TRANSMITTAL LETTER FOR BOARD MEETING OF JUNE 5, 2008
COMMITTEE ON PURCHASING
Mr. Richard Lanyon, General Superintendent
Title
Issue purchase order and enter into an agreement with Chapman & Cutler LLP for Professional Services Rendered in Connection with the State Revolving Loan Fund Project Bonds from June 1, 2008, through May 31, 2013, in an amount not exceed $325,000.00, Account 401-50000-601170, Requisition 1229408
Body
Dear Sir:
Chapman and Cutler LLP was instrumental in the creation of the District’s system for legal documentation of construction loans from the Revolving Loan Fund (SRF) of the Illinois Environmental Protection Agency (IEPA) and has continued to provide necessary ordinances and legal opinions for the loans and related projects to this date. It is hereby requested that authorization be granted to issue a purchase order and enter into an agreement with Chapman & Cutler LLP for legal services rendered in connection with current SRF project bonds.
Due to the nature of the professional services required, the matter is not subject to competitive bidding pursuant to Section 11.4 of the Purchasing Act. Bond counsel is required to have specialized knowledge of law related to local governments, tax exemption, state law related to the issuance of bond documentation requirements, and exemption from registration under securities law. In addition, the District’s loan program with the IEPA is unique and was created and developed by Mr. Tim McGree of Chapman and Cutler LLP at the inception of the Illinois loan program. Mr. McGree’s detail knowledge, understanding, and experience with the loan program requirements have allowed the program to function without problem.
On March 15, 2007, the Board of Commissioners passed Bond Ordinance 07-O04, authorizing the 2007 SRF Project Bonds. The fee for legal counsel to the District for these and the 2004 SRF bonds is proposed to be $1.35 per $1,000 of bonds ($0.75 per $1,000 for the initial opinion and $0.60 per $1,000 for the final opinion). The legal fees included for the 97DD, 01C, and 04A through 04H SRF loans represent final work on bonds from previously authorized SRF projects. Only the final opinion fee is due for the 1997 and 2001 loans. The fee for legal counsel to the District is proposed to be $0.60 and $0.40 per $1,000 in bonds, respectively, for these opinions.
Funds are available in Account 401-50000-601170.
In view of the foregoing, it is requested that the Purchasing Agent be authorized to issue a purchase order and enter into an agreement with Chapman and Cutler LLP for the described services in an amount not to exceed $325,000.00 for the five-year period of June 1, 2008, through May 31, 2013.
Requested, Harold G. Downs, Treasurer, HGD:wns
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 June 5, 2008. Approved, President Terrence J. O’Brien