TRANSMITTAL LETTER FOR BOARD MEETING OF FEBRUARY 18, 2010
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
Title
Authority to decrease purchase orders to W. W. Grainger, Inc., for Furnishing and Delivering Maintenance, Repair and Operations (MRO) Catalog Products, under the State of Illinois Joint Purchasing Contract #4014848, in an amount of $68,282.90, from an amount of $955,000.00, to an amount not to exceed $886,717.10, Accounts 101-15000, 20000, 69000-623070, 623090, 623110, 623130, 623170, 623190, 623250, 623270, 623520, 623660, 623680, 623700, 623720, 623780, 623990, Purchase Orders 3048587, 3048589 and 3048593
Body
Dear Sir:
On December 20, 2007, the Board of Commissioners authorized the Director of Procurement and Materials Management to issue Purchase Orders to W. W. Grainger, Inc., for Furnishing and Delivering Maintenance, Repair and Operations (MRO) Catalog Products, under the State of Illinois Joint Purchasing Contract #4014848, in an amount not to exceed $580,600.00. The current value of the Purchase Orders issued is $955,000.00.
As of February 8, 2010, several change orders have been approved. The effect of these change orders resulted in an increase in an amount of $374,400.00 from the original amount awarded of $580,600.00. The current contract value is $955,000.00. The prior approved change orders reflect a 64 percent increase to the original contract value.
A decrease in 2009 and 2010 funds is being requested because the utilization of the contract was less than originally anticipated. 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 change orders to decrease purchase orders in the amount of $68,282.90 (approximately 7.2 percent of the current contract value), from an amount of $955,000.00, to an amount not to exceed $886,717.10.
Funds will be restored in 2009 and 2010, in accounts stated in the Title paragraph above.
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management, DAL:SEB:JN
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 February 18, 2010
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