Title
Additional Consulting Services - Renewal of Water Supply Service Agreement with the Village of Oak Lawn
History
The Water Supply Service Agreements between the Village of Oak Lawn and Villages of Orland Park, Tinley Park, and Mokena and the City of Oak Forest are set to expire on October 1, 2011. The various municipalities determined that it would be in our best interest to collectively approach Oak Lawn when renewing our contracts and to offer a number of renewal options, including:
-- Perform a cost/benefit analysis to determine the viability of converting the system to a Water Commission with group governance
-- Enter into a water purchase group/authority separate from Oak Lawn
-- Require a variety of changes to the current contract to establish performance standards, oversight of operations and participation in the design and construction of improvement.
In order to accomplish this, the Village of Orland Park entered into a cost sharing agreement with Tinley Park, Mokena, New Lenox and Oak Forest to share the costs of retaining WRB, LLC to assist in renegotiating our Water Supply Service Agreement with the Village of Oak Lawn. WRB, LLC’s total contract is for $60,000; Orland Park’s share is $19,800. The Board previously authorized this amount on July 6, 2009.
Based upon a number of meetings between all parties involved and an initial review of the Village of Oak Lawn’s engineering study that identified a number of long term infrastructure improvements, it was determined that a more detailed analysis was required. In order to perform this analysis, it was recommended that we collectively retain the services of Malcolm Pirnie Engineering to perform the following:
-- Engineering review of the Oak Lawn Water Systems Capital Plan
-- Assessment of the risks/benefits of four alternatives to the proposed redundancy option presented in the Oak Lawn Master Plan
-- Assessment of the feasibility/cost of connecting to an alternative water supply.
Malcolm Pirnie’s total fee is $44,600; Orland Park’s share is $14,738 (33%). The Board previously authorized this amount on March 15, 2010. Per a Mayoral meeting on August 11, 2010, WRB, LLC was asked to work with Malcolm Pirnie to identify the scope for additional engineering due diligence work needed to move the project forward. A detailed summary of the scope of work and the cost estimate is attached. The total new contract amount is for $25,660; Orland Park’s share is $8,467.
On October 4, 2010, this item was reviewed and approved by the Finance Committee and referred to the Board for approval.
Financial Impact
Sufficient funds are available in the Water & Sewer Fund to pay the fees incurred. A budget adjustment in the amount of $8,467 is required.
Recommended Action/Motion
I move to approve entering into a cost sharing agreement with the Villages of Tinley Park, Mokena and New Lenox and the City of Oak Forest to pay Orland Park’s proportionate share of consulting services fees to Malcolm Pirnie Engineering in an amount not to exceed $8,467.
And
Approve a budget adjustment to the Water & Sewer Fund in the amount of $8,467.