TRANSMITTAL LETTER FOR BOARD MEETING OF DECEMBER 16, 2010
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
Title
Authority to decrease Contract 05-147-2M HVAC Improvements at the Stickney Water Reclamation Plant, to Path Construction Company, in an amount of $32,734.41, from an amount of $3,527,669.28, to an amount not to exceed $3,494,934.87, Account 201-50000-645750, Purchase Order 5001064
Body
Dear Sir:
On August 6, 2009, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 05-147-2M, HVAC Improvements at the Stickney Water Reclamation Plant, to Path Construction Company, in an amount not to exceed $3,487,000.00. The scheduled contract completion date is December 14, 2010.
As of December 3, 2010, the attached list of change orders has been approved. The effect of these change orders resulted in an increase in the amount of $40,669.28 from the original amount awarded of $3,487,000.00. The current contract value is $3,527,669.28. The prior approved change order reflects 1.17% increase to the original contract value.
The contract includes replacement of four steam unit heaters on the west wall of the Pump and Blower Building. However, even though the new steam unit heaters were specified with the same features as the existing heaters, the physical size of the new heaters prevented installation in the location specified due to an interference with the existing overhead crane. The contractor submitted a credit cost proposal (CCO-8) in the amount of $32,734.41 for deleting the steam unit heater installation work. The engineer reviewed the proposal, found it reasonable, and stated via correspondence 352, 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 05-147-2M in an amount of $32,734.41 (0.93% of the current contract value) from an amount of $3,527,669.28 to an amount not to exceed $3,494,934.87.
Funds will be restored in Account 201-50000-645750.
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 December 16, 2010
Attachment