TRANSMITTAL LETTER FOR BOARD MEETING OF AUGUST 14, 2008
COMMITTEE ON PURCHASING
Mr. Richard Lanyon, General Superintendent
Title
Authority to increase Contract 99-269-2P Lining of lagoons 1 and 2, Calumet WRP, to IHC Construction Companies, LLC, in an amount of $14,951.60, from an amount of $7,917,000.00, to an amount not to exceed $7,931,951.60, Account 401-50000-645650, Purchase Order 5000535
Body
Dear Sir:
On April 20, 2006, the Board of Commissioners authorized the Purchasing Agent to award Contract 99-269-2P to IHC Construction Companies, LLC, in an amount not to exceed $7,917,000.00. The contract terms called for the completion of all work by August 19, 2007. This contract is substantially complete.
As of July 31, 2008, there have been no Change Orders on this contract.
During excavation for a new manhole to replace the existing manhole at Lagoon 1, the contractor discovered ground contamination, which might be regulated by law. The Engineer determined that it would be best to leave the existing manhole in place and construct the new manhole away from the site of contamination.
The contractor submitted a cost proposal (COR-001) for an extra in the amount of $37,312.95 and a credit in the amount of $2,291.69 for a net extra amount of $35,021.26. The Engineer reviewed the proposal, found it unacceptable and instead determined the extra work to be in the amount of $18,724.44 and a credit in the amount of $3,772.84 for a net extra amount of $14,951.60. The contractor was notified via file letter 103 that the Engineer will recommend to the Board of Commissioners approval of this Change Order and that he will be notified in writing of the Board’s action.
The Change Order is in compliance with the Illinois Criminal Code since the circumstances said to necessitate the change in performance were not reasonably foreseeable at the time the contract was signed.
It is hereby recommended that the Board of Commissioners authorize the Purchasing Agent to execute a Change Order to increase Contract 99-269-2P in an amount of $14,951.60 (0.19% of the current contract value) from an amount of $7,917,000.00 to an amount not to exceed $7,931,951.60.
Funds are available in Account 401-50000-645650.
Requested, Joseph P. Sobanski, Chief Engineer, TEK:JKK
Recommended, Darlene A. LoCascio, Purchasing Agent
Respectfully Submitted, Barbara J. McGowan, Chairman Committee on Purchasing
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for August 14, 2008.