TRANSMITTAL LETTER FOR BOARD MEETING OF JANUARY 3, 2013
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Authority to decrease Contract 08-865-3P Aeration Tanks and Elevators Rehabilitation, NSWRP, KWRP, EWRP and HPWRP, to IHC Construction Companies, LLC, in an amount of $31,991.93, from an amount of $14,372,097.50, to an amount not to exceed $14,340,105.57, Accounts 401-50000-645750 and 645780, Purchase Order 5001225
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Dear Sir:
On November 18, 2010, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 08-865-3P Aeration Tanks and Elevators Rehabilitation, NSWRP, KWRP, EWRP and HPWRP, to IHC Construction Companies, LLC, in an amount not to exceed $14,224,400.00. The scheduled contract completion date was December 12, 2012.
As of December 21, 2012, the attached list of change orders has been approved. The effect of these change orders resulted in an increase in an amount of $147,697.50 from the original amount awarded of $14,224,400.00. The current contract value is $14,372,097.50. The prior approved change orders reflect a 1.04% increase to the original contract value.
The contract called for the replacement of the air main expansion joints, which required the raising of the concrete elevation at the existing expansion joints. It was determined during construction that the contractor was able to replace the expansion joints without raising the elevation of the concrete at six locations. Additionally, the contract called for the hatches adjacent to the joints to be modified with carbon steel to accommodate new larger pipe joints. It was determined that stainless steel should be used in lieu of carbon steel since the existing hatch material of the seventeen hatches was stainless steel. Therefore, the contractor was requested to submit a credit and extra proposal for this work.
The contractor submitted a cost proposal (CCO-017) for an extra in the amount of $1,009.80 and a credit in the amount of $33,001.73, for a net credit in the amount of $31,991.93. The $33,001.73 credit is for not raising the elevation of concrete and the $1,009.80 extra is for using stainless steel material for the hatches. The engineer reviewed the proposal, found it to be reasonable, and stated via correspondence 405, that the Engineering Department would recommend its approval.
This change order is in compliance with the Illinois Criminal Code since the change is germane to the contract.
It is hereby recommended that the Board of Commissioners authorize the Director of Procurement and Materials Management to execute a change order to decrease Contract 08-865-3P in an amount of $31,991.93 (0.22% of the current contract value), from an amount of $14,372,097.50, to an amount not to exceed $14,340,105.57.
Funds are available in Accounts 401-50000-645750 and 645780.
Requested, Catherine O'Connor, Director of Engineering, MVL:JKK
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 January 3, 2013.
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