TRANSMITTAL LETTER FOR BOARD MEETING OF MARCH 6, 2008
COMMITTEE ON PURCHASING
Mr. Richard Lanyon, General Superintendent
Title
Authorization to increase cost estimate for Project 98-260-2M, Coarse Screens at 95th Street Pumping Station, Piping and Electrical Work at 95th and 125th Street Pumping Stations, Chicago, Illinois, by $2,800,000.00 from $6,100,000.00 to $8,900,000.00, Accounts 401-50000-645600 and 645700
Body
Dear Sir:
On July 15, 2004, the Board of Commissioners passed an order directing the Purchasing Agent to advertise for bids on Project 98-260-2M, Coarse Screens at 95th Street Pumping Station, Piping and Electrical Work at 95th and 125th Street Pumping Stations, Chicago, Illinois, at an estimated cost of $4,500,000.00. Subsequently, at the Board Meeting of October 4, 2007, this amount was increased to $6,100,000.00.
The contract was advertised on October 10, 2007 and the bid opening was held on December 20, 2007. The low bidder was approximately 33.66% above the estimated cost. Consequently, all the bids were rejected as reported by the Purchasing Agent at the January 3, 2008 Board Meeting.
In order to control costs, the scope of work has been revised to eliminate stainless steel piping and instead use carbon steel piping. In addition, upon further review, it was determined that the previous cost estimate did not fully recognize the level of difficulty for accomplishing the work in areas of the pumping stations that have limited access. Further, the previous cost estimate was reviewed in light of the current bidding climate and escalated construction commodities prices. The net result of these revisions is a cost estimate of $8,900,000.00, which is $2,800,000.00 higher than the previous estimate.
The work for which tenders are invited consists of removing three manually operated coarse sewage screens and installing in their place three automatically operated screens at the 95th Street Pumping Station. Additional work includes construction of a building addition to the existing pumping station to house the new screens, HVAC work, and miscellaneous mechanical work. Also, included is the replacement or repair of large diameter pump discharge and intake piping at the 95th and 125th Street Pumping Stations.
The revised cost estimate is $8,900,000.00. Funds are available in Accounts 401-50000-645600 and 645700, Capital Improvements Bond Fund.
The tentative schedule for this project is as follows:
Advertise. 03/26/08
Open Bids. 04/29/08
Award 06/05/08
Completion 09/06/09
In view of the forgoing, it is requested that authority be granted by the Board of Commissioners to increase the cost estimate by $2,800,000.00 from $6,100,000.00 to $8,900,000.00 and that the Purchasing Agent re-advertise for bids.
If further clarification is required, please advise the undersigned.
Requested, Joseph P. Sobanski, Chief Engineer, TEK:JAW:CN:AT
Recommended, Darlene A. LoCascio, Purchasing Agent
Respectfully Submitted, Barbara J. McGowan, Chairman Committee on Purchasing
ORDERED passed by affirmative roll call vote of a majority of the Commissioners present this March 6, 2008. Approved, President Terrence J. O’Brien