TRANSMITTAL LETTER FOR BOARD MEETING OF SEPTEMBER 6, 2018
COMMITTEE ON PROCUREMENT
Mr. John P. Murray, Acting Executive Director
Title
Authority to decrease purchase order for professional engineering services for Contract 14-250-3P, Digester Gas Utilization Facility, Calumet Water Reclamation Plant with Ameresco, Inc. in amount of $1,822,500.00, from an amount of $2,060,000.00, to an amount not to exceed $237,500.00, Account 201-50000-612450, Purchase Order 3087761
Body
Dear Sir:
On November 5, 2015, the Board of Commissioners authorized the Director of Procurement and Materials Management to issue a purchase order and enter into an agreement with Ameresco, Inc., for professional engineering services for Contract 14-250-3P Digester Gas Utilization, Calumet Water Reclamation Plant, in an amount not to exceed $2,060,000.00. The scope of work for this contract included installation of a gas pipeline and connection to Nicor’s natural gas pipeline, but it was later determined that the connection was infeasible. Other options for gas offtake have changed the economics of the project, as awarded.
There are no prior change orders for this contract.
The contract, as awarded, is no longer in the District’s best interest. It is requested that the contract be decreased and closed.
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 the purchase order and amend the agreement in an amount of $1,822,500.00 (88.47% of the current contract value), from an amount of $2,060,000.00, to an amount not to exceed $237,500.00.
Funds will be restored to Account 201-50000-612450.
Requested, Catherine A. O’Connor, Director of Engineering, ECB:JB:AMB
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 September 6, 2018