November 19, 1998.

To:Strategic Policies and Priorities Committee

From:City Clerk

Re:Yards Rationalization Study

Recommendation:

The Budget Committee on November 18, 1998 recommended to the Strategic Policies and Priorities Committee and Council that:

(1)the report (November 9, 1998) from the Commissioner of Corporate Services be received as information; and

(2)the Yards Rationalization Study be completed either in or before June, 1999.

The Budget Committee also reports having requested the Commissioner of Corporate Services to report back to the Budget Committee prior to the selection of the consultants for the Yard Rationalization Study.

Background:

The Budget Committee on November 18, 1998, had before it a report (November 9, 1998) from the Commissioner of Corporate Services regarding the Yards Rationalization Study.

City Clerk

Barbara Liddiard/cp

Item No. 9

Attachment

c.Chief Financial Officer and Treasurer

Director of Budgets

Chief Administrative Officer

Commissioner of Corporate Services

Mr. Ron Barry, Team Lead, Facilities and Real Estate Division

(Report dated November 9, 1998 addressed to the

Budget Committee from the

Commissioner of Corporate Services)

Purpose:

The purpose of this report is to advise Budget Committee on the result of the Request for Proposal process for the Yards Rationalization Study.

Source of Funds:

Funding for the study has been previously approved by Budget Committee at their July 28, 1998 meeting.

Recommendation:

That this report be received by Budget Committee for information.

Council Reference:

Budget Committee at its July 28 meeting, in considering the July 12 and July 24 reports from the Commissioner of Corporate Services advised:

"that funding in the amount of $200,000.00 be approved for the Yards

Property Study and staff be requested to proceed with the Request for

Proposals process and the contract not be awarded until such time as the

result of this process are approved by the Budget Committee at its

meeting of September 15, 1998."

Comments:

The Request for Proposal was issued by the Finance Department, Purchasing & Materials Management Division, on October 19 for the Yards Rationalization Study. The scope of work for the Study is to review all of the yard locations for the Works, Parks & Facility Maintenance functions and determine the best locations for them to deliver their services. Studies of the support functions are also to be integrated into the Study. The Study will take a holistic view of yard needs for the operating departments to allow services to be provided in the most efficient and effective manner by utilizing synergies between the operating departments.

More particularly, the Study will include the following main items:

Review existing yard locations;

Provide research, consultation and analysis to recommend yard locations;

Provide options for a recommended final yard arrangement together with staff and vehicle counts;

Prepare a listing of yards that may be surplus and a valuation of same;

Provide an implementation plan to include financial considerations (Capital & Operating costs)

Proposals were received from the following companies:

Arthur Andersen LLP

Cole Sherman & Associates Limited

Delcan Corporation

E. J. Robson Consulting

Egmond Associates Ltd.

IBI Group

Jones Consulting Group Ltd.

Proctor & Redfern Limited

An evaluation team comprised of staff from Finance, Works & Emergency Services, Economic Development & Tourism and Corporate Services Departments reviewed the proposals. The firms of Arthur Anderson LLP, Cole Sherman & Associates Limited and IBI Group were short listed and interviewed. The evaluation team recommends the acceptance of the proposal from Cole Sherman & Associates Limited, being the firm with the highest evaluated score, to carry out the work of the Yards Rationalization Study.

For the information of the Budget Committee, work is underway on a staff review of yard requirements. Staff teams from Works & Emergency Services, Economic Development, Culture & Tourism (Parks Division) and Corporate Services (Facilities & Real Estate Division) are making progress towards finalizing a preliminary review of yards which could be surplus to their needs.

The project team is anticipating bringing a status report on their activities to the December 8 Budget Committee meeting.

Conclusion:

This report requests that the Budget Committee receive this report for information as a response to their previous direction to report on the outcome of the Yards Request for Proposal process.

Contact Name:

Mr. Ron Barry, Team Lead, Facilities & Real Estate Division, Telephone No. (416) 396-4762.