TRANSMITTAL LETTER FOR BOARD MEETING OF SEPTEMBER 20, 2018
COMMITTEE ON PROCUREMENT
Mr. John P. Murray, Acting Executive Director
Title
Authority to decrease purchase order for Contract 06-158-3S Des Plaines Intercepting Sewer Rehabilitation, SSA to Kenny Construction Company in an amount of $109,832.60, from an amount of $13,875,008.17, to an amount not to exceed $13,765,175.57, and to decrease the related five percent change order allowance in an amount of $25,900.84, from an amount of $25,900.84 to an amount not to exceed $0.00, Account 401-50000-645700, Purchase Order 4000012
Body
Dear Sir:
On May 1, 2014, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 06-158-3D Des Plaines Intercepting Sewer Rehabilitation, SSA to Kenny Construction Company in an amount not to exceed $13,260,672.00, plus a five percent allowance for change orders, in an amount of $663,033.60, for a total amount not to exceed $13,923,705.60. Contract work was completed on September 14, 2017.
As of September 7, 2018, the effect of change orders resulted in a decrease in an amount of $22,796.59 from the original amount awarded of $13,923,705.60. The current contract value is $13,900,909.01. The prior approved change orders reflect a 0.16% decrease from the original contract value.
This contract is complete and it is necessary to decrease and close this purchase order. In addition to a reduction in the remaining value of the contract, the remaining balance of the five percent allowance for change orders also must be decreased.
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 $109,832.60 (0.79% of the current contract value), from an amount of $13,875,008.17, to an amount not to exceed $13,765,175.57, and to decrease the remaining five percent change order allowance in an amount of $25,900.84, from an amount of $25,900.84, to an amount not to exceed $0.00.
Funds will be restored to Account 401-50000-645700.
Requested, Catherine A. O’Connor, Director of Engineering, CLG: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 20, 2018
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