6. COMPARISON OF RATES

The range between the lowest’ and highest unit price for any one item in the Schedule of
Quantities is generally in the order of 20%. However in a few isolated cases the highest unit price
for a particular item exceeds the lowest significantly. In these cases the effect on the total
Contract value is stili for the most part negligible. Hence if the section totals are compared the
range between highest and lowest price remains between 10% and 20% and only in the case of

Section G does the section total variance exceed 20%, to a value of 24%.

- The variation in total tender value between the lowest tenderer and highest tenderer is 13%. The
variation in total tender value between the lowest tenderer and second lowest tenderer is 5%. The
average tender value is $673,259 and the variation between this value and the lowest tender

value is 6%. All these figures indicate competitive tendering and good clustering of the tenderers

around the average tender value.

As B. Cusano Contracting Inc. is not considered a competitive tenderer only the three lowest

tenderers merit further consideration. The comments beiow serve to highlight any unusually high

or low or unbalanced rates submitted by the 3 lowest tenderers.

a) tem A-1 Maple Leaf Construction’s price for Common Excavation is low, nearly 50%
| less than the average tendered price. Their total price is $14,600 and the |
other tenderers prices in the order of $20,000. However Maple Leat's price
is not unreasonable and it is more likely that the other Contractor's have
loaded their price to secure early returns on their work for this itern.

Porter Construction's price for prime coat is high at $0.40/m2. However the
total for this item is very smail compared to the Contract value and this
incongruency should therefore be ignored.

Jack Cewe’s price for milling existing asphalt is high at $7.16/m2. However
this item constitutes a small proportion of the total work for this section

and is therefore not significant.

~3.

ered

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