TRANSMITTAL LETTER FOR BOARD MEETING OF MARCH 6, 2008
COMMITTEE ON PURCHASING
Mr. Richard Lanyon, General Superintendent
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Authority for Change Orders on Contract 01-353-2M, Rehabilitation of the Existing Influent Pumping Station at Kirie WRP, with Rausch Construction Corporation, for Items: 1. an extra in the amount of $13,014.30, and 2. an extra in the amount of $39,528.47, and 3. a net extra in the amount of $8,504.62, resulting in an increase to the contract value from $21,215,147.11 to $21,276,194.50, Account 401-50000-645650 and 401-50000-645750, Purchase Order 5000394
Body
Dear Sir:
Authorization is requested to issue Change Orders to Rausch Construction Corporation (Rausch) for the cost of labor, material and equipment for the following contract work at the Kirie WRP, in
Des Plaines, Illinois.
Item 1: An extra in the amount of $13,014.30 to make dimensional changes to the exhaust enclosures at Pump Well Nos. 1 and 2. The contract documents called for providing exhaust enclosures for the south and north pump wells. It was discovered that there was a dimensional discrepancy between the design drawings and the existing conditions. The revision is necessary to properly build the exhaust enclosures. This change is germane to the original contract as signed.
Item 2: An extra in the amount of $39,528.47 to provide conduits and wiring necessary to connect the flooding alarm panels 2251 and 2252 to the Distributed Control System (DCS), Adjustable Speed Drives and Medium Voltage Solid State Motor Controllers. Addendum No. 2 to the contract documents issued revisions to the flooding control panel and its functional description. The specifications call for stopping of the three Raw Sewage Pumps, closing of the suction gate valves and providing alarm to the DCS node. However, these revisions were not shown on the electrical drawings. This change is germane to the original contract as signed.
Item 3: An extra in the amount of $22,234.95 and a credit in the amount of $13,730.33, resulting in a net extra amount of $8,504.62 for the installation of three (3) 2-1/2” temperature control valves (TCVs) in lieu of the specified 3” TCVs. The extra is for new 2-1/2” TCVs and the credit is for the specified, already delivered 3” TCVs. The contract includes installation of three (3) new, 3”, 3-way temperature control valves (TCV-2-1, TCV-2-2 and TCV-2-3) for the hot water circulating system. These valves are to replace the existing valves which were shown on the “As-Built” drawings as 3” valves. However, it was later verified in-field that the existing valves are in fact 2-1/2” valves and not 3”.
For Item 1, the contractor submitted an extra cost proposal (COR-014) in the amount of $20,860.05. The Engineer reviewed the proposal, found it unacceptable, offered a counterproposal in the amount of $5,053.94 via file letter 430. The contractor rejected the counterproposal via RCC-163. At a meeting between Rausch and District personnel it was decided that the estimate should be revised based on the percent area change of the structures. The Engineer revised his estimate and found the value of the work to be $13,014.30 and stated via file letter 514 that the Engineer is exercising his power to make final and binding determination under Article 8 of the General Conditions concerning this work and that he would recommend approval in the above amount to the Board of Commissioners.
For Item 2, the contractor submitted cost proposal (COR-033) in the amount of $39,528.47 via RCC-096. The Engineer reviewed the proposal, found it reasonable, and stated via file letter 516 that the Engineering Department would recommend its approval.
For Item 3, the contractor submitted an extra cost proposal (COR-023) in the amount of $21,242.10 for the modification of the hydronic piping system in order to install the specified 3” TCVs. Upon review of this matter, it was determined that the existing TCVs can be replaced with the same size 2-1/2” TCVs, hence the change order was rejected. In view of the above, the Engineer offered a counterproposal via file letter 525 in the amount of $22,234.95 and a credit in the amount of $13,730.33 for a net extra in the amount of $8,504.62 for the installation of 2-1/2” TCVs in lieu of the specified 3” TCVs, which has been accepted by the contractor and the Engineering Department recommends its approval.
The subject contract was awarded on May 5, 2005 for $20,896,800.00. As of February 229, 2008, the approved value of gross increases and decreases equals a net total increase of $318,347.11 (1.52% of the award value); and the resulting changes, including these change orders equals a net total increase of $379,394.50 (1.82% of the award value).
In view of the above, it is recommended that the Board of Commissioners authorize the Change Orders for an extra in the amount of $13,014.30, an extra in the amount of $39,528.47, and a net extra in the amount of $8,504.62.
If further clarification is required, please advise the undersigned.
Requested, Joseph P. Sobanski, Chief Engineer, TEK:JW:CN:SB
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
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