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File #: 22-0764    Version: 1
Type: Agenda Item Status: Adopted
File created: 8/19/2022 In control: Procurement Committee
On agenda: 9/1/2022 Final action: 9/1/2022
Title: Authority to increase purchase order to 72 Hour LLC, DBA National Auto Fleet Group, to Furnish and Deliver three 2022 Ford Escape SE Hybrids AWD, two 2022 Ford Electric Transit Cargo Vans T-350 and one 2022 Ford Explorer Limited Hybrid 4WD in an amount of $11,858.40, from an amount of $248,803.45, to an amount not to exceed $260,661.85 Account 101-15000-634860, Purchase Order 3117758

TRANSMITTAL LETTER FOR BOARD MEETING OF SEPTEMBER 1, 2022

 

COMMITTEE ON PROCUREMENT

 

Mr. Brian A. Perkovich, Executive Director

 

Title

Authority to increase purchase order to 72 Hour LLC, DBA National Auto Fleet Group, to Furnish and Deliver three 2022 Ford Escape SE Hybrids AWD, two 2022 Ford Electric Transit Cargo Vans T-350 and one 2022 Ford Explorer Limited Hybrid 4WD in an amount of $11,858.40, from an amount of $248,803.45, to an amount not to exceed $260,661.85 Account 101-15000-634860, Purchase Order 3117758

Body

 

Dear Sir:

 

On February 17, 2022, the Board of Commissioners authorized the Director of Procurement and Materials Management to issue a purchase order to 72 Hour LLC, DBA National Auto Fleet Group, to Furnish and Deliver three 2022 Ford Escape SE Hybrids AWD, two 2022 Ford Electric Transit Cargo Vans T-350 and one 2022 Ford Explorer Limited Hybrid 4WD in the amount of $248,803.45.

 

This purchase order has no prior change orders. 

 

Original purchase order Amount                     $248,803.45

Date of Award                     2/22/2022

Cumulative Change Order (8/15/2022)                     ($0)

% Change of Original Purchase Order Value                     (0.0%)

Current Purchase Order Value                     $248,803.45

Requested Increase                      $11,858.40

New Purchase Order Value                     $260,661.85

% Change of Current Purchase Order Value                     4.77%

 

On July 5, 2022, notification was received from 72 Hour LLC, DBA National Auto Fleet Group that due to a global microchip shortage and major supply chain disruptions caused by the war in Eastern Europe, and the lingering impact of COVID 19, Ford Motor Company would not be able to fulfil the order submitted for two 2022 Ford Electric Transit Cargo Vans. Since the 2022 model will no longer be produced, Ford Motor Company will prioritize any current 2022 orders resubmitted with the 2023 model as long as orders are placed by September 9, 2022. The quote for the 2023 model of the Ford Electric Transit Cargo Van T-350 exceeds the current purchase order amount by $11,858.40. Therefore, a change order to increase the purchase order value in the amount of $11,858.40 is being requested to resubmit the order for two Ford Electric Transit Cargo Vans replacing the 2022 model with the 2023 model.

 

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 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 increase purchase order 3117758 in an amount of $11,858.40 (4.77% of the current contract value), from an amount of $248,803.45, to an amount not to exceed $260,661.85.

 

Funds for the 2022 expenditure are available in Accounts 101-15000-634860.

 

Requested, Shellie A. Riedle, Administrative Services Officer, CO:LSA

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 September 1, 2022