation of new passive mixing systemfor the tank and cleaning the exterior of both water towers in the City.

Work under consideration for this project includes the removal of all the existing liner and any otherobjects that may impede the process of installing the new liner. Do any welding or grinding repairsnecessary for the new liner application.

With the removal of the existing cathodic protection system to install a new liner a new cathodicsystem will be required to be installed as part of the project. The City wants the new system to be apassive sacrificial anode cathodic protection system (i.e. zinc or magnesium anodes).

The City wants a passive hydrodynamic mixing system installed as part of the project. This systemneeds to be designed to have complete mixing of the tank with no mechanical or electrical parts.

2. BackgroundThe City of Summerside had this Pope Road water tower built in 2004 and it was brought onlineshortly after. Recent 2016 video showed that the interior liner has started to deteriorate to the point ofneeding to be replaced. This delamination is troubling to the owner and therefore would like theproponent to take time and understand the problem and ensure it does not repeat itself. The watertower is approximately 120 feet in height and approximately 42 feet in diameter. Attached are asbuiltdrawings of the tank (Appendix #2).

The City has two water towers and eleven wells connected to our clients. The two water towers areconnected through a series of approximately 135 kilometers of water distribution mains to the wells.The City‘s goal is to empty the Pope Road water tower in early summer to have this work completedand the tank back in operation prior to fall (approximately 4 months).

The City’s water system consists of one existing well field Wilmot, with five wells, one wellfield underconstruction Linkletter, with three wells and 6 individual wells spread throughout the City. The wellsfeed the distribution system and our customers and also feed our two water towers for equalizationstorage, fire storage and emergency storage.

A plan of the water utilities wellfields, wells, and water towers are presented in the following figure.

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3. Scope of the Work:PROJECT REQUIREMENTS:A description of each of the project requirements follows:

Tower relining – Pope Road Water Tower

The Pope Road water tower is experiencing severe stripping of its interior coating. Thiswas evident when the City hired Huntley Sub Aqua to do an ROV inspection in 2016.The video is available for your perusal for a better understanding of the interior of thewater tower if required. Please email [email protected] to beprovided a link. The construction asbuilts of the tower are attached to the document(Appendix #2). The City requires the contractor to completely strip the inside of thewater tower, remove any items (example, cathodic protection, etc) in the way of reliningand to repair any damage that has occurred since the inception of the tower. All itemsremoved for the lining will have to be replaced as part of this work. Any repairs thatrequire welding or grinding will be done on an hourly basis as provided in the bid. TheCity wants the contractor to specify out a coating that is a high-build conventional epoxylining that will hopefully resist any future deterioration. The work performed under thisRFP includes furnishing all labour, materials, tools, and equipment necessary to inspectand perform all required repair work on the Pope Road water tower at Summerside. Thework will also include mobilization, demobilization, removal and proper disposal of alldebris, erecting any temporary structures, such as scaffolding, and any other incidentalsrequired during the project. The proponent will be responsible for disinfecting the tank tothe current AWWA standard C652 so when the project is complete the City can bring itback on line.

All tank painting and paint testing shall be in accordance with AWWA D102, the SteelStructures Painting Council Specification SSPC-PA1, and approved paint manufacturerspecifications. No bare metal is to be left after sandblasting for a period of 12 hours orlonger without primer being applied. Additional sandblasting may be required ifinspector determines it is needed. No paint shall be applied when the temperature of thesurface to be painted is below the minimum temperature specified by the paintmanufacturer, or less than 3 degrees Celsius above the dew point temperature. Paintshall not be applied to wet or damp surfaces or when the relative humidity exceeds 80%unless allowed by the manufacturer’s data sheets. Follow manufacturer’srecommendations for the specific paint system used. Protect all adjacent work,vehicular traffic, property and persons from damage, i.e., over spray, overblast, andspillage. Should damage occur, make provisions for repair of damage in a timelymanner. Properly store and handle materials according to manufacturer’s requirementsand in compliance with applicable government regulations. Contractor to provide dailysite cleanup. Prior to surface preparation for coating, visible deposits of oil, grease, orother contaminants shall be removed in accordance with SSPC-SP1 or other methodsapproved by the engineer. Prior to abrasive blast cleaning, surface imperfections such

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as sharp fins, sharp edges, weld spatter, or burning slag shall be removed from thesurface. Sharp corners and edges shall be ground to a smooth round edge with a radiusof 1.5mm-2.0mm. Abraded or otherwise damaged areas of existing paint shall berepaired using comparable materials and procedures as approved by the Engineer.Abrasive blast clean to Sa2.5 (ISO 8501-1:2007) or SSPC-SP10. If oxidation hasoccurred between blasting and application, the surface should be reblasted to thespecified visual standard. Surface defects revealed by the blast cleaning process,should be ground, filled, or treated in the appropriate manner. A sharp and singularsurface profile of 3-5 mils is required. Prior to coating, dust and loose residues shall beremoved from prepared surfaces by blowing off with clean, dry air; vacuum cleaning; orother methods approved by the engineer.

The Proponent’s welding inspector shall either be currently certified to CSA W178.2 orAWS QC1 or shall be suitably trained and experienced, to the satisfaction of theEngineer, to ensure that adequate competency exists for the inspection tasks to beperformed. Complete all welding repairs in accordance with CSA W59 “Welded SteelConstruction (Metal Arc Welding)”.Apply an engineer approved high-build conventional epoxy lining to all welds, chimes,and seam areas; small fitments of difficult configuration; and areas of pitting by brush.Alternates may be submitted to the Engineer for Approval with supportingdocumentation. Stripe coat shall be applied at a dry film thickness of 5 mils. Afterachieving the specified surface preparation and prior to coating application interiorwetted surfaces must be confirmed free from surface contaminants. Immediately afterblasting and before any rusting occurs (within 12 hours max.) apply one (1) engineerapproved high-build conventional epoxy lining. Alternates may be submitted to theEngineer for Approval with supporting documentation. Dry film thickness to be aminimum of 20 mils.

Exterior Tower Cleaning – Pope Road and Central Street Water Towers

The two water towers need to have the exterior of the tanks cleaned. The pictures withinshow the degree of the cleaning required (Appendix #1). The cleaning of the exterior ofthe tanks will be costed on lump sum basis per each tank. The extent of the cleaningwill be to remove all mold that has accumulated over the past 10 plus years(approximately 30 feet). A method by the contractor will have to be used to remove themold but not affect the paint or the signage on the towers. If damage occurs to the paintor signage the contractor will be responsible for fixing and incur any costs associatedwith the fix.

Tank Mixing – Pope Road Water Tower

The Pope Road water tower requires a new passive mixing system to be designed andinstalled as part of the project. The existing pipe configuration asbuilt is attached(Appendix #2). The City wants the successful proponent to design a passive mixing

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systems that has the ability to eliminate short circuiting, ensuring complete turnover ofwater, ensuring the contents in the tank remain in a completely mixed state and ensuresno dead zones in the tank. The mixing system is to move the water enough to preventice plugging from occurring in the tower. Design, manufacture, install, and commission ahydrodynamic (passive) mixing system for the Pope Road Water Tower. Supply ShopDrawings, Supply four (4) sets of Operation and Maintenance manuals for the mixingsystem.Optimize the mixing characteristics of the tank based on the operating data and CFD(Computational Fluid Dynamics) Model Assumptions, Requirements and Cases.Distribute influent during fill cycles via turbulent jets and circulation patterns that willmaximize mixing efficiency while minimizing system head loss. Minimize stratificationand short circuiting in all seasonal conditions. The mixing system shall consist of piping,inlet and outlet check valves and all required pipe supports and brackets. The mixingsystem shall function automatically based on normal tank operation filling and drawdown cycles. No mechanical pumps, blowers or similar equipment shall be used.

The proposed mixing system design shall be based on analysis specific to the tankgeometry, operational data, assumptions and cases under consideration. An analysisbased on generic conditions will not be accepted. Provide a summary of the analysisand design for the proposed mixing system. Include Water Tank geometry, operationaldata and model parameters and assumptions. Analysis results shall include graphicaland tabular presentation of mixing time and head loss. The analysis and designrequirements of this section are based on CFD analysis and are minimum requirements.

Structural design of piping, supports and ancillary items shall comply with AISC.Structural analysis shall consider the effects under maximum flow conditions.

Cathodic Protection System

Install a new cathodic protection system to replace the existing one that will be removedwhen cleaning and blasting the interior of the Water Tower. The new cathodic systemwill have to be installed in conjunction with the new coating being applied. The existingsystem that was installed when the tank was constructed is a Corrpro Canada IncSystem. The parts list and the asbuilts are attached for the tanks original system(Appendix #2). The new system to be installed is to be a passive sacrificial anodecathodic protection system (i.e. zinc or magnesium anodes). Contractor shall supply allmaterials, equipment and labour necessary for the complete installation of a passivecathodic protection system, including sacrificial anode protection, with the control boxlocated in the valve building. All costs associated with the work shall be included in theprice for item Cathodic Protection System as indicated in the Bid Form. References forthis work are ASTM International, ASTM B418, Standard Specification for Cast andWrought Galvanic Zinc Anodes, National Electrical Manufacturers Association: NEMA250, Enclosures for Electrical Equipment (1000 Volts Maximum).

The City wants all data for anodes and test panels, design calculations and all shopdrawings that will indicate wiring diagrams, orientation of cathodic protection system

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and submit calculation supporting system design. Project documents to accuratelyrecord actual locations of anodes and test panels and operation and maintenance datato include periodic test procedures.

The company specializing in performing this work should have a minimum of threeyears of documented experience, and be approved by the manufacturer and acceptedby the Engineer. The system has to bear the stamp of a professional engineerexperienced in this type of design and licensed to practise in the Province of PEI.Designers work shall be performed by designers certified by the National Association ofCorrosion Engineers.

This design, supply, and installation of a Galvanic Sacrificial Anode System which shallbe NSF 61 approved and have a 10 year design life. Anodes shall be placed belowwater line to prevent damage during colder temperatures and freezing and provide fullcathodic protection to the entire tank steel surface. The cathodic protection system shallinclude Sacrificial Anode Test Station. The Sacrificial Anode Test Station shall beinstalled in the valve chamber hut and include all conduit, wires, and components forthis installation. The Sacrificial Anode Test Station shall be in a NEMA 4 enclosure andmounted to a panel board located in valve chamber hut. Install location in the hut will bedetermined on site with the City Engineer.

The end goal is to provide bonding of the cathodic protection to the steel water storagetank to ensure that the protected components are electrically continuous. Connect thesystem to metal tanks by welding the system to the tank surface. All connections to thetank are to be completed prior to corrosion protective coatings being applied.

If the proponent wants to propose reusing some of the original cathodic protectionsystem the City will entertain the option depending on the costs savings. If they aregoing to reuse some of the cathodic protection system there is a separate line item forthis combination bidding.

WASTE MANAGEMENT

Remove and dispose of, in a legal manner, all rubbish or other unsightly materialleaving the premises in pre-project condition. Place materials defined as hazardous ortoxic waste in designated containers. Containment as required shall be in accordancewith SSPC-Guide 6 (CON), Guide for Containing Debris Generated during PaintRemoval Operations. Disposal as required shall be in accordance with SSPC-Guide 7(DIS), Guide for the Disposal of Lead-Contaminated Surface Preparation debris. Do notdispose of paints or solvents by pouring on ground. Place in designated containers forproper disposal. The contractor shall be responsible for containing all paint and debrisassociated with all phases of operations to the site and comply with the Nova ScotiaGuidelines for the Application and Removal of Structural Steel Protective Coatings forthe containment, removal, testing, and disposal of all site-generated debris.

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3.1. Qualifications and Experience

Consultants/Contractors shall be qualified and have experience in projects of this scopeand complexity.Consultants/Contractors shall have:

• Technical knowledge;• Experience on similar projects;• Proven performance;• Availability of dedicated personnel and equipment for the duration of the project;• Location and/or local knowledge;• Managerial ability.• Statement of experience is required for all involved with the project• List the three most recent similar contracts• All subcontractors to be listed with their relevant experience

4. Fees

Provide full information concerning fees for Services.

Fees shall be based on a firm fixed lump sum fee for aspects of the work. The firmfixed lump sum fee shall cover all expenses related to the performance of this work,which would include but may not be limited to professional and clerical services, design,drawings, hardware, programming, installation, labour, equipment, materials,communications and commissioning of each of the items below;

- Interior Tower Relining Pope Road $____________

- Exterior Tower Cleaning Pope Road $____________

- Exterior Tower Cleaning Central Street $____________

- Tank Mixing Pope Road $____________

- Cathodic Protection System (completely new) $____________

- Cathodic Protection System (new and used parts) $____________

- Hourly grinding (100 units) $____________

- Hourly welding (100 units) $____________

Subtotal $____________

HST $____________

Total $____________

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5. Submission RequirementsProposals will not be accepted after the final closing date and time of 12:59:59 pm localtime on April 10, 2018. Proponents may not make modifications to their proposals afterthe closing date and time. The City of Summerside will not be obligated in any way bythe Proponent's response to the Request for Proposal. The City reserves the right toaccept or reject any and all proposals, in whole or in part, received as a result of atender request, and to negotiate in any manner necessary to best serve the interest ofthe City of Summerside. The Proponent's proposal and all supporting documents willremain with the City and will not be returned. Proponent costs related to preparing andissuing the RFP response are entirely the responsibility of the Proponent. All suchdocumentation may be reproduced by the City, provided that such reproduction is madesolely for internal use or for any purpose required by law.

5.1. Pre-Proposal Questions

In the event of questions, Consultants/Contractors are to submit written questions to theattention of Mr. Tony Gallant. Questions are to be submitted by email [email protected]. All written questions and their written responsewill be directed to the originator of the question. If the City, at its discretion, determinesthis information is pertinent to other proponents, it will email the questions and answersto each registered proponent. Questions, request for clarification or correction must bereceived by the City within 2 days of the closing of the RFP

5.2. AddendaAny addenda and/or any additional information will be emailed by the City ofSummerside to all registered proponents. Bidders are responsible for ensuring theiremail address is registered with the City, this is to be done when picking up the Requestfor Proposal. Registration will be handled by Sandra Corkum (email;[email protected]). The City is not responsible for ensuringbidders have obtained addenda.

5.3. Proposal Submission:

Proposals shall be concise and include the following information

1. Your firms proposal can be submitted in a sealed envelope clearly marked to identifycontents and addressed to Mr. Roger Ahern, Purchasing Officer, City Hall, 1stFloor, 275 Fitzroy St., Summerside, PEI, C1N 1H9;

2. Tenders may also be submitted be facsimile and email. The facsimile (FaxNumber (902) 436-3191) and the email address [email protected]

3. Tenders may be amended or withdrawn by post or facsimile (Fax Number (902)436-3191) or email.( [email protected])

4. Consultants/Contractors are requested to identify the members of their project teamand the level of hourly effort for each member;

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5. Consultants/Contractors are requested to submit, a statement of the firm fixedlump sum fees for the Consulting/Contractors service including the breakdown ofthe lump sum fees and expenses as outlined in the fee section of this document.

6. Consultants/Contractors are requested to submit a schedule for the entireassignment.

7. Consultants/Contractors that hand deliver their proposals to the tender box on thefirst floor of City Hall, 1st Floor, 275 Fitzroy St., Summerside, PEI, C1N 1H9, willhave our Financial Services staff will take the document, time stamp it and deposit intender box prior to the date and time of closing.

6. Criteria for Proposal Evaluation

Technical and non-technical individuals may evaluate proposal submissions.

Proposals will be evaluated based on the following Criteria for Proposal Evaluation.

Technical Proposal Evaluation (25 Points)

• Qualifications of personnel assigned to project (scoring/15);

• Experience on similar projects (scoring/10).

Management of the Work (10 points).

• Schedule of project (scoring/10);

Technical Solution Evaluation (20 points).

• Methodology of problem and solution (scoring/20);

Only proponents whose proposals have achieved a score of 40/55 or higher on theTechnical Evaluation will have their financial proposal evaluated. If a proposal does notmeet the 40/55 requirement, it will no longer be evaluated or considered.

Financial Proposal Evaluation

Service Fees (45 points).

• Fees will only be evaluated following completion of the Technical Evaluation;

• Points shall be awarded on the following basis;

45 points for the Lowest Proposed Fee

42 points for all Proposed Fees < or = 110% of the Lowest Proposed Fee

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3 point for all Proposed Fees < or = 200% of the Lowest Proposed Fee

0 points for all Proposed Fees more than twice the Lowest Proposed Fee

The Proposal with the highest points score (i.e. Technical Proposal + FinancialProposal) will be considered the preferred proposal.

7. General Terms and Conditions

7.1. Governing LawFederal and Provincial laws shall govern the interpretation and performance of anyagreement with the City of Summerside regarding this project. Any action brought toenforce any provision of an agreement shall be brought in the appropriate courts of theProvince of Prince Edward Island. The parties understand and expressly agree that anyclaims, demands, or actions asserted against the City of Summerside, its agents andemployees shall be brought only in the court system of the Province of Prince EdwardIsland.

7.2. Awarding OptionsThis RFP creates no obligation on the part of the City of Summerside to award thecontract or to reimburse proponents for proposal preparation expenses. The City ofSummerside reserves the right to accept or reject any and all proposals, in whole or inpart, received as a result of this request, and to negotiate in any manner necessary tobest serve the interest of the project.

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At the election of the City, whether or not a bid or bidder otherwise satisfies therequirements of a tender, the City may reject summarily any bid received from acorporation or other person which has been anywise involved in litigation, arbitration oralternative dispute resolution with the City within the five (5) year period immediatelypreceding the date on which the request for tender was published.

The City’s evaluation may include information provided by the proponent’s referencesand may also consider the proponent’s past performance on previous contracts with theCity or other institutions.

The City may prohibit a supplier from participating in a procurement process based onpast performance or based on inappropriate conduct in a prior procurement process,and such inappropriate conduct shall include but not be limited to the following: (a) thesubmission of quotations containing misrepresentations or any other inaccurate,misleading or incomplete information; (b) the refusal of the supplier to honour its pricingor other commitments made in its proposal; or (c) any other conduct, situation orcircumstance, as solely determined by the City.

7.3. Sub-ContractingThe proponent must document any intent to use another proponent(s) or privateindividual(s) as subcontractor(s) for any part or whole of the services they offer underthis agreement. The City reserves the right to approve or reject any subcontracting agentor reject proposals based on the use of subcontracted work if not in the best interest ofthe project. The proposal should document the justification for using the services ofprofessionals other than those of the lead contractor.

7.4. Disclosure / ConfidentialityThe City and submitting proponents will make every effort to maintain confidentialityrelevant to submitted proposals and information provided for in this Solicitation process.News releases by a proponent pertaining to this RFP or any portion of the project shallnot be made without prior written approval from the City of Summerside. Violation of thisrequirement is deemed to be a valid reason for disqualification of the proponent. Theproponent will also not initiate any publicity relating to this acquisition process before theselection decisions are final.

7.5. Final AgreementThis Solicitation does not contain all terms and conditions necessary for conductingbusiness with the City of Summerside. The City reserves the right to cancel theresultant contract based upon performance.

7.6. Bonding/ Work SecurityThe City requires the successful proponent to provide a certified cheque or performancebond for 10% of the total submitted bid to be held until one year maintenance period isobtained.

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8. Insurance

Prior to the signing of this Agreement, and on each anniversary date thereof and onthe anniversary date of the insurance policy if different from the anniversary of thebeginning construction of the Project(s) until the Agreement has been fulfilled, theUltimate Recipient shall provide evidence sufficient to the Project ReviewCommittee of Commercial General Liability Insurance in the minimum amountshown, with the specifics as outlined in Section6.2:

(a) For Projects with total Eligible Costs of less than Five HundredThousand($500,000.00) Dollars, a limit of Two Million ($2,000,000.00) Dollars;or

(b) For Projects with total Eligible Costs of Five Hundred Thousand ($500,000.00)Dollars or more, a limit of Five Million ($5,000,000.00) Dollars.

The Ultimate Recipient shall provide and maintain the following insurance policiesin force during this Agreement. All policies shall be issued by insurers maintaining aminimum A.M. Best “A-” rating licensed to carry on business in Canada and shall besubject to approval by the Province, acting reasonably.

a) Commercial General Liability insurance with an insured limit as shown inParagraph 6.1 (a) or 6.1 (b) for the limit of not less than the amount shown on aper occurrence basis covering bodily injury, death and damage to property,including loss of use, and not less than the same limit required in 6.1(a) or 6.1(b) per occurrence and in the annual aggregate for products liability andcompleted operations. All coverages as noted below shall be included but notlimited to the Commercial General Liability coverage:

i. premises, property and operations liability;ii. products liability and completed operations;iii. blanket contractual liability;iv. contingent employers’ liability;v. personal injury liability;vi. non-owned licensed motor vehicle (automobile) liability;vii. sudden and accidental pollution liability;viii. water craft coverage (if applicable); andix. fire fighting expense liability.

This insurance shall be in the name of the Ultimate Recipient, and name theProvince and their respective Ministers, elected and appointed officials, officers,employees and agents, as an additional named insured to the extent of the UltimateRecipient’s legal liability for claims for property damage, bodily injury, includingdeath and personal injury, arising from the operations of the Ultimate Recipient, itsemployees, agents and contractors, and shall include both cross liability andseverability of interest clauses;

b) If the Project consists of or involves in any way work or a professional nature,

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such as engineering, engineering design, construction management,architectural work or any other professional service identified, then Professional(Errors & Omissions) Liability Insurance with an insured limit of not less thantwo million dollars ($2,000,000.00) per claim and in the annual aggregatecovering legal liability for economic losses arising from the performance of workprovided under this Agreement shall be secured. The policy will be maintainedfor a period of not less than six (6) years following the expiration or earlytermination of this Agreement if required by the type of work performed in theopinion of the Project Review Committee;

c) Automobile liability insurance in respect to owned or leased licensed motorvehicles with an insured limit of not less than two million dollars ($2,000,000.00)per accident covering bodily injury, death and damage to property includingloss of use thereof;

d) If the Project consists of or involves in any way work in or on boats or marinecraft of any type, whether powered or not powered, or if the Project involvesany use of aircraft, then the Ultimate Recipient shall provide evidence of suchinsurance particulars and amount and with an insurer all as required by theProvince designed specifically for marine and water exposures or those relatedto airports or aviation. Said requirements shall be no less in terms of overalllimits, based on the size of the contracts. The Province specifically reserves theright to modify this paragraph should such work be contracted and prior to thestart of any work under the agreement.

In addition to the insurance requirements contained in paragraphs 6.1 and 6.2herein, the Ultimate Recipient shall also provide evidence sufficient to the Provinceof the following insurance, as in the opinion of the Project Review Committee isapplicable to the Project(s), and which evidence shall be provided by the UltimateRecipient prior to the signing of this Agreement, and on each anniversary datethereof until the Agreement has been fulfilled:

a) If the Project consists of a renovation to an existing building or structure, thenthe Ultimate Recipient shall provide evidence of Course of ConstructionProperty Insurance, that is all risk, replacement cost blanket limit, with anagreed amount endorsement and includes boiler and machinery coveragewhere applicable in the opinion of the Project Review Committee. Said coveragewill include completed operations coverage for 24 months after completion tothe full value of the building or structure as required by the Project ReviewCommittee. Coverage for explosion, collapse and underground exposure shallbe included along with loss of use.

b) If the Project consists of construction of a new building or structure, then theUltimate Recipient shall provide evidence of Course of Construction PropertyInsurance, that is all risk, replacement cost blanket limit, with an agreed amountendorsement and includes boiler and machinery coverage where applicable in

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the opinion of the Project Review Committee. Said coverage will includecompeted operations coverage for 24 months after completion to the full valueof the building or structure as required by the Project Review Committee.

In all insurance policies required under paragraphs 6.1, 6.2 and 6.3 herein:a) There shall be an endorsement stating that the insurer will provide 30 days’

notice to the Province’s Risk Manager (or the acting or assistant) ofcancellation or material change in coverage;

b) The insurer shall acknowledge that the policy is primary and any otherinsurance policies that may be in effect or any other sources of recovery theincluding the Government of Prince Edward Island’s Self Insurance and RiskManagement Fund shall not contribute in any way to any judgments, awards,payments, or cost or expenses of any kind whatsoever made as a result ofactual or alleged claims. The Ultimate Recipient shall provide the Province withcurrent certificates of insurance, in a form and content reasonably acceptable tothe province, evidencing the required insurance policies hereunder within ten(10) days of the Effective Date and on each renewal of the insurance policiesthereafter. Umbrella insurance may be used to achieve the required insuredlimits above.

If the Ultimate Recipient fails to maintain the required insurance described herein,the Province may, but has no obligation to, pay the premium therefore and obtainreimbursement from the Ultimate Recipient. The Ultimate Recipient’s requiredinsurance shall be primary except to the extent of claims arising from thenegligence.

Nothing in this Section 6 shall be construed to limit the liability of any insurer of anyinsurance required under Section 6. For further clarification, Ultimate Recipient shallwaive any limitation of rights of recovery where an insurer of any policy listed inSection 6 is responding, is expected, or is waiting to respond to a claim and theinsurer shall not be limited in its liability by reason of this section 6, except to thelimit established.

The Contractor shall require and ensure that each subcontractor maintain at leastthe equivalent liability insurance coverage as above and be willing to show proof ofthis coverage.

The successful proponent is expected to assess the environmental damageexposures for the City and provide solutions to minimize these risks.

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Appendix 1

Pope Road

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Central Street

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Appendix 2

city of summerside

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