TRANSMITTAL LETTER FOR BOARD MEETING OF MARCH 6, 2008
COMMITTEE ON PURCHASING
Mr. Richard Lanyon, General Superintendent
Title
Authority for a Change Order on Contract 04-294-3M, Calumet TARP Valve Isolation and Pump Station Improvements, Calumet Water Reclamation Plant, with Kenny Construction Company, for an extra in an amount of $83,490.23, resulting in an increase in the contract value from $59,240,377.54 to $59,323,867.77, Account 401-50000-645600, Purchase Order 5000309
Body
Dear Sir:
Authorization is requested to issue a Change Order in an amount of $83,490.23 with Kenny Construction Company, for the cleaning of the 21’tunnel upstream of the Bifurcation Structure for the TARP Pump Station at the Calumet WRP.
The contractor was requested by the District to clean out the 21’ tunnel upstream of the Bifurcation Structure. Sludge and debris built up in the tunnel throughout the years due to non-functioning screening equipment at the Station. The quantity of sludge and debris actually encountered once construction work began far exceeded the amount estimated during the design of the contract.
The contractor submitted a cost proposal (COR-053) in the amount of $93,841.87. The Engineer counterproposed with $10,261.13 via File Letter 705. The contractor did not accept the counterproposal. At a meeting between Kenny and District personnel on December 19, 2007, it was determined that a significantly greater amount of debris had accumulated in the Bifurcation Structure than could have been expected. Based on Design’s original estimate of expected debris, compared with the conditions found in the structure itself, it was agreed that the contractor should be paid for 80% of the work he is claiming, similar to the agreement on COR-24, which cleaned the West Bifurcation Structure.
The contractor resubmitted a cost proposal (COR-053) in the amount of $83,490.23. The Engineer has reviewed the proposal, found it reasonable, and stated via File Letter 751 that the Engineering Department would recommend its approval. The circumstances said to necessitate the change in performance were not reasonably foreseeable at the time the contract was signed.
The contract was awarded on December 2, 2004 for $57,126,700.00. As of February 22,15 2008, the approved value of gross increases and decreases equals a net total increase of $2,113,677.54 (3.70% of the award value); and the resulting change, including this item, equals a net total increase of $2,197,167.77 (3.85% of the award value).
In view of the above, it is recommended that the Board of Commissioners authorize this Change Order for an extra in an amount of $83,490.23.
If further clarification is required, please advise the undersigned.
Requested, Joseph P. Sobanski, Chief Engineer, TK:JAW:LK:MJ:TJM
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
Attachment