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1 City's public utility systems: <br />2 1. The initial project work order shall be established <br />3 in an amount equal to the Contract Price plus the <br />4 lessor of $100,000 or 25% of the Contract Price. <br />5 2. The Director of Public Utilities, his designee or <br />6 the project manager is authorized to negotiate <br />7 necessary cumulative contract change orders totaling <br />8 the lessor amount of $100,000 or 25% of the Contract <br />9 Price without prior Board approval, but subject to a <br />10 report to the Board upon project completion. <br />11 3. When cumulative contract change orders reach the <br />12 ceiling amount of the lesser of $100,000 or 25t of the <br />13 Contract Price, subsequent change orders must be <br />14 approved by the Board prior to their execution, except <br />15 in emergency situations, and in emergency situations <br />16 the negotiated change order shall be presented to the <br />17 Board for ratification as soon as practicable. <br />18 BE IT FURTHER RESOLVED that the Board hereby authorizes <br />19 contract change order expenditures in municipal public works <br />20 projects involving the City's public utility systems in the <br />21 cumulative amount of the lesser of $100,000 or 25% of the <br />22 project's Contract Price. <br />23 BE IT FURTHER RESOLVED that the Secretary of this Board <br />24 shall forthwith deliver the original of this Resolution to the <br />25 City Clerk for safekeeping. <br />26 <br />27 <br />City Attorney's Office <br />3900 Main Street <br />Riverside, CA 92522 <br />(909) 782-5567 <br />-2- <br />F:\WPDATA\RES\43253501.RS <br />