TRANSMITTAL LETTER FOR BOARD MEETING OF AUGUST 12, 2010
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
Title
Authority to Increase Contract 06-156-3P Grit Piping Replacement, Stickney Water Reclamation Plant to Independent Mechanical Industries, Inc., in an amount of $96,329.40, from an amount of $2,856,905.96, to an amount not to exceed $2,953,235.36, Account 401-50000-645750, Purchase Order 5000891
Body
Dear Sir:
On June 5, 2008, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 06-156-3P Grit Piping Replacement, Stickney Water Reclamation Plant to Independent Mechanical Industries, Inc., in an amount not to exceed $2,868,800.00. The contract scheduled completion date was April 21, 2009.
As of July 9, 2010, the attached list of change orders has been approved. The effect of these change orders resulted in a decrease in the amount of $11,894.04 from the original amount awarded of $2,868,800.00. The current contract value is $2,856,905.96. The prior approved change orders reflect a 0.41% decrease to the original contract value.
Item 1: A net extra in the amount of $82,926.27 to modify the grit and steam piping. The new grit piping was installed within existing service tunnels. These service tunnels are relatively confined with many other existing piping systems already in place. Due to interferences encountered during the installation, modifications to other existing piping and the new grit piping routing was required. In addition, the District will receive a credit for four spare Ceram Core spool pieces that have not been furnished and will provide an extra for three transition pieces and five types of spare elbows. The contractor submitted a cost proposal (CCO-5) for an extra in the amount of $597,837.20 and a credit in the amount of $514,910.93, for a net extra in the amount of $82,926.27. The engineer reviewed the proposal, found it reasonable, and stated via correspondence 258, that the Engineering Department would recommend its approval.
Item 2: An extra in the amount of $13,403.13 to remove the corroded inlets on grit dewatering tanks 1 and 2 and the installation of new inlets. After installation of the new grit piping, leakage of sewage was discovered from severely corroded concrete embedded inlets to the dewatering tanks. The Maintenance and Operations Department requested that the inlets be replaced to resolve the leakage into work areas. The contractor submitted a proposal (CCO-6) in the amount of $13,403.13. The engineer reviewed the proposal, found it reasonable, and stated via correspondence 267, that the Engineering Department would recommend its approval.
The above two change orders are in compliance with the Illinois Criminal Code since the changes are due to circumstances that were 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 two change orders to increase Contract 06-156-3P in an amount of $96,329.40 (3.37% of the current contract value), from an amount of $2,856,905.96, to an amount not to exceed $2,953,235.36.
Funds are available in Account 401-50000-645750.
Requested, Kenneth A. Kits, Director of Engineering, TEK:GR
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 August 12, 2010
Attachment