TRANSMITTAL LETTER FOR BOARD MEETING OF NOVEMBER 18, 2010
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
Title
Authority to increase Contract 07-220-3P Primary Settling Tanks and Grit Removal Facilities, Calumet Water Reclamation Plant to F.H. Paschen/S.N. Nielsen/IHC Construction, Joint Venture, in an amount of $313,021.72, from an amount of $231,277,998.45, to an amount not to exceed $231,591,020.17, Account 401-50000-645650, Purchase Order 5000954
Body
Dear Sir:
On November 6, 2008, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 07-220-3P Primary Settling Tanks and Grit Removal Facilities, to F.H. Paschen/S.N. Nielsen/IHC Construction, Joint Venture (FHP/IHC), in an amount not to exceed $228,474,000.00. The scheduled contract completion date is November 18, 2012.
As of November 5, 2010, the attached list of change orders has been approved. The effect of these change orders resulted in an increase in the amount of $2,803,998.45 from the original amount awarded of $228,474,000.00. The current contract value is $231,277,998.45. The prior approved change orders reflect a 1.23% increase to the original contract value.
Item 1: A net extra in the amount of $312,794.02 to resolve various conflicts and issues under the civil engineering site work. This contract includes the installation of new city water and effluent water service lines and new storm water drainage structures. During the course of installation of these facilities, several conflicts were encountered. These include rerouting storm sewer piping to provide proper drainage, changing locations and sizes of storm manholes to allow for proper connections, and rerouting storm piping and manholes to avoid existing piping not identified in the contract documents or identified incorrectly. Additional site work changes included providing city water service to existing buildings not covered in the contract, changing valve and valve vault locations on the effluent and city water lines to avoid conflicts, and rerouting city and effluent water lines to avoid conflicts with existing underground utilities discovered during field installation. The contractor submitted a cost proposal (COR-150) for an extra in the amount of $426,504.19 and a credit in the amount of $113,710.17 for a net extra in the amount of $312,794.02. The engineer reviewed the proposal, found it reasonable, and stated via correspondence 1842, that the Engineering Department would recommend its approval.
Item 2: A net extra in the amount of $227.70 to change the type of hoses used for the scum containers. Contract Specification Section 15120, Part 2.12-D calls for the use of flexible metal hose for the scum, plant drain, and vent connections to each of the scum dumpsters in the Tunnel Access Pump Station Buildings. To allow the Maintenance & Operations Department staff to properly disconnect/reconnect the hoses, the hose material should be rubber. The proposal covers replacing the flexible metal hose at eight locations with rubber hose and providing approved fittings and end connections. The contractor submitted a cost proposal (COR-103) for an extra in the amount of $34,146.20 and a credit in the amount of $33,918.50 for a net extra in the amount of $227.70. The engineer reviewed the proposal, found it reasonable, and stated via correspondence 1793, that the Engineering Department would recommend its approval.
The above two change orders are in compliance with the Illinois Criminal Code since the changes are germane to the contract.
It is hereby recommended that the Board of Commissioners authorize the Director of Procurement and Materials Management to execute two change orders to increase Contract 07-220-3P in an amount of $313,021.72 (0.14% of the current contract value) from an amount of $231,277,998.45 to an amount not to exceed $231,591,020.17.
Funds are available in Account 401-50000-645650.
Requested, Kenneth A. Kits, Director of Engineering, TEK:ECB
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 November 18, 2010
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