TRANSMITTAL LETTER FOR BOARD MEETING OF JUNE 19, 2008
COMMITTEE ON PURCHASING
Mr. Richard Lanyon, General Superintendent
Title
Authority to decrease Contract 00-275-2V, New Research & Development Lab Building at Calumet Water Reclamation Plant, to Rausch Construction Company, in an amount of $54,512.40, from an amount of $11,313,256.52 to an amount not to exceed $11,258,744.12, Account 401-50000-645680, Purchase Order 5000374
Body
Dear Sir:
On April 21, 2005, the Board of Commissioners passed an order authorizing the Purchasing Agent to award Contract 00-275-2V, to Rausch Construction Company, in an amount not to exceed $10,971,000.00. The contract terms called for the completion of all work by February 27, 2007. This contract is still in progress.
As of June 6, 2008, the attached list of Change Orders has been approved. The effect of these Change Orders resulted in an increase in the amount of $342,256.52 from the original amount awarded of $10,971,000.00. The current contract value is $11,313,256.52. The approved Change Orders reflect a 3.12% increase to the original contract value.
Additional work is necessary under Contract 00-275-2V to construct concrete caissons and grade beams in lieu of the contract specified spread footings and strap beams for the west wall between columns A through F and columns 1 and 2. This revision to the foundation design is necessary to minimize the risk of damage to the existing effluent conduit running parallel to column 1.
The contractor submitted a credit proposal (RCC-038) in the amount of $6,868.00 to complete the work. The Engineer offered a counterproposal via file letter 271 for a credit in the amount of $54,512.40. The contractor submitted a revised credit proposal (RCC-085) in the amount of $4,625.00. Since agreement could not be reached on the value of the Change Order, the Engineer stated via file letter 513 that he is exercising his power to make final and binding determination under Article 8 of the General Condition, concerning the value of the work.
The Change Order is in compliance with the Illinois Criminal Code, since this Change Order is germane to the original contract.
It is hereby requested that the Board of Commissioners authorize the Purchasing Agent to execute a Change Order to decrease Contract 00-275-2V in an amount of $54,512.40 (0.48% of the current contract value) from an amount of $11,313,256.52 to an amount not to exceed $11,258,744.12.
Funds will be restored in Account 401-50000-645680.
Requested, Joseph P. Sobanski, Chief Engineer, JPS:TEK:JKK
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 19, 2008. Approved, President Terrence J. O’Brien
Attachment