TRANSMITTAL LETTER FOR BOARD MEETING OF JULY 11, 2013
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Authorization to Declare Forfeiture of Contract 05-147-2M, HVAC Improvements at SWRP, Path Construction Company, Inc.
Body
Dear Sir:
On August 6, 2009, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 05-147-2M, HVAC Improvements at SWRP, to Path Construction Company, Inc. (Path Construction), in an amount not to exceed $3,487,000.
The contract was to have originally been completed in 448 days on December 14, 2010. The District granted Path Construction an additional 182 days of contract time to complete the project by June 14, 2011. As of July 11, 2013 the project is 758 days past that revised completion date.
Path Construction has demonstrated an inability to complete this project in a timely manner and is not diligently working to achieve completion in the near future. This lack of performance is a material breach of the General Conditions of the contract.
The District has met with Path Construction's Surety, Liberty Mutual, on two occasions to address Path Construction's performance problems and problems it appears to have with its subcontractors on this project. The most recent of these meetings was on May 6, 2013, resulting in the District issuing Path Construction a formal 21 Day Cure Notice providing Path Construction the opportunity to cure the material breach by showing specific and significant progress in the work. Path Construction has failed to show the needed progress to move this project to completion.
The Director of Engineering seeks the Board of Commissioners' authorization to declare forfeiture of Contract 05-147-2M, HVAC Improvements at SWRP, Path Construction Company, Inc., for material breach and default related to the contractor's failure to adequately accomplish the work and timely complete same in conformity with the designated contract time period, as authorized by the District.
Requested, Catherine O'Connor, Director of Engineering, CO' C:MVL
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 July 11, 2013