AGENDA MEMORANDUM

Meeting Date:           November 27, 2006

From:                          Raymond S. Sharp, Environmental Services/Public Works Director

Subject:                      Resolution authorizing  a Three-Year Contract Extension with Hewitt Power & Communications, Inc.

Staff Recommendation:

Staff recommends approval of Amendment No. 6 to provide a three-year contract extension with Hewitt P&C, Inc. for installation of underground utilities.

Analysis:

The current contract with Hewitt Power & Communications, Inc. (Hewitt) expires on December 12, 2006.  Staff has asked Hewitt to provide a contract extension on the existing non-exclusive unit-price contract for installation of underground utilities.  Hewitt has offered a three-year extension with a pricing adjustment to become effective on 1 January 2007 and annually thereafter.  The first adjustment will be for a 3.5% increase.  Each subsequent positive adjustment will be for the lesser of 3.5% or the percentage change in the unadjusted Consumer Price Index.  The proposed schedule of prices for 2007 is attached.

If approved, the contract extension will allow continued construction of underground utilities in a timely fashion as appropriate.  It will also limit future annual price increases to no more than 3.5%.

This is the sixth amendment to the original contract.  Previous amendments have added services and provided a contract extension.  This amendment will be the second three-year contract extension.

Options:

1.  Approve the contract extension, or;

2.  Such alternative action as the Commission may deem appropriate

Fiscal Impact: 

Construction performed under this contract will be funded separately through individual project authorizations, as budgeted.

Submission Date and Time:    12/6/2006 4:46 PM____

Department: Environmental Services Prepared by:  Ray  Sharp                      Attachments:         Yes X   No ______ Advertised:   ____Not Required ______ Dates:   __________________________                      Attorney Review :       Yes___  No ____ _________________________________            Revised 6/10/04

Reviewed by: Dept. Head rss Finance  Dept. _____wp_____________                                    Deputy C.M. ___________________                                          Submitted by: City Manager ______RS_____________

Account No. _________________ Project No. ___________________ WF No. ______________________ Budget  ______________________ Available _____________________

RESOLUTION NO._______________

A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA, AUTHORIZING AMENDMENT NO. 6 TO PROVIDE A THREE-YEAR CONTRACT EXTENSION WITH HEWITT POWER AND COMMUNICATIONS, INC., OKAHUMPKA, FLORIDA,  FOR UNDERGROUND UTILITY INSTALLATION; AND PROVIDING AN EFFECTIVE DATE.

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

            THAT the Mayor and City Clerk are  hereby authorized to execute   Amendment No. 6 with Hewitt Power & Communications, Inc. whose address is 3839 CR 48, Okahumpka, Florida 34762, for a three-year extension of an existing contract for underground utility construction on a project-specific, unit-price basis.

 THAT this resolution shall become effective immediately.

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the __11th___ day of __December_____ 2006.

                                                                            __________________________

                                                                             Mayor

ATTEST:

__________________________

City Clerk