04/14/2009 (4) - Laserfiche WebLink

Home Browse Search

Commissioner Solari expressed that there was ambiguity in the way the contract was written. He indicated that the final number is taken from the initial contract amount, and to that is added the contingency, and then the 5% management fee. He said he would rather see it have the contract amount, and then the 5% management fee applied to that, with a 20% contingency fee; or better than that, have the contract spell out that the 5% management fee to Waste Management would be for the actual, and not the potential contract price. He reiterated the importance of eliminating the ambiguity and making sure that Waste Management only receives 5% of the amounts actually expended. Director Mehta informed the Board that staff and Waste Management were in agreement to modify the Second Amendment reflecting the 5% and the respective 10% management fee on both projects, first on the base contract price and then the contingency. Commissioner O'Bryan added that staff still needs to include the total amount for budget purposes. He wanted to see a second management fee added below the contingency so the total budget wraps in any potential cost. Administrator Baird reported that the budget has always included a contingency (the actual costs that are anticipated). He suggested leaving the contingency out of the contract and not addressing it at this time. Director Mehta acknowledged that these change -over items would be reviewed by staff and the engineer, and upon their approval, and once the work is completed, then whatever the monthly invoice is, the appropriate management fee would then be added. ON MOTION by Commissioner Wheeler, SECONDED by Vice Chairman Flescher, the Board unanimously approved the Second Amendment to Contract Agreement between April 14, 2009 2 S.W.D.D.