Item Coversheet


City Council Agenda Request
March 20, 2018


AGENDA REQUEST NO: IV.D.

AGENDA OF: City Council Meeting

INITIATED BY: Abimbola Fadimu, Facilities Services Manager

PRESENTED BY: Abimbola Fadimu, Facilities Services Manager

RESPONSIBLE DEPARTMENT: Environmental and Neighborhood Services

AGENDA CAPTION:
Consideration of and action on authorizing execution of a one year contract in the amount of $172,880.64 with Gowan Inc., for HVAC Preventative Maintenance and On-call Repairs. This contract will automatically renew for four (4) additional years for a total contract cost of $864,403.20.
RECOMMENDED ACTION:
Consideration and action authorizing the execution of a one-year contract with Gowan Inc. in the amount of $172,880.64 for HVAC Preventative Maintenance and On-call Repairs. This contract will automatically renew for four (4) additional years for a total contract cost of $864,403.20.
EXECUTIVE SUMMARY:

The Facilities Management Division of the Environmental & Neighborhood Services Department is charged with the operation and maintenance of the heating, ventilation and air conditioning systems at all City Facilities. The systems are maintained by staff as well as through scheduled preventative maintenance and on-call contracted services.

HVAC Preventative Maintenance services include replacing filters, cleaning coils, visual inspections, recording amp draws, acid and moisture tests and replacing belts. In addition, this process also provides for maintenance on air cooled chillers, rooftop & split system units, air handlers and van axial fans, pumps, air compressors and pressure stations, fire dampers, exhaust fans and variable air volume boxes.

The Facilities Management Division released an Invitation to Bid for the above-referenced HVAC preventative maintenance and on-call repair services, which was advertised in the local newspaper on January 31 and February 07, 2018. On February 15, 2018, the City received seven (7) bids in response to this request, and Gowan Inc. was identified as the lowest bidder.

 The HVAC bid responses are included below:

The contract term dates with Gowan, Inc., will be March 22, 2018 through March 21, 2019 and will renew automatically under the same terms and conditions for four (4) additional one-year terms. Funding for this contract is available through the General, Enterprise and Utility Funds within the operations budget. While the total contract cost is less than our previous HVAC preventative maintenance and on-call services contract, there are some line items that are slightly higher, specifically in relation to the Airport and Utilities Funds. While the Airport HVAC equipment remained the same across the two contracts, four (4) central A/C units at existing Utilities sites were added to the new contract in order to ensure they receive the required preventative maintenance. These accounts will be adjusted by the Budget Office through year end projections. The additional services outlined within the contract with Gowan, Inc. are slightly higher than the City’s previous contract, however, these services are performed as needed and as funds are available. A contract comparison is included below:    

Funds

Annual Cost – Gowan Inc.

Annual Cost – Previous Contract

General Fund

$73,753.44

$95,944.00

Enterprise Funds:

 

 

· Airport

$21,049.44

$16,700.00

· Surface Water Treatment Plant

$5,230.40

$8,641.00

· Visitor Center & Heritage Museum

$3,340.88

$3,632.00

· Utilities

$3,741.48

 

Blanket PO (Additional Services as needed)

$65,765.00

$65,626.82

Total Contract Sum

$172,880.64

$190,543.82

 

Staff recommends that the City Council authorize the execution of a one-year contract with Gowan Inc., in the amount of $172,880.64 for HVAC Preventative Maintenance and On-call Repairs. This contract will automatically renew for four (4) additional years for a total contract cost of $864,403.20.


BUDGET

EXPENDITURE REQUIRED:  172,880.64

CURRENT BUDGET: 172,880.64

ADDITIONAL FUNDING: N/A

FUNDING SOURCE:General Fund and Enterprise Funds

ATTACHMENTS:
DescriptionType
SIGNED CONTRACT - GOWAN INC.Contracts