TRANSMITTAL LETTER FOR BOARD MEETING OF JUNE 17, 2010
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
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Authority to decrease Contract 01-817-2E Electrical Equipment Upgrades at Kirie, Egan, North Side and Hanover Park Water Reclamation Plants, to Windy City Electric Company, in an amount of $27,933.89, from an amount of $3,470,483.09, to an amount not to exceed $3,442,549.20, Accounts 401-50000-645690 and 645750, Purchase Order 5000807
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Dear Sir:
On December 6, 2007, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 01-817-2E Electrical Equipment Upgrades at Kirie, Egan, North Side and Hanover Park Water Reclamation Plants, to Windy City Electric Company, in an amount not to exceed $3,400,000.00. The scheduled contract completion date was July 9, 2009.
As of June 4, 2010, the attached list of change orders has been approved. The effect of these change orders resulted in an increase in the amount of $70,483.09 from the original amount awarded of $3,400,000.00. The current contract value is $3,470,483.09. The prior approved change orders reflect a 2.07% increase to the original contract value.
The contract requires the installation of a fire alarm system in the Influent Pumping Station Wet Well area at the Kirie WRP. After the contract award, the Maintenance & Operations Department notified the Engineering Department, that the Influent Pumping Station Wet Well area is prone to flooding, and of the presence of hydrogen sulfide gas, both conditions which can damage the electronics of fire detection devices. These devices were to be installed in the elevator screen areas below grade level. After meeting with the local fire authority, Des Plaines Fire Department, a decision was made not to install the fire detector devices at the lower levels. Instead, two smoke detectors will be installed in the return duct work to comply with the requirements set forth by the Des Plaines Fire Department. Therefore, Engineering has determined that revisions are required to the fire detection system in this area. The work consists of installing new addressable explosion proof horn/strobe fire alarm devices at the top of Coarse Screen Wet Well Elevators 1 and 3, installing new addressable explosion proof duct type smoke detectors in the return air ducts, and moving various existing addressable explosion proof horn/strobe fire alarm devices. The credit is for not installing various addressable explosion proof photoelectric smoke detectors, explosion proof junction boxes, and associated cable and conduit in the lower levels of Coarse Screen Wet Well Elevators 1 and 3, as well as not installing addressable explosion proof horn/strobe fire alarm devices at certain locations as shown in the contract documents.
The contractor submitted a cost proposal (CCO-8) for an extra in the amount of $34,275.35 and a credit in the amount of $58,595.25 for a net credit in the amount of $24,319.90. The engineer reviewed the proposal, found it unacceptable, and rejected it via correspondence 258. Consequently, the engineer determined the value of the above mentioned work to be an extra in the amount of $35,025.12 and a credit in the amount of $62,959.01, for a net credit in the amount of $27,933.89. The engineer reviewed the cost proposal and stated via correspondence 273, that the engineer is exercising his power to make final and binding determination under Article 8 of the contract General Conditions concerning this work and that the Engineering Department would recommend its approval.
The change order is in compliance with the Illinois Criminal Code since the change order is germane to the original contract as signed.
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 01-817-2E, in an amount of $27,933.89 (0.80% of the current contract value), from an amount of $3,470,483.09, to an amount not to exceed $3,442,549.20.
Funds will be restored to Accounts 401-50000-645690 and 645750.
Requested, Kenneth A. Kits, Director of Engineering, TEK:GG
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 June 17, 2010
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