TRANSMITTAL LETTER FOR BOARD MEETING OF JULY 8, 2010
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
Title
Authority to increase Contract 93-232-2M Hydraulic Improvements at the Calumet Water Reclamation Plant to IHC Construction/FHP Tectonics, Joint Venture, in an amount of $86,612.94, from an amount of $122,725,684.62, to an amount not to exceed $122,812,297.56, Accounts 401-50000-645650 and 645750, Purchase Order 5000623
Body
Dear Sir:
On October 19, 2006, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 93-232-2M Hydraulic Improvements at the Calumet Water Reclamation Plant, to IHC Construction/FHP Tectonics, Joint Venture,HCF in an amount not to exceed $120,890,000.00. The scheduled contract completion date is January 13, 2011.
As of June 18, 2010, the attached list of change orders has been approved. The effect of these change orders resulted in an increase in the amount of $1,835,684.62 from the original amount awarded of $120,890,000.00. The current contract value is $122,725,684.62 . The prior approved change orders reflect a 1.52% increase to the original contract value.
Item 1: An extra in the amount $13,443.10 to furnish and install additional input/output (I/O) points to the distributed control system (DCS). The I/O points were mistakenly not included in the contract documents and are required to provide appropriate monitoring and control functions for various pieces of equipment. The contractor submitted a cost proposal (COR -78) for an extra in the amount of $13,443.10. The engineer reviewed the proposal, found it reasonable, and stated via file letter 1136, that the Engineering Department would recommend its approval.
Item 2: A net extra in the amount of $65,106.17 to modify the site lighting. Some existing lighting fixtures must be relocated to avoid conflicts with the ongoing construction contracts, and some additional fixtures are required to provide adequate site lighting. Also, the specified lighting fixtures are no longer manufactured and different models must be utilized. The contractor submitted a cost proposal (COR -72) for an extra in the amount of $93,719.93 and a credit in the amount of $28,613.76 for a net extra in the amount of $65,106.17. The engineer reviewed the proposal, found it reasonable, and stated via file letter 1141, that the Engineering Department would recommend its approval.
Item 3: A net credit in the amount of $14,117.20 to modify the control valve quantities and placement, and to modify the piping connections to the steam heater units in the pump and screen buildings. These revisions are required to prevent build-up of condensate in the unit heater and piping upstream of the steam trap at low flows. The contractor submitted a cost proposal (COR -63) for an extra in the amount of $2,549.80 and a credit in the amount of $16,667.00 for a net credit in the amount of $14,117.20. The engineer reviewed the proposal, found it reasonable, and stated via file letter 1088, that the Engineering Department would recommend its approval
The above three change orders are in compliance with the Illinois Criminal Code since the changes are germane to the contract, as signed.
Item 4: An extra in the amount of $22,180.87 to remediate two separate sewage spills. The contract requires the District to shutdown the interceptor sewers so the contractor can complete the diversion structure and control gates. These control gates are to regulate the flow to the pump station. During the outage, the contractor experienced two separate sewage spills caused by an apparent blinding of the screen near the north surge chamber. The first spill occurred during the outage of the south TARP conduit, when the sewage level in the north surge chamber rose just above the top of the chamber which caused the sewage to flow over the stopping logs. This allowed the sewage to back feed into the isolated piping to the contractor’s work area and caused the excavation for the new TARP diversion structure to flood. Once the previous spill was cleaned up, the screens were blinded again creating a much larger spill, which covered nearly 1/3 of southern section of the construction site. This area included electrical vaults, which when combined with the duct banks created a catch basin to convey sewage directly into the pump station’s -3.0 level, and subsequently the elevator shaft. The contractor proceeded at its own risk to remediate the spills then submitted a cost proposal (COR-87) in the amount of $22,180.87 along with time and material verifications of labor and equipment utilized to clean the areas. The engineer reviewed the proposal, found it reasonable, and stated via file letter 1145, that the Engineering Department would recommend its approval.
The above 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 four change orders to increase Contract 93-232-2M in an amount of $86,612.94, (0.07% of the current contract value) from an amount of $122,725,684.62 to an amount not to exceed $122,812,297.56
Funds are available in Accounts 401-50000-645650 and 645750.
Requested, Kenneth A. Kits, Director of Engineering, TEK:ECB
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 July 8, 2010
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