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HomeMy WebLinkAbout22D - PD HVACREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: AUGUST 18, 2020 TITLE: APPROVE AN INCREASE TO THE PURCHASE ORDER AGGREGATE AMOUNT WITH ACCO ENGINEERED SYSTEMS, INC. BY $114,239 FOR AN ANNUAL AMOUNT NOT TO EXCEED $714,239 FOR POLICE ADMINISTRATION BUILDING HVAC UNIT INSTALLATION AND COOLING TOWER MEDIA REPLACEMENT (SPECIFICATION NO. 20-049) (GENERAL FUND) /s/Kristine CITY MANAGER CLERK OF COUNCIL USE ONLY: G••C• E ❑ As Recommended ❑ As Amended ❑ Ordinance on 111 Reading ❑ Ordinance on 2ntl Reading ❑ Implementing Resolution ❑ Set Public Hearing For CONTINUED TO FILE NUMBER RECOMMENDED ACTION Approve an increase to the purchase order aggregate amount for ACCO Engineered Systems, Inc. by $104,239, with a contingency amount of $10,000, for an annual amount not to exceed $714,239, for a one- time purchase order for Police Administration Building HVAC unit installation and cooling tower media replacement, subject to non -substantive changes approved by the City Manager and City Attorney. DISCUSSION On March 15, 2016, the City entered into an agreement with ACCO Engineered Systems, Inc. for preventative maintenance and repairs of air conditioning and heating systems at various City buildings. These facilities include the Police Administration Building. One of the HVAC units located at the Police Department Communications Center has reached the end of its useful life. In addition, the cooling tower needs to be retrofitted with new media to ensure proper coolina of the facilitv and to ensure the system is operating efficiently. The Notice Inviting Bids was advertised on March 16, 2020, on the City's online bid management and publication system. A summary of the bid invitation and bids received is as follows: 122 Vendors were notified 8 Santa Ana vendors were notified 28 Vendors downloaded the bid packet 8 Bids received 1 Bid received from Santa Ana vendor Eight bids were received and opened on April 17, 2020, and evaluated (Exhibit 1). The bid submitted from ACCO Engineered Systems is the lowest, responsive to the specifications, and meets the City's requirements. The City currently has a Council approved HVAC maintenance and repair contract that includes ACCO Engineered Systems, Inc. in the amount of $600,000. Staff recommends adding $104,239 to the purchase order to make the needed repairs in the Police Administration Building. 22D-1 Increase Purchase Order Aggregate for HVAC Unit for PD August 18, 2020 Page 2 Local Vendor Preference For bid evaluation purposes, qualified bidders may receive either a 7% preference for a "small" registered Santa Ana business, or a 4% preference for a "small" Orange County business, which is given respectively on all qualifying bids for materials, supplies, labor, equipment or services pursuant to the Small Local Business Preference Program under Ordinance NS-2828. Small Local Business Preference eligibility requirements are available on the City's website at www.santa- ana.org/finance/local preference program.asp. Vendors located within the City of Santa Ana limits that do not qualify for the small local business preference program may receive a 1 % local vendor preference. Even after taking into account the 4% local preference for the bid received from the small Orange County vendor, Pacific West Industries, Inc, and taking into account the 1% preference given to Santa Ana vendor American Cooling Tower, Inc., that did not qualify for the small local business preference program, the bid submitted by ACCO Engineered Systems, Inc. is significantly lower. Accordingly, staff recommends authorizing a one-time purchase and payment of purchase order to ACCO Engineered Systems, Inc. and increasing the pre-existing purchase order aggregate amount by $104,239, with a contingency amount of $10,000, for an annual amount not to exceed $714,239, for the purchase of the HVAC unit installation and cooling tower media replacement. Outreach Efforts The Purchasing Division advertised this project on the City's online bid management and publication system, which directly notified five Santa Ana vendors, of which one submitted a bid packet for consideration. FISCAL IMPACT Funding for the requested increase of $114,239 to the existing agreement with ACCO Engineered Systems is available in the following Police Department Account: Fiscal Year Accounting Unit- Fund Description Accounting Unit, Amount Account # Account Description Police Building and $114,239 FY 2020-21 01114403 62300 General Fund Facility, Contract Services Professional Fiscal Impact Verified By: Kathryn Downs, CPA, Executive Director — Finance and Management Services Agency Submitted By: Nabil Saba, P.E., Executive Director — Public Works Agency David Valentin, Police Chief— Police Department Exhibit: 1. Abstract of Bids 22D-2 EXHIBIT 1 ABSTRACT OF BIDS HVAC IMPROVEMENTS AT PD (20-049) ACCO Engineered Systems, Inc. Pasadena, CA I CJS Cooling Tower Services Norco, CA Pacific West Industries, Inc Anaheim, CA American Cooling Tower Inc. Santa Ana, CA Descri ion UOM OTY Line Total Line Total Line Total Line Total Cooling Tower Interior R LS 1 $55,477.00 $55, 577,00 $73,900.00 $90,880,00 Packaged Rooftop Unit LS 1 $48,762.00 $54,100.00 $48,900.00 $36,250,00 7 % Small Santa Ana Vendor Preference N/A N/A N/A N/A 4 % Small Orange Cc Vendor Preference N/A N/A $4,912 N/A 1 % Santa Ana local Vendor Preterence N/A N/A N/A $1,271.30 Bitl Base Total $104,239.00 $109,677.00 $117,888.00 $125,858.70 Los Angeles Air Conditioning La Verne, CA Silver State Commercial Refr. Las Vegas, NV Allison Mechanical, Inc Redlands, CA Mesa Energy Systems, Inc Irvine, CA Descri ion UOM OTY Cooling Tower Interior R LS 1 $83, 190.00 $84, 219.36 $88,250.00 $122,253,00 Packaged Rooftop Unit LS 1 S65,910.00 $66,692.64 $69,250.00 $70,549,00 7 % Small Santa Ana Vendor Preference N/A N/A N/A N/A 4 % Small Orange Cc Vendor Preference N/A N/A N/A N/A 1 % Santa Ana local Vendor Preference N/A N/A N/A N/A Bid Base Total $149,100.001 $157,500.001 $192,802.00 Abstract of Bids 22D-3