TRANSMITTAL LETTER FOR BOARD MEETING OF DECEMBER 18, 2008
COMMITTEE ON PURCHASING
Mr. Richard Lanyon, General Superintendent
Title
Authority to increase Contract 04-294-3M, Calumet TARP Isolation and Pumping Station Improvements, Calumet Water Reclamation Plant, to Kenny Construction Company, in an amount of $300,551.48, from an amount of $59,581,706.48 to an amount not to exceed $59,882,257.96, Account 401-50000-645600, Purchase Order 5000309
Body
Dear Sir:
On December 2, 2004, the Board of Commissioners authorized the Purchasing Agent to award Contract 04-294-3M, Calumet TARP Isolation and Pumping Station Improvements, Calumet Water Reclamation Plant, to Kenny Construction Company, in an amount not to exceed $57,126,700.00. The contract terms called for the completion of all work by June 23, 2008. This contract is still in progress.
As of December 5, 2008, the attached list of change orders has been approved. The effect of these change orders resulted in an increase in an amount of $2,455,006.48 from the original amount awarded of $57,126,700.00. The current contract value is $59,581,706.48. The approved change orders reflect a 4.30% increase to the original contract value.
Item 1: An extra in the amount of $274,372.83 for work associated with the replacement of the TARP Pumps W-3 and E-2 pump rotating assemblies. Although the cause of the abrasive wear is still under investigation, the rotating assemblies need to be replaced due to apparent abrasive wear. Due to the critical nature of the TARP Pumping Station and the need for increased equipment availability, it is important for plant operations that the assemblies be replaced immediately. The contractor submitted a cost proposal (COR-076) in the amount of $274,372.83. The engineer reviewed the proposal, found it to be reasonable, and stated via file letter 933 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.
Item 2: An extra in the amount not to exceed $26,178.65 for work associated with the frequency response testing, vibration monitoring and position monitoring to be performed on the W-3 TARP Pump. These tests are being performed to collect data for the analysis of the pump behavior under various operating conditions. This information will be used to determine the cause(s) of the premature wear being experience by the new TARP pumps rotating assemblies. The contractor submitted a cost proposal (COR-079) in the amount not to exceed $26,178.65. The engineer reviewed the proposal, found it to be reasonable, and stated via file letter 935 that the Engineering Department would recommend its approval for the work to be performed on a time and material basis, due to an unknown amount of field fabrication which may be required to be done by the contractor to mount the recording devices necessary for the testing.
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 Purchasing Agent to execute two change orders to increase Contract 04-294-3M in an amount of $300,551.48 (0.50% of the current contract value) from an amount of $59,581,706.48 to an amount not to exceed $59,882,257.96.
Funds are available in Account 401-50000-645600.
Requested, Joseph P. Sobanski, Chief Engineer, TEK:JAW
Recommended, Darlene A. LoCascio, Purchasing Agent
Respectfully Submitted, Barbara J. McGowan, Chairman Committee on Purchasing
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for December 18, 2008
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