PUBLIC SERVICES & PROCUREMENT CANADA CENTRE BLOCK REHABILITATION ARCHITECTURAL & ENGINEERING SERVICES FAIRNESS MONITOR FINAL REPORT Project: Centre Block Rehabilitation - Architectural & Engineering Services Date of submission: May 18, 2017 Submitted to: Director, Fairness Monitoring Submitted by: PPI Consulting Limited 275 Slater Street 20th floor Ottawa ON K1P 5H9 613-237-9331 www.ppiconsultinglimited.com Ottawa | Toronto | Atlantic Canada Table of Contents 1 Introduction .......................................................................................................................................... 3 2 Attestation of assurance ....................................................................................................................... 4 3 Project requirement .............................................................................................................................. 5 4 FM engagement and observations ....................................................................................................... 6 5 Request for Information process .......................................................................................................... 7 6 Request for qualification process ......................................................................................................... 7 6.1 Activity monitored ............................................................................................................................ 7 6.1.1 Documents reviewed .................................................................................................................... 7 6.1.2 RFQ bid open period ..................................................................................................................... 7 6.1.3 RFQ written response evaluation ................................................................................................. 8 6.1.4 RFQ presentation & case scenario evaluation .............................................................................. 8 6.2 Result of RFQ process ..................................................................................................................... 10 6.3 RFQ FM specialist observations ...................................................................................................... 10 7 Request for proposals process ............................................................................................................ 11 7.1 Activity monitored .......................................................................................................................... 11 7.1.1 Documents reviewed .................................................................................................................. 11 7.1.2 Site visit ....................................................................................................................................... 11 7.1.3 Commercially confidential meetings .......................................................................................... 11 7.1.4 RFP bid open period .................................................................................................................... 11 7.1.5 RFP written proposal evaluation ................................................................................................. 12 7.1.6 Request for proposals case scenario/presentation evaluation .................................................. 13 7.1.7 Request for proposals price evaluation ...................................................................................... 13 7.1.8 FM observations of the RFP process ........................................................................................... 14 8 Reference documents ......................................................................................................................... 16 2 1 Introduction PPI Consulting Limited (PPI) was engaged as a Fairness Monitor (FM) on March 9, 2015 to observe the procurement process related to the Centre Block Rehabilitation initiative. This report relates to the request for qualification (RFQ) and subsequent request for proposals (RFP) for Architectural and Engineering (A&E) Services for the Centre Block Rehabilitation initiative. The RFQ was issued by Public Services and Procurement Canada (PSPC) as Solicitation # EP748- 151887/C, dated July 10, 2015. The RFP was subsequently issued by PSPC on September 7, 2016 to the three respondents who were qualified by the RFQ process (qualified Proponents). PPI Consulting Limited is an independent third party with respect to this activity. We reviewed all of the information provided and observed all relevant activities. We hereby submit our final report covering the activities of the Fairness Monitor up to the conclusion of the RFP evaluation process. This report includes our attestation of assurance, a summary of the scope and objectives of our assignment, and relevant observations from the activities undertaken up to the contract award date. 3 2 Attestation of assurance It is our professional opinion that the procurement process for Architectural and Engineering Services for the Centre Block Rehabilitation Project, that we observed, was carried out in a fair, open and transparent manner. Original signed by John Davis, CEO, PPI Consulting Limited Original signed by Ian Brennan, CSCMP, FM Team Leader Original signed by Mairi Curran, FM Specialist 4 3 Project requirement PSPC conducted a multi-phase procurement process for the Centre Block Rehabilitation project located at 111 Wellington Street, Ottawa, Ontario. The Centre Block Rehabilitation initiative is a complex, multi- faceted project comprising a series of sub-projects, all of which are interconnected and dependent upon each other. The principle focus involves one of the most prestigious federal buildings and sites in Canada, the Centre Block (CB) building. This building forms part of the Parliament Buildings National Historic Site of Canada and has been designated a classified heritage building that requires significant rehabilitation and conservation. The Centre Block is the core building within the Parliament Hill complex, occupying a central position between the East Block, the West Block, the Library of Parliament and the emerging Visitor Welcome Centre. It is at the very heart of Canada's political and cultural landscape and contains many overlapping identities including as a place of governance, a forum for public engagement, a place of pilgrimage, a setting for national rituals and celebrations, and as a monument to Canadian achievements and sacrifices. At almost a 100 years old, both the Centre Block and adjoining Peace Tower require significant rehabilitation in the very near-term as many of its major systems and components will be at risk of critical failure by 2019, with total failure predicted by 2025. The need for a modern Parliament within fully rehabilitated historic buildings and new infrastructure supporting the 21st century operations and security of the Senate of Canada (Senate), the House of Commons of Canada (HoC), and the Library of Parliament (LoP) was recognized. The procurement process would select a consulting firm to provide Architectural and Engineering (A&E) services. The anticipated the scope of work may include but is not limited to the following elements (to the extent possible given the building's heritage designation): • restoration of the building envelope, including selective security mitigation measures; • seismic upgrade; • excavation of the basement subject to viability and cost benefit; • new mechanical, electrical, and vertical transportation systems; • new information technology, multimedia and security systems; • parliamentary office suites and broadcast capable committee rooms; • adjustment to allow additional seating to the Senate Chamber and the House of Commons Chamber; • complete fit-up of the building, including special purpose space; • restoration of designated heritage spaces; • specialized art handling for the removal, storage and return of heritage assets and the main collection of the Library of Parliament; 5 • conservation of fixed and moveable heritage assets; and • significant conservation of exterior and interior masonry, wood, plaster, paint, art glass, fabric and metals. 4 FM engagement and observations PPI Consulting Limited was engaged as a FM to observe the procurement process related to PSPC’s selection of A&E Services for the Centre Block Rehabilitation project 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 draft documents, observed activities up to the end of the request for proposal phase, identified fairness- related matters to the contracting authority and ensured that responses and actions were reasonable and appropriate. The following is a summary of the FM’s activities over the course of the engagement and related observations. 6 5 Request for Information process A Letter of Interest (LOI) was published on buyandsell.gc.ca on March 2, 2015 with a closing date of March 18, 2015. Subsequent to the issuance of the LOI, meetings were held with the Association of Consulting Engineering Companies (ACEC) on March 12, 2015 and with the Canadian Construction Association (CCA) on March 16, 2015. PSPC provided a combined response on May 6, 2015, to entities who had provided feedback to the LOI with respect to the proposed approach for the Centre Block project.