TRANSMITTAL LETTER FOR BOARD MEETING OF OCTOBER 20, 2022
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Authority to decrease emergency Contract 22-700-01, Repair of Sludge Line on Devon Avenue in Chicago, Illinois, with Reliable Contracting and Equipment Company, in an amount of $42,624.07, from an amount of $90,000.00, to an amount not to exceed $47,375.93, Account 901-67000-667220, Purchase Order 3119740
Body
Dear Sir:
On Saturday, June 18, 2022, the Director of Maintenance and Operations declared an operating emergency after a break was detected in the sludge line along Devon Avenue at Kimball Avenue in Chicago.
An emergency purchase order for $50,000.00 was issued to Reliable Contracting and Equipment Company to excavate and repair the sludge line. Once excavated, a hole was observed in the top of the pipe. The sludge line was fixed with a repair clamp, tested, and placed back in service. The excavation was backfilled, and temporary road plates were installed to reopen the roadway. Ultimately, the site was paved with asphalt and returned to its original condition.
At the July 14, 2022, Board Meeting, the purchase order value was increased by $40,000.00, to a new not to exceed amount of $90,000.00. This was requested because the initial cost estimate for the work exceeded the original $50,000.00 emergency declaration.
As of October 3, 2022, the attached list of change orders has been approved.
Original Purchase Order Amount $50,000.00
Cumulative Change Order (10/3/2022) $40,000.00
% Change of Original Contract Value 80.0%
Current Purchase Order Value $90,000.00
Requested Increase or Decrease ($42,624.07)
New Purchase Order Value $47,375.93
% Change of Current Contract Value -47.4%
% Change of Original Contract Value -5.2%
This change order is in compliance with the Illinois Criminal Code since the change is due to circumstances not reasonably foreseeable at the time the contract was signed and 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 decrease emergency Contract 22-700-01 in an amount of $42,624.07 (47.4% of the current contract value), from an amount of $90,000.00 to a final amount not to exceed $47,375.93.
Funds will be restored to Account 901-67000-667220.
Requested, John P. Murray, Director of Maintenance and Operations, EJS:JS:MAG:JR
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 October 20, 2022
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