Explanation
BACKGROUND: This ordinance authorizes the Public Utilities Director to modify an existing contract with ABB, Inc. for the Division of Electricity for the Italian Village Substation.
Amount of additional funds to be expended: $135,485
Original contract amount: $6,816,910
Amount of modifications #1 & #2: $171,763
Amount of original contract and modifications #1-#3: $7,124,158
Reasons additional goods/services could not be foreseen:
The turnkey project encountered unforeseen underground site conditions and there were changes to AEP's and the Division's electrical and construction requirements, respectively. These changes were as follows:
· The removal, disposal and replacement of contaminated soil materials.
· AEP panel wiring changes.
· Upgraded fences and gates.
· Miscellaneous upgrades.
· Replacement of an existing concrete approach ramp and adjoining property asphalt parking lot repairs.
· Fiber optic line relocation.
· Installation of SBC phone system to connect the SCADA system.
In addition, there were credits and penalties assessed to the contractor per the
contract.
Reason other procurement processes are not used: ABB, Inc. was awarded the original turnkey contract for the Italian Village Substation project based upon the lowest bid received March 3, 2004. The contract was bid as a design-build contract because of the specialty equipment. The manufacturer/contractor had full control of the design to meet the Division's design criteria. The manufacturer/contractor supplied the original equipment and the structures had to be compatible with this equipment.
How cost of modification was determined: The cost of the design changes was determined through negotiations with the contractor. Please see the attachment for a detailed list of items added and their associated costs, as well as credits for items that were deleted from the existing contract.
Contract Compliance Number: 36-3100018
FISCAL IMPACT: ...
Click here for full text