CHIEF PROCUREMENT OFFICER AUTHORITY PROCUREMENT AWARDS
ACTION REQUESTED:
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Approve the award of Change Order #2 to Contract 17-208, Traffic Signal Maintenance and Combination Street Lighting Maintenance, to Meade Electric for an amount not to exceed $9,282.84 and a total award of $530,708.11
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DEPARTMENT: Transportation, Engineering and Development
SUBMITTED BY: William J. Novack, Director
BACKGROUND:
The City Council awarded Contract 17-208 to Meade Electric on October 17, 2017 for a two-year term from December 1, 2017 through November 30, 2019. The scope of this contract involves the complete maintenance of Naperville’s traffic signal systems, which includes routine maintenance, emergency repairs, and scheduled work items. Emergency repairs and scheduled work items primarily result from vehicles crashes. In the case of crashes, a formal billing request addressed to the ticketed party for the amount invoiced is submitted to the Financial Department. Typically, the ticketed party or their insurance company will remit payment to the City, and these funds are applied to the general fund.
In October 2019, Change Order #1 was processed to add the approved 5% contingency to the contract. The cost and quantity of extra work needed was higher than average during the contract term and it was recognized the contract would exceed its total budget before the end of the term. There were invoices for extra work pending, and additional funds were needed to pay for the routine maintenance and extra work required before the end of the contract.
DISCUSSION:
During the year, an additional $34,000 (approximate) of extra work was required, above the contract value, to repair damaged equipment. This change order is requested to add the funds necessary to pay the remaining outstanding invoices for extra work required to repair damaged equipment.
The amount of this change order exceeds the original contract amount and 5% contingency by $9,282.84. If approved, the addition of this change order will bring the final value of Contract 17-208 to $530,708.11
Contract Award
|
Original Contract Value |
$496,595.50 |
|
5% Contingency |
$24,829.77 |
|
Subtotal |
$521,425.27 |
|
(+/-) This Change Order |
$9,282.84 |
|
Total Contract Value |
$530,708.11 |
FISCAL IMPACT:
CIP# N/A
Traffic Signal and Combination Street Lighting maintenance is expensed to the Operational Service account listed below. A total of $290,000 was budgeted in 2019 for signal maintenance. The requested change order is within the budgeted amount for this expense.
|
Account Number |
Fund Description |
Budget Amount |
|
30281100-531308 |
General Fund |
$313,200 |