HomeMy WebLinkAbout22-0810 Alexander Chemical Corporation August 10, 2022 Agenda
Bid Item: #1 — Water Treatment Chemicals-Modification to Soda Ash
and Chlorine (Total $156,382; $59,000 Soda Ash and $96,982
for Chlorine)
• Purchase Agreement: Signature needed by City Manager & City
Clerk
• Change Order: Signature needed by City Manager
• Return 1 copy of each to Eric Weiss.
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City of Elgin ----- khan eg Order
ELGIN,ILLINOIS
PROJECT Bid 21-060
CHANGE ORDER No. 1
CONTRACT: Chlorine Chemical Purchase for 2022 with Alexander Chemical Corporation(Bid No.
21-060)
SCOPE: A rate increase for chlorine purchases.
REASONS FOR CHANGE: Alexander Chemical was selected as the lowest responsible bidder for
chlorine. In the original bid and awarded agreement, Alexander stated the price would only be applica-
ble for the first 90 days of the year. Alexander has provided information to the city regarding nation-
wide challenges in acquiring chlorine and have provided two price increases this year. Due to unfore-
seeable supply availability, and cost and supply issues nationally involving chlorine, an amendment to
the city's existing agreement with Alexander Chemical Corporation for the purchase of chlorine is nec-
essary. The circumstances necessitating the change in price and contiguity were not reasonably foresee-
able at the time the contract was signed;the subject change is germane to the original contract as signed;
and this change order is in the best interests of the City of Elgin and is authorized by law.
SUMMARY OF CHANGES IN CONTRACT AMOUNT:
ORIGINAL CONTRACT AMOUNT: $1,159.00 per ton
CHANGE ORDER No. I
April 1,2022 increase to$1309.00 per ton $ 150.00 per ton
July 1, 2022 increase to$1675.00 per ton $ 366.00 per ton
TOTAL REVISED CONTRACT AMOUNT: $1,675.00 per ton
The original amount of the contract with Alexander Chemical Corporation is a rate of$1,159.00 per ton.
Change Order No. I will increase the original contract amount rate by a total of$516.00 per ton, that
sum representing a 44.5% increase from the original contract rate amount. The new contract rate
amount, inclusive of all change orders is $1,675.00 per ton. The rate increase will result in a total esti-
mated amount increase of$96,982.
OTHER CONTRACT PROVISIONS: Paragraph 14 TERM of the original agreement is amended in
its entirety to provide:
This agreement shall terminate on December 31, 2022; provided, however,that notwithstanding
anything to the contrary in this agreement, the City may terminate this agreement at any time for
any reason upon ten days written notice by first class U.S. mail without penalty. In the event of
such termination by the City, any payments or liability shall be limited to the price for any pur-
chases actually received by the City as provided for herein.
All other contract provisions remain the same.
CHANGE ORDER No. I
Agreed to this 10 day of August 2022.
Recommended by:
WATER DEPARTMENT
By: Eric Weiss
Title: Water Director
Date:!
Signature: ---'''—�--
Accepters by:
ALEXANDER CHEMICAL CORPORATION
Party of the Second Part(Contractor)
By: Robert Davidson
Title: President
Date: August 4, 2022
Signaturcr._ 4
-----_._ __
Approved by:
CITY OF ELGIN
Party of the First Part(Owner)
By:._ Richard G.Kozal
Title: Citv Manaeer
Date: 0, 2022
Signature: l/