TRANSMITTAL LETTER FOR BOARD MEETING OF DECEMBER 16, 2010
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
Title
Authority to decrease Contract 96-251-2P Sludge Thickening Facilities at CWRP, Calumet Water Reclamation Plant to F.H. Paschen/S.N. Nielsen/IHC Construction Joint Venture, in an amount of $11,150.70, from an amount of $8,328,000.00, to an amount not to exceed $8,316,849.30, Accounts 401-50000-645650 and 645750, Purchase Order 5001108
Body
Dear Sir:
On February 4, 2010, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 96-251-2P Sludge Thickening Facilities at CWRP, Calumet Water Reclamation Plant, to F.H. Paschen/S.N. Nielsen/IHC Construction Joint Venture, in an amount not to exceed $8,328,000.00. The scheduled contract completion date is August 7, 2012.
This contract has no prior changes orders.
This contract included the installation of steel piping of various diameters. The original contract documents called for 12”, 14”, and 18” diameter pipe to be A53B Schedule 40 ERW carbon steel pipe. Since the pipe for these sizes is unavailable domestically, the contractor requested to substitute A53B standard weight ERW carbon steel pipe. The engineer reviewed the substitution request and determined it to be acceptable for the application. The contractor submitted a cost proposal (CCO-9) for an extra in the amount of $28,405.30 and a credit in the amount of $39,556.00 for a net credit in the amount of $11,150.70. The engineer reviewed the proposal, found it reasonable, and stated via correspondence 177, that the Engineering Department would recommend its approval.
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 Contract 96-251-2P in an amount of $11,150.70 (0.13% of the current contract value) from an amount of $8,328,000.00 to an amount not to exceed $8,316,849.30.
Funds will be restored in Accounts 401-50000-645650 and 645750.
Requested, Kenneth 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 December 16, 2010