TRANSMITTAL LETTER FOR BOARD MEETING OF FEBRUARY 2, 2012
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Authority to increase purchase order to AT&T Corp. to Furnish and Deliver OPT-E-MAN lines in an amount of $80,807.02, from an amount of $1,950,000.00, to an amount not to exceed $2,030,807.02, Accounts 101-27000-601170, 612210, 612490, Purchase Order 3066012
Body
Dear Sir:
On October 7, 2010 the Board of Commissioners authorized the Director of Procurement and Materials Management to issue a purchase order to AT&T Corp., to furnish and deliver OPT-E-MAN lines, in an amount not to exceed $1,950,000.00. The contract expires on October 31, 2014.
This contract has no prior change orders.
A change to the original agreement specifications in the amount of $28,875.00 is required due to the discovery of a collapsed conduit at the Calumet WRP. Also, $12,947.28 is required to pay for the Lisle Datacenter service line that was not anticipated at the time that this agreement was entered into.
Upon inspection of the billing and payments, it was discovered that $46,803.97 for broadband service was incorrectly charged to this purchase order. In addition, $64,763,41 is required to pay for the Northside Datacenter service line.
Although these changes amount to $153,389.66, due to the delay of installation at the Lockport Powerhouse, Mainstream Pumping Station, and Lawndale Avenue Solids Management Area, a new analysis of future funding was performed and it has been determined that an additional $80,807.02 will fulfill the District’s future obligations for this purchase order.
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 increase the purchase order in an amount of $80,807.02 (4.14% of the current contract value), from an amount of $1,950,000.00, to an amount not to exceed $2,030,807.02.
Funds for the 2011 expenditure in the amount of $28,875.00 are available in Accounts 101-27000-612490. The estimated expenditure for 2012 is $332,152.05, 2013 is $349,186.80, 2014 is $290,989.00. Funds for the 2013, and 2014 expenditures are contingent on the Board of Commissioners’ approval of the District’s budget for those years.
Requested, Dharani Villivalam, Acting Director of Information Technology, DV:SL:RJM
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 February 2, 2012