TRANSMITTAL LETTER FOR BOARD MEETING OF MAY 20, 2010
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
Title
Authority to increase purchase order and amend agreement with Donnelly/Milhouse Joint Venture for professional engineering services for contract 03-822-2M, Elevator Improvement at Various District Facilities in an amount of $59,756.50, from an amount of $290,922.74 to an amount not to exceed $350,679.24, Account 201-50000-601420 and 601440, Purchase Order 3028261
Body
Dear Sir:
On August 12, 2004, the Board of Commissioners authorized the Director of Procurement and Materials Management to issue a purchase order and enter into an agreement with Donnelly/Milhouse Joint Venture for professional engineering services for Contract 03-822-3M Elevator Improvement at Various District Facilities, in an amount not to exceed $256,829.00. The agreement terms call for completion of design work in 360 days and provide post award engineering until the completion of construction work.
As of May 7, 2010, the attached list of change orders has been approved. The effect of these change orders resulted in an increase in the amount of $34,093.74 from the original amount awarded of $256,829.00. The current contract value is $290,922.74. The prior approved change orders reflect a 13.27% increase to the original contract value.
Upon completion of the design work, the contract was advertised and the bids were rejected. The contract was advertised two additional times and both times the bids were rejected due to failure of the bidders to meet the bidding requirements. Subsequently, the work to improve the seventeen elevators under this contract has been distributed to various other contracts. Out of the seventeen elevators, upgrade work on six elevators is close to completion, three elevators are under construction, and upgrade work on the remaining seven elevators is planned to be advertised by the end of 2010. Due to the multiple bids and subsequent redesign under several contracts, most of the funds initially approved for the professional support services have been exhausted. It is recommended that the District increase the purchase order and continue the professional consultant services of Donnelly/Milhouse Joint Venture until December 21, 2012, in order to assist in providing contract documents for advertisement and post award engineering issues.
The Engineering Department has negotiated with Donnelly/Milhouse Joint Venture an increased fee in the amount of $59,756.50 for the increase in scope described above. The Engineering Department has reviewed the proposal and found it to be acceptable.
Donnelly/Milhouse Joint Venture will continue to use their current sub-consultant to meet the PCE goals set forth in the agreement and have committed to include PCE representation on the increased scope of work.
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 agreement 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 the purchase order and amend the agreement, in an amount of $59,756.50 (20.54% of the current contract value), from an amount of $290,922.74 to an amount not to exceed $350,679.24.
Funds are available in Accounts 201-50000-601420 and 601440.
Requested, Kenneth A. Kits, Director of Engineering, TEK:JAW
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 20, 2010
Attachment