TRANSMITTAL LETTER FOR BOARD MEETING OF OCTOBER 3, 2024
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Authority to increase purchase order with the law firm of Neal & Leroy, LLC, to represent the District in acquiring certain property rights in connection with the construction, operation, and maintenance of the Central Park Stormwater Detention Basin and Separate Storm Sewer Improvements in Harvey, Illinois (Contract 18-249-AF), in an amount of $300,000.00, from an amount of $400,000.00, to an amount not to exceed $700,000.00, Account 501-50000-612430, Purchase Order 3124253
Body
Dear Sir:
On May 4, 2023, the Board of Commissioners (“Board”) authorized the Director of Procurement and Materials Management to issue a purchase order and enter into an agreement with the law firm of Neal & Leroy, LLC, to represent the District in acquiring certain property rights in connection with the construction, operation, and maintenance of the Central Park Stormwater Detention Basin and Separate Storm Sewer Improvements in Harvey, Illinois (Contract 18-249-AF) (“Project”), in an amount not to exceed $400,000.00.
This contract has no prior change orders.
Original Contract Amount $400,000.00
Date of Board Approval 05/04/2023
Cumulative Change Order (07/25/2024) ($0.00)
% Change of Original Contract Value (0%)
Current Contract Value $69,320.74
Requested Increase $300,000.00
New Contract Value $700,000.00
% Change of Current Contract Value 75.00%
Total % Change of Original Contract Value 75.00%
This change order is requested in order for Neal & Leroy, LLC to complete the pending negotiations and condemnation cases (including necessary quick-take hearings). The continuation of Neal & Leroy’s services is necessary to ensure that all property interests are obtained so that the Engineering Department can stay on schedule to advertise the contract for the basin and sewer improvements work in mid-2025.
This change order is in compliance with the Illinois Criminal Code because the additional legal assistance necessary to complete the right-of-way acquisitions was not reasonably foreseeable at the time the contract was signed. The change is germane to the original contract as signed, and the change order 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 increase the purchase order and amend the agreement in an amount of $300,000.00 (75.00% of current contract value) from an amount of $400,000.00, to an amount not to exceed $700,000.00.
Funds for the 2024 expenditure in the amount of $120,000.00. are available in Account 501-50000-612430. The estimated expenditures for 2025 are $180,000.00. Funds for the 2025 expenditures are contingent on the Board of Commissioners approval of the District’s budget for that year.
Requested, Susan T. Morakalis, General Counsel, STM:BJD:MSZ:vp
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management
Respectfully Submitted, Marcelino Garcia, 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 October 3, 2024