TRANSMITTAL LETTER FOR BOARD MEETING OF JULY 9, 2009
COMMITTEE ON PROCUREMENT
Mr. Richard Lanyon, Executive Director
Title
Authority to increase Contract 02-013-3E Electrical Distribution Improvements, North Service Area, to Divane Brothers Electric Company, in the amount of $137,935.33, from an amount of $2,877,000.00, to an amount not to exceed $3,014,935.33, Account 401-50000-645650, Purchase Order 5000836
Body
Dear Sir:
On March 6, 2008, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 02-013-3E Electrical Distribution Improvements, North Service Area, to Divane Brothers Electric Company, in an amount not to exceed $2,877,000.00. The contract expires on October 3, 2009.
This contract has no prior change orders.
Item 1: A net extra in the amount of $47,265.28, for deleting the concrete pad shown on the contract plans and constructing a new wall structure to elevate the outdoor switchgear enclosure. The gas insulated switchgear, which will be located in the outdoor switchgear enclosure, requires at least four feet of space below the switchgear for the bend radius and spreading of the medium voltage cables. The Engineering Department was not aware of this requirement until the manufacturer submitted the shop drawings for the gas insulated switchgear. The contractor submitted a cost proposal (RFQ-002) for an extra in the amount of $65,250.17 and a credit in the amount of $11,101.20 for a net extra in the amount of $54,148.97. The engineer reviewed the proposal, found it unacceptable, and offered a counterproposal via file letter 91 for an extra in the amount of $52,623.09 and a credit in the amount of $5,357.81 for a net extra in the amount of $47,265.28, which has been accepted by the contractor and the Engineering Department recommends its approval.
This change order is in compliance with the Illinois Criminal Code since the change order is germane to the original contract as signed.
Item 2: An extra in the amount of $90,670.05, to provide temporary generators and associated equipment at North Branch Pumping Station. The Maintenance and Operations Department requested the temporary generators for a two-week period during the replacement of Transformer No. 2. The generators would provide power for pumps on Bus No. 2, during a storm condition, if required. The contractor submitted a cost proposal (RFQ-004) in the amount of $90,670.05. The engineer reviewed the proposal, found it to be reasonable, and stated via correspondence 94, that the Engineering Department would recommend its approval.
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 two change orders to increase Contract 02-013-2E in an amount of $137,935.33 (4.79% of the current contract value) from an amount of $2,877,000.00 to an amount not to exceed $3,014,935.33.
Funds are available in Account 401-50000-645650.
Requested, Joseph P. Sobanski, Director of Engineering, TEK:GG
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 July 9, 2009