TRANSMITTAL LETTER FOR BOARD MEETING OF OCTOBER 15, 2015
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Authority to increase Contract 04-128-3P Westside Primary Settling Tanks 1-9 and Aerated Grit Facility, Stickney Water Reclamation Plant, to IHC Construction and F.H. Paschen/S.N. Nielsen Joint Venture in an amount of $1,147,500.00 from an amount of $225,054,715.00 to an amount not to exceed $226,202,215.00, Accounts 401-50000-645650, 401-50000-645780, 401-50000-645680, Purchase Order 4000020
Body
Dear Sir:
On December 4, 2014, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 04-128-3P Westside Primary Settling Tanks 1-9 and Aerated Grit Facility, Stickney Water Reclamation Plant, to IHC Construction and F.H. Paschen/S.N. Nielsen Joint Venture, in an amount not to exceed $224,760,000.00 plus a five (5) percent allowance for change orders in an amount of $11,238,000.00, for a total amount not to exceed $235,998,000.00. The scheduled contract completion date is April 6, 2018.
As of October 2, 2015, the effect of change orders resulted in a net increase in the amount of $294,715.00 from the original amount awarded of $224,760,000.00. The current contract value is $225,054,715.00. The prior approved change orders reflect a 0.13% increase to the original contract value.
An extra in an amount not to exceed $1,147,500.00 to increase the quantity of Unit Price Item L, for steel H piles required to support the facility, by 15,300 Lineal Feet (LF), from a quantity of 4,000 LF to a total quantity not to exceed 19,300 LF. This change is necessary due to extremely poor soil conditions encountered at the project site. It was brought to the District's attention by the contractor during initial test pile driving and load testing that the pile capacity at a tip depth of elevation -32.0 CCD, which was estimated to be the adequate depth in the contract documents, would not be sufficient in all areas of the work to maintain the required 90 kip bearing capacity, and that some piles would need to be longer. The contract had anticipated that some additional length may be needed, and included Unit Price Item L in an amount of 4000 LF, to account for the extra length that may be required. However, at the time of bid, the true quantity was unknown. It has been determined that the 4000 LF allowed per the contract documents will not be enough provide for sufficient development of bearing capacity in each of the piles, and therefore extended pile lengths will be needed. The District has estimated the total amount of additional length required to be 15,300 LF and that the amount of the extra shall be tracked on a unit price basis. The contractor will only be paid for the actual quantity of additional pile length utilized. The contractor agreed in his cost proposal (CCO-029) to do the required work at the same unit price as provided for in the original contract, in an amount of $75.00/LF of additional pile length, for an amount not to exceed $1,147,500.00. The engineer reviewed the proposal, found it to be reasonable, and stated via correspondence 694, that the Engineering Department would recommend its approval.
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 increase Contract 04-128-3P in an amount of $1,147,500.00 (0.49% of the current contract value) from an amount of $225,054,715.00, to an amount not to exceed $226,202,215.00.
Funds are available in Account 401-50000-645650.
Requested, Catherine A. O’Connor, Director of Engineering, MVL:ECB
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 October 15, 2015
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