TRANSMITTAL LETTER FOR BOARD MEETING OF DECEMBER 15, 2016
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Issue purchase order and enter into an agreement with Chapman and Cutler LLP for contract 16-RFP-14 Bond Counsel Services for General Obligation Capital Improvement Bonds Evidenced by Loans from the IEPA, for a five-year period in an amount not to exceed $235,305.00, Account 401-50000-612430, Requisition 1429743
Body
Dear Sir:
Authorization is requested to issue a purchase order and enter into an agreement with Chapman and Cutler LLP for bond counsel services to assist in the financing program with the Illinois Environmental Protection Agency Water Pollution Control Loan Program ("IEPA SRF Loan Program”) related to the financing authorization for a five-year period ending December 31, 2021. Proceeds from the loans will be used to fund the construction, replacement, and remodeling of a variety of District capital improvement projects related to sewage treatment works, water quality improvement projects, or flood control facilities. A portion of the work under this agreement is to prepare the Ordinance requesting authorization from the Board of Commissioners to enter into these loan agreements. The purpose of this contract is to provide the District with bond counsel services related to the District’s financing program with the Illinois Environmental Protection Agency Water Pollution Control Loan Program. The District intends to authorize up to $500 million of general obligation capital improvement bonds representing the loans which will be bonded over the next five years. This work does not relate to a bond sale in the capital market. The Request for Proposal 16-RFP-14 was advertised on August 17, 2016. One hundred twenty-six (126) firms were notified, and thirty-one (31) firms requested proposal documents. Eleven (11) acceptable proposals were received on September 16, 2016.
The RFP process was coordinated through the Director of Procurement and Materials Management. The evaluation committee which reviewed and evaluated the submitted RFP’s consisted of staff from the Treasury, Law, and Procurement and Materials Management Departments. Responses were evaluated according to the criteria defined in the RFP. Firms were ranked based on the numeric score calculated by the evaluation committee.
The committee reached a consensus that four proposers met the technical qualifications portion of the RFP. These firms were interviewed by the committee and requested to submit their best and final offers. A final evaluation matrix, including the interview evaluations and the best and final offers, resulted in an over-all top ranking for Chapman and Cutler LLP. Chapman and Cutler LLP’s top overall ranking was based on a composite evaluation score which was calculated from the committee’s individual evaluations for: understanding of the project, technical competence, approach to the work, financial stability, registration to practice law in the State of Illinois, the interview evaluations, and the cost of services.
Appendix A was not included in this contract because the services do not provide practical or cost-effective opportunities for direct or indirect subcontracting.
Chapman and Cutler LLP is a firm with 232 attorneys and five offices in the United States. Chapman has worked with the District for more than 80 years and in that time has served as bond counsel on many of the District’s bond transactions, including all of the District’s IEPA bonds since the program’s inception. Chapman has acted as bond counsel on over $2 billion of local government bonds or other obligations issued to the IEPA SRF Loan Program for sewer and water system improvements, and as a result possesses a high degree of technical skill in this area of law.
Inasmuch as the firm Chapman and Cutler LLP possesses a high degree of professional skill, it is recommended that the Director of Procurement of Materials Management be authorized to issue a purchase order and enter into an agreement for a five-year period per Section 11.4 of the Purchasing Act, in an amount not to exceed $235,305.00.
Funds are available in account 401-50000-612430.
Requested, Mary Ann Boyle, Treasurer, MAB:st
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 15, 2016