TRANSMITTAL LETTER FOR BOARD MEETING OF MAY 6, 2010
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
Title
Authority to decrease purchase order and amend agreement with ABB Automation, Inc., to furnish parts, services and software to the North Side Water Reclamation Plant, in an amount of $116,691.75, from an amount of $949,675.62, to an amount not to exceed $832,983.87, Account 101-67000-612650, Purchase Order 3034552
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Dear Sir:
On June 16, 2005, the Board of Commissioners authorized the Director of Procurement and Materials Management to issue purchase orders and enter into an agreement with ABB Automation, Inc., to furnish and deliver parts, services and software to the Stickney and North Side Water Reclamation Plants, in an amount not to exceed $1,175,000.00. The contract expires on June 30, 2010.
As of April 5, 2010, the attached list of change orders has been approved. The effect of these change orders resulted in a decrease in an amount of $225,324.38 from the original amount awarded of $1,175,000.00. The current contract value is $949,675.62. The prior approved change orders reflect a 19.18% decrease to the original contract value.
A decrease in 2010 funds is being requested at this time because the utilization of the contract will be 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 a change order to decrease the purchase order and amend the agreement in an amount of $116,691.75 (approximately 12.29% of the current contract value) from an amount of $949,675.62 to an amount not to exceed $832,983.87.
Funds will be restored in Account 101-67000-612650.
Requested, Osoth Jamjun, Director of Maintenance and Operations, OJ:MPS:SO’C:MAG:LSC:MW:ssg
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 May 6, 2010
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