TRANSMITTAL LETTER FOR BOARD MEETING OF DECEMBER 18, 2014
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Authority to decrease Contract 12-906-21 Rehabilitation of Four Main Sewage Pump Rotating Assemblies at the Stickney Water Reclamation Plant and Racine Avenue Pumping Station, to Midwest Service Center, LLC, in an amount of $117,904.00, from an amount of $526,700.00 to an amount not to exceed $408,796.00, Account 201-50000-645750, Purchase Order 5001357
Body
Dear Sir:
On July 12, 2012, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 12-906-21, Rehabilitation of Four Main Sewage Pump Rotating Assemblies at the Stickney Water Reclamation Plant and Racine Avenue Pumping Station, to Midwest Service Center, LLC, in an amount not to exceed $513,200.00. The contract expired on December 31, 2013.
As of August 19, 2014, the attached list of change orders has been approved. The effect of these change orders resulted in an increase in an amount of $13,500.00 from the original amount awarded of $513,200.00. The current contract value is $526,700.00. The prior approved change orders reflect a 2.6% increase to the original contract value.
The requested decrease in contract value is because Pump No. 3, which was scheduled for rehabilitation under this contract, could not be taken out of service for rehabilitation due to Pump No. 1 being unexpectedly out of service as a result of a motor fire. Pump No. 1 remains out of service and is undergoing repairs, with an anticipated completion date near the end of December 2014. The contract expired subsequent to the removal of Pump No. 1 from service and the vendor refused to extend the contract at existing prices. Therefore, the rehabilitation of Pump No. 3 will be completed under a new contract in 2015.
This change order is in compliance with the Illinois Criminal Code since the change is due to circumstances not reasonably foreseeable at the time the contract was signed, and is in the best interest of the District.
It is hereby recommended that the Board of Commissioners authorize the Director of Procurement and Materials Management to execute a change order to decrease Contract 12-906-21, in an amount of $117,904.00 (22.4% of the current contract value), from an amount of $526,700.00, to an amount not to exceed $408,796.00.
Funds will be restored in Account 201-50000-645750.
Requested, Manju Prakash Sharma, Director of Maintenance & Operations, AQ:SO'C:MAG:TTG:PLM
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management
Respectfully Submitted, Barbara J. McGowan, Chairman Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for December 18, 2014
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