TRANSMITTAL LETTER FOR BOARD MEETING OF JUNE 15, 2023
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Authority to increase Contract 04-128-3P Westside Primary Settling Tanks 1-9 and Aerated Grit Facility, Stickney Water Reclamation Plant, to IHC Construction and F.H. Paschen/S.N. Nielsen Joint Venture in an amount of $860,528.33, from an amount of $234,103,064.64, to an amount not to exceed $234,963,592.97, Accounts 401-50000-645650, 645780, 645680, Purchase Order 4000020 (As Revised)
Body
Dear Sir:
On December 4, 2014, the Board of Commissioners authorized the Director of Procurement and Materials Management to award Contract 04-128-3P Westside Primary Settling Tanks 1-9 and Aerated Grit Facility, Stickney Water Reclamation Plant, to IHC Construction and F.H. Paschen/S.N. Nielsen Joint Venture, in an amount not to exceed $224,760,000.00, plus a five (5) percent allowance for change orders in an amount of $11,238,000.00, for a total amount not to exceed $235,998,000.00. The scheduled contract completion date was April 6, 2018.
As of June 2, 2023, the attached list of change orders has been approved.
Original Contract Amount $224,760,000.00
Date of Board Approval 12/04/2014
Cumulative Change Order (6/2/2023) $9,343,064.64
% Change of Original Contract Value 4.16%
Current Contract Value $234,103,064.64
Requested Increase $860,528.33
New Contract Value $234,963,592.97
% Change of Current Contract Value 0.37%
Total % Change of Original Contract Value 4.54%
The contractor has submitted a settlement offer seeking $860,528.33 in costs for delay associated with additional pile driving at the Aerated Grit Facility that occurred between December 23, 2014 and November 1, 2015, establishment of November 17, 2022, as the final completion date of the project when change order work for the modified grit conveyor chain drives was completed, a time extension amounting to 1,686 calendar days for the time between the contract completion date of April 6, 2018 and November 17, 2022, and agreement that outstanding work to correct remaining problems with equipment will be handled under warranty. The contractor’s settlement offer also releases the District from any and all future and past claims related to the contract. The Engineering Department has reviewed the settlement offer and determined it to be reasonable.
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 Director of Procurement and Materials Management to execute a change order to increase Contract 04-128-3P in an amount of $860,528.33 (0.37% of the current contract value), from an amount of $234,103,064.64, to an amount not to exceed $234,993,592.97.
Funds are available in Account 401-50000-645650.
Requested, Catherine A. O’Connor, Director of Engineering, GR:KS
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management
Respectfully Submitted, Marcelino Garcia, 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 June 15, 2023
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