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Home My WebLink About07-283 Resolution No. 07-283 RESOLUTION AUTHORIZING EXECUTION OF AMENDMENT NO. 1 TO AGREEMENT WITH REZEK, HENRY, MEISENHEIMER AND GENDE, INC. FOR WATER DEPARTMENT BACKUP POWER PROJECT BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that Olufemi Folarin, City Manager and Diane Robertson, City Clerk,be and are hereby authorized and directed to execute Amendment No. 1 to the engineering services agreement with Rezek, Henry, Meisenheimer and Gende,Inc., for the Water Department backup power project,a copy of which is attached hereto and made a part hereof by reference. s/Robert Gilliam Robert Gilliam, Mayor Pro Tem Presented: November 28, 2007 Adopted: November 28, 2007 Omnibus Vote: Yeas: 6 Nays: 0 Attest: s/Diane Robertson Diane Robertson, City Clerk 4 FIRST AMENDMENT AGREEMENT Thi§ Ameip.dnint Agreement No. 1 is hereby made and entered into thisAA-\\day of WI e,x\k RA 2007, by and between the City of Elgin, an Illinois Municipal Corporation (hereinafter referred to as "CITY") and Rezek, Henry, Meisenheimer and Gende, Inc., an Illinois Corporation (hereinafter referred to as "ENGINEER"). WHEREAS, the parties hereto have previously entered into an Agreement dated April 26, 2006, attached hereto as Attachment "A" (hereinafter referred to as ("ORIGINAL AGREEMENT"); and, WHEREAS, ORIGINAL AGREEMENT provided for a maximum payment of $51,120; and, WHEREAS, the parties hereto have each determined it to be in the their best interest to amend ORIGINAL AGREEMENT; and, WHEREAS, the CITY has determined that the proposed scope of the PROJECT be modified to include review of second and subsequent shop drawing resubmittals; and, WHEREAS, the CITY has determined that the proposed scope of the PROJECT be modified to include additional engineering costs incurred as a result of significant delays associated with completion of the project, which were beyond the ENGINEER'S control; and, WHEREAS, the City has determined that the proposed scope of the PROJECT be modified to include additional engineering associated with modifications required to resolve the breaker tripping problem associated with the existing switchgear at the Riverside Water Treatment Plant; and, WHEREAS, in accordance with Change Order No. 1 between the City and the Contractor (Morse Energy, L.L.C.) for the PROJECT, the City shall deduct the amounts associated with the review of second and subsequent shop drawing resubmittals plus the amounts associated with significant delays in completion of the project from payments to the Contractor and use these deductions to pay the ENGINEER; and, WHEREAS, the circumstances necessitating these changes in performance contemplated by this amendment were not reasonably foreseeable at the time ORIGINAL AGREEMENT was signed; the changes contemplated by this Amendment Agreement are germane to the ORIGINAL AGREEMENT as signed; and this First Amendment Agreement is in the best interests of City and is authorized by law. - 1 - t NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, and other good and valuable consideration, the sufficiency of which is hereby mutually acknowledged, the parties hereto hereby agree as follows: 1. The scope of services outlined in Attachment A of the ORIGINAL AGREEMENT are hereby amended to include the following: a. Review of second and subsequent shop drawing resubmittals. b. Additional general consultation, periodic site visits, pay estimate review, and construction observation required as a result of significant delays associated with completion of the PROJECT. c. Engineering investigations and consultations required to resolve the breaker tripping problem associated with the existing switchgear at the Riverside Water Treatment Plant. 2. Paragraph III(A) of the ORIGINAL AGREEMENT is hereby amended to read: "The CITY shall pay the ENGINEER for its services under the ORIGINAL AGREEMENT and the First Amendment Agreement a total lump sum fee of Eighty Four Thousand Four Hundred Sixty Four ($84,464) regardless of the actual costs incurred by the ENGINEER unless modifications to the scope of the work are authorized in writing by the CITY. ENGINEER'S hourly billing rates for this Agreement are set forth as a line item in Attachment A-2 hereof." 3. The following new Paragraph III(A)(1) is hereby added to the ORIGINAL AGREEMENT: "The sum of the additional engineering costs for the review of second and subsequent shop drawing resubmittals plus the additional engineering costs incurred as a result of significant delays in completion of the PROJECT, which totals $29,527.94, shall be deducted from payments to the Contractor and used to pay the ENGINEER." 4. The following new Paragraph III(A)(2) is hereby added to the ORIGINAL AGREEMENT: "The additional engineering costs associated with modifications required to resolve the breaker tripping problem associated with the existing switchgear at the Riverside Drive Water Treatment Plant, which total $3,816.54, are the responsibility of the City and shall be paid directly to the ENGINEER without any deductions in payments to the Contractor." 5. The following new sentence is added to the end of Paragraph III(C) of the ORIGINAL AGREEMENT: "ENGINEER agrees that the project schedule set forth in Attachment B may be extended as reasonably necessary to complete the PROJECT, and the ENGINEER shall perform all services provided for in this Agreement with regard to the estimated time frame set forth in Attachment B." - 2 - 6. Except as amended by this First Amendment Agreement the ORIGINAL AGREEMENT between the parties shall remain full force and effect. CITY OF ELGIN REZEK, HENRY, MEISENHEIMER AND GENDE, INC. By: irift -\ _ — _ By: City Manager William R. Rickert President Attest: Attta. : • City Clerk arcia A! cCutchan Executive Vice President - 3 - E L -. November 9, 2007 ' N TO: Mayor and Members of the City Council RIVER AS A RESOURCE FROM: Olufemi Folarin, City Manager Kyla B. Jacobsen, Water System Superintendent SUBJECT: Amendment No. 1 for Engineering Services for Water Department Backup Power Project PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information to consider authorization of Amendment No. 1 to the agreement with Rezek, Henry, Meisenheimer and Gende (RHMG) for engineering services for the Water Department Emergency Backup Power Project. RECOMMENDATION It is recommended that the members of the City Council authorize Amendment No. 1 to the agreement with RHMG for engineering services for the Water Department Emergency Backup Power Project in the amount of$33,344. BACKGROUND In June 2002, Black & Veatch, the consulting engineer, completed the emergency power study. The study provided two alternatives for supplying the 2020 emergency water requirements. On July 13, 2005, the City Council awarded phase one of the project to Cummins N Power. Phase one included the procurement of two generators at Riverside and one generator for Slade Avenue pump station and wells in the amount of$1,368,823. On March 22, 2006, the City Council awarded phase two of the project to Morse Energy LLC. The work for phase two consisted of the installation of three 1250 KW engine-generators in the amount of$1,676,330. At start-up of the new generators at the Riverside Water Treatment Plant (WTP), tripping of the breakers was experienced and therefore the electrical load could not be transferred to the new generators. A study was performed to investigate the tripping and it was determined that the new Water-Amendment No. 1 RHMG Backup Power November 9, 2007 Page 2 generator gear was not included in the control power for the existing gear from the main circuit breaker. In accordance with Change Order No. 1 between the City of Elgin and the project contractor, Morse Energy LLC, the City shall deduct the amounts associated with additional engineering costs from payments to the contractor and use these deductions to pay directly to RHMG. COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED None FINANCIAL IMPACT Amendment No. 1 with RHMG will total $33,344. There are sufficient funds budgeted ($257,051 and available ($21,363) in the 2004 General Obligation Bond Fund, account number 384-4000-795.92-46 and budgeted ($400,000) and available ($16,085) in the 2007 Water Fund, account number 401-4002-771.92-46 "Capital Additions/Other Equipment," project number 409018, to fund this agreement. LEGAL IMPACT None ALTERNATIVES 1. Authorize execution of Amendment No. 1 with RHMG for engineering services. 2. Do not authorize the execution of Amendment No. 1 with RHMG for engineering services. Respectfully submitted for Council consideration. KBJ Attachment