TRANSMITTAL LETTER FOR BOARD MEETING OF FEBRUARY 2, 2012
COMMITTEE ON PROCUREMENT
Mr. David St. Pierre, Executive Director
Title
Authority to decrease purchase order and amend the agreement with Predict, Inc., for Diagnostic and Vibration Analysis Services for High Speed Turbo-machinery, on an as needed basis to the Calumet, North Side and Stickney Water Reclamation Plants for a three-year period, in an amount of $21,100.00, from an amount of $115,600.00, to an amount not to exceed $94,500.00, Account 101-69000-612240, Purchase Order 3062761
Body
Dear Sir:
On February 18, 2010, the Board of Commissioners authorized the Director of Procurement and Materials Management to issue a purchase order and enter into an agreement with Predict, Inc., for Diagnostic and Vibration Analysis Services for High Speed Turbo-machinery, on an as needed basis to the Calumet, North Side and Stickney Water Reclamation Plants for a three-year period, in an amount not to exceed $153,000.00. The purchase order expires on December 31, 2012.
As of January 17, 2012, the attached list of change orders has been approved. The effect of these change orders resulted in a decrease in an amount of $37,400.00 from the original amount awarded of $153,000.00. The current contract value is $115,600.00. The prior approved change orders reflect a 24.4% decrease to the original purchase order value.
A decrease in purchase order value is being requested because the actual expenditure in 2011 was less than originally anticipated.
This change order is in compliance with the Illinois Criminal Code since these changes are due to circumstances not reasonably foreseeable at the time the purchase order was issued, 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 decrease the purchase order and amend the agreement in an amount of $21,100.00 (18.25% of the current purchase order’s value), from an amount of $115,600.00, to an amount not to exceed $94,500.00.
Funds will be restored in Account 101-69000-612240.
Requested, Manju Prakash Sharma, Director of Maintenance & Operations, SES:SO’C:MAG:LSC:PKK
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
Attachment