Loading...
HomeMy WebLinkAbout08-122 Resolution No. 08-122 RESOLUTION AUTHORIZING EXECUTION OF A FIRST AMENDMENT AGREEMENT WITH REZEK, HENRY, MEISENHEIMER and GENDE, INC. 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 a first amendment agreement on behalf of the City of Elgin with Rezek,Henry, Meisenheimer and Gende, Inc., for engineering services associated with the Highland Avenue Overhead Tank(T-11), a copy of which is attached hereto and made a part hereof by reference. s/Ed Schock Ed Schock, Mayor Presented: May 14, 2008 Adopted: May 14, 2008 Omnibus Vote: Yeas: 6 Nays: 0 Attest: s/Diane Robertson Diane Robertson, City Clerk FIRST AMENDMENT AGREEMENT This Amendment Agreement No. 1 is hereby made and entered into this\ day of 'm A 2008, 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 for work related to City's Highland Tank Project (hereinafter referred to as "PROJECT"), attached hereto as Attachment "A" (hereinafter referred to as "ORIGINAL AGREEMENT"); and, WHEREAS, ORIGINAL AGREEMENT provided for a maximum payment of $108,150; 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 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, as a result of Change Order No. 1 to a contract between the CITY and the Contractor for the PROJECT (CB&I Constructors, Inc.), the City shall deduct the sum of $15,000 from such contract, and shall use such funds to pay the ENGINEER for the additional work provided for pursuant to this First Amendment Agreement; and, WHEREAS, the circumstances necessitating the 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, and, WHEREAS, this First Amendment Agreement shall result in a total lump sum payment to ENGINEER of$123,150, which shall result in an increase of $15,000 to the cost of ORIGINAL AGREEMENT, which increased amount constitutes an increase of 13.8% above the cost of ORIGINAL AGREEMENT. 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 aforementioned recitals are incorporated into and made a part of this agreement. - 1 - 2. The scope of services outlined in Exhibit A of the ORIGINAL AGREEMENT are hereby amended to include the following: a. 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. 3. Paragraph III(A) of the ORIGINAL AGREEMENT is hereby amended to read: "The CITY shall pay the ENGINEER for its services pursuant to this agreement as amended a total lump sum fee for all services hereunder of One Hundred Twenty-Three Thousand One Hundred Fifty Dollars ($123,150) 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 Exhibit B hereof." 4. The following new sentence is added to the end of Paragraph III(C.3) of the ORIGINAL AGREEMENT: "ENGINEER agrees that this construction schedule 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 extended time frame. 5. 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. 1 By: By: - City Mana r • William R. Rickert President Attest: Attest. (IttI. . it spr. _ City Clerk Marcia A. 'y cCutchan Executive Vice President - 2 - April 18, 2008 :414' TO: Mayor and Members of the City Council FROM: Olufemi Folarin, City Manager Kyla B. Jacobsen, Water System Superintendent SUBJECT: First Amendment to the Agreement with Rezek, Henry, Meisenheimer and Gende for Highland Avenue Overhead Tank(T-11) PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information to consider executing an amendment to the previously signed agreement with the Rezek, Henry, Meisenheimer and Gende for engineering services associated with the Highland Avenue Overhead Tank(T-11). RECOMMENDATION It is recommended that the City Council authorize the City Manager to execute Amendment number one in the amount of $15,000 to the engineering agreement with Rezek, Henry, Meisenheimer and Gende. BACKGROUND On March 22, 2006, the City Council awarded an engineering contract to Rezek, Henry, Meisenheimer, and Gende (RHMG) for bidding and construction services for Highland Water Tank(T11). Bid specifications were prepared by RHMG. On July 12, 2006, the City Council awarded the construction of the Highland Water Tank (T11) to CBI Contractors of Plainfield, Illinois. Due to inclement weather and contractor delays, the project was not completed on time. However, the construction of the Highland Tank is substantially complete and the water tank has been in service since August 10, 2007. The City staff and RHMG developed a punch list and the contractor CB&I is working to complete the punch list items. The anticipated final completion date is May 31, 2008. The original substantial and final completion dates were June 30, 2007 and July 31, 2007 respectively. RHMG will continue providing additional engineering services until the project is finally closed. The engineering services included in the First Amendment Agreement with RHMG includes additional general consultation, periodic site visits, pay estimate review, and construction First Amendment Agreement with RHMG April 18, 2008 Page 2 observation required as a result of the delays associated with the completion of the project. The cost of these engineering services is in the amount of$15,000. The liquidation damages that are being assessed to the contractor are intended to cover the additional engineering costs. COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED None FINANCIAL IMPACT There are sufficient funds budgeted ($1,905,474) and available ($208,585) in the water portion of the 2005 General Obligation Bond Fund, account number 365-4000-795.92-41 "Capital Additions-Distribution Systems," and the Water Development Fund, account number 420-0000- 771.92-41 ($1,540,000 budgeted and $47,339 available), "Capital Additions-Distribution Systems," project number 409651, to fund the first amendment with Rezek, Henry, Meisenheimer and Gende in the amount of$15,000. LEGAL IMPACT None ALTERNATIVES 1. The City Council may choose to authorize execution of the Amendment to the agreement with Rezek, Henry, Meisenheimer and Gende. 2. The City Council may choose not to authorize execution of the Amendment to the agreement with Rezek, Henry, Meisenheimer and Gende. Respectfully submitted for Council consideration. KBJ Attachments