TRANSMITTAL LETTER FOR BOARD MEETING OF JUNE 18, 2026
COMMITTEE ON PROCUREMENT
Mr. John P. Murray, Executive Director
Title
Authority to increase Contract 11-186-3F Addison Creek Reservoir, Bellwood, Illinois, to IHC Construction Companies, L.L.C., in an amount of $552,226.21, from an amount of $81,304,221.95, to an amount not to exceed $81,856,448.16, Account 401-50000-645620, Purchase Order 4000068
Body
Dear Sir:
On January 24, 2019, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 11-186-3F Addison Creek Reservoir, Bellwood, Illinois to IHC Construction Companies, L.L.C, in an amount not to exceed $63,280,000.00, plus a five (5) percent allowance for change orders in an amount of $3,164,000.00, for a total amount not to exceed $66,444,000.00. The contract was completed on June 5, 2024.
As of June 5, 2026, the attached list of change orders has been approved.
Original Contract Amount $63,280,000.00
Date of Board Approval 1/24/2019
Cumulative Change Order (6/5/2026) $18,024,221.95
% Change of Original Contract Value 28.48%
Current Contract Value $81,304,221.95
Requested Increase $552,226.21
New Contract Value $81,856,448.16
% Change of Current Contract Value 0.68%
Total % Change of Original Contract Value 29.36%
Item 1: During construction, delays associated with time extensions were identified primarily related to hazardous waste encountered on the project. A series of delays were documented between 2019 and 2021 (TER 1, TER 2, and TER 4) as the hazardous waste remediation work progressed, and another delay related to supply chain issues associated with the motor control centers (MCCs) for the pump station (TER-5) was identified. The contractor submitted a cost proposal (CO-37) for an extra in the amount $997,961.23, and a credit in the amount $0.00, attributing project impacts to 536 days of excusable/compensable delay and 342 days of excusable/non-compensable delay. The request included compensation for overhead salaries, extensions of Builders Risk and Railroad Liability insurance, field office expenses, onsite equipment required to maintain the site, and escalation of labor and material costs.
Following its review, the District approved a total time extension of 807 days, consisting of 195 days of excusable/compensable delay, 319 days of excusable/non-compensable delay, and 293 days of concurrent delay. The primary difference between the contractor’s and District’s analyses was related to fabrication of the MCCs for the pump station. The District determined that the critical delay resulted primarily from COVID-19-related supply chain disruptions, while also recognizing that previous electrical and mechanical changes, along with extended submittal review durations, delayed the release of the MCCs for fabrication. However, those earlier issues were not critical at the time because hazardous waste activities at the site controlled the project’s longest schedule path.
The engineer reviewed the contractor’s proposal, found it to be unacceptable, and countered with the engineer’s estimate of an extra in the amount of $547,587.00 and a credit in the amount of $0.00, for a net extra in amount of $547,587.00. The contractor accepted the District’s counteroffer on May 15, 2026, whereby upon acceptance of the counteroffer, the engineer stated via CO37 that the Engineering Department would recommend its approval.
Item 2: During construction, the engineer determined the transducers specified for the pump station did not have the correct range, and new transducers were required. The engineer also determined that the pump station’s fire alarm system required a reset button within the pump station building. The contractor submitted a cost proposal (CO-33) for an extra in the amount of $4,639.21, and a credit in the amount of $0.00, for a net extra in the amount of $4,639.21. The engineer reviewed the proposal, found it to be reasonable, and stated via correspondence CO33 that the Engineering Department would recommend its approval.
These change orders are in compliance with the Illinois Criminal Code since they are due to circumstances not reasonably foreseeable at the time the contract was signed and are 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 these change orders to increase Contract 11-186-3F in an amount of $552,226.21 (0.68% of the current contract value), from an amount of $81,304,221.95, to an amount not to exceed $81,856,448.16.
Funds are available in Account 401-50000-645620.
Requested, Catherine A. O’Connor, Director of Engineering, KMF:JK
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management
Respectfully Submitted, Precious Brady-Davis, Chairperson, 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 18, 2026
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