TRANSMITTAL LETTER FOR BOARD MEETING OF NOVEMBER 15, 2018
COMMITTEE ON PROCUREMENT
Mr. John P. Murray, Acting Executive Director
Title
Authority to increase emergency Contract 18-800-02, Securing, Stabilizing, Demolition, Cleanup and Repair at the Sludge Concentration Building at the Calumet Water Reclamation Plant, with IHC Construction Companies, LLC, in an amount not to exceed $1,360,000.00, from an amount of $50,000.00, to an amount not to exceed $1,410,000.00, Account 901-68000-667220, Purchase Order 5001674
Body
Dear Sir:
On Thursday, August 30, 2018, the roof of the Sludge Concentration Building at the Calumet Water Reclamation Plant partially collapsed. The collapse appears to have occurred as a result of an explosion within the building.
On September 20, 2018, the Board of Commissioners declared an emergency affecting public health and safety, and authorized the Director of Procurement and Materials Management to issue a Purchase Order for debris removal and demolition. Specifically, Contract 18-800-02, with IHC Construction Companies, LLC, (IHC) in an amount not to exceed $50,000.00 to allow IHC to begin work immediately. At the time, the scope of the necessary work was undetermined. To date, IHC’s work has included coordinating and documenting the removal and storage of the building’s structural components, machinery, and equipment.
The reason for the requested change order is to enable IHC to complete its demolition.
There have been no prior change orders to the contract.
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 emergency Contract 18-800-02 in an amount of $1,360,000.00 (2,720% of the current contract value) from an amount of $50,000.00 to an amount not to exceed $1,410,000.00.
Funds are available in Account 901-68000-667220.
Requested, Brian A. Perkovich, Acting Director of Maintenance and Operations, SO'C:MAG:JR:JMC:WB
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 November 15, 2018