HomeMy WebLinkAbout18-Facilities Management A CITY OF SAN BERNARDINO - REQUEST FOR COUl
From: James Sharer, Director Subject:
Resolution authorizing the City Manager to
Dept: Facilities Management execute an agreement for energy conservation
measures with Western Allied Corporation
Date: January 2, 2008 for HVAC units at the Central Police
Station.
M/CC Meeting Date: January 22, 2008
Synopsis of Previous Council Action:
12-06-94 Resolution No. 94-366 Resolution of the City of San Bernardino to enter into an agreement
With Southern California Edison Company for the installation and
Financing of energy conservation measures at various facilities
Within the City.
Recommended Motion:
1. Adopt Resolution,
2. Authorize the Director of Finance to solicit, as needed, lease-purchase rate quotes under the
existing Master Lease Agreements and to award a lease-purchase to the lowest responsible
leasing company for the HVAC units at the Central Police Station, and
3. Authorize the Finance Director to do a budget transfer of$16,000 in the FY07/08 Adopted
General Fund Budget, from account 001-325-5803 (lease payments)to 001-325 5706
(alterations and renovations).
James W. Sharer
Director of Facilities Management
Contact person: James Sharer Phone: 384-5244
Supporting data attached: Staff Report, Resolution Ward(s): 1
FUNDING REQUIREMENTS: Amount: $97,800. 00 Annual Payments starting in FY08/09
Payments to be offset by energy savings
Source:: Lease Purchase
Financing
Barbara Pachon
Director of Finance
Council Notes:
Agenda Item No.
CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
STAFF REPORT
SUBJECT
Resolution of the Mayor and Common Council of the City of San Bernardino authorizing the
City Manager to execute an agreement for energy conservation measures with Western Allied
Corporation for the HVAC units at the Central Police Station
BACKGROUND
The Central Police Station is a 68,000 square foot building located at 710 North D Street. The
City of San Bernardino EDA designed and built the Central Police Station starting in 1993 and
it was occupied in October 1996. The building utilized four 50-ton air cooled air-conditioners
that operate 24 hours a day, 365 days per year. In the past eleven years, all computer operations
for the department have moved to the site and personnel increases continue to tax the system,
making it under capacity for the current operations. These units are now eleven years old and
have the service operational life of units that are over twenty years old based upon operating
hours. A heat wave experienced last September of over 100 degrees pushed the units to the
edge of their functional life. Staff and the unit manufacturer, Trane, have determined that the
units will not function through another hot summer.
Staff immediately started looking for a replacement solution for these units. The manufacturer
has offered two solutions that will fit on the existing building roof pads without major
modifications: four fifty-ton air-cooled units that would be a like-for-like replacement, or four
water-cooled 59-ton units that would offer greater cooling capacity, and generate energy
savings that could be used to pay for the project. The water-cooled units should have a longer
life expectancy of 15 — 18 years when operating 24 hours a day. The manufacturers lead time
for these units is 12— 14 weeks, so ordering these units is at a critical point to meet the summer
deadline.
The change from an air-cooled system to a water cooled system will also require that temporary
cooling be provided for the building during the installation process, at a not-to-exceed
anticipated cost of$50,000.00. To minimize the need for temporary cooling and to improve the
overall operation of the HVAC system, Staff proposes that two air-conditioning systems be
permanently installed in the computer rooms. These units will operate 24 hours per day and
give the system some added cooling capacity.
Western Allied of Sante Fe Springs was contacted to develop this project. Western Allied is our
technical support vendor for the computerized controls used on most City buildings. Western
Allied has also been the contractor used on the chiller installations at the Library and Galaxy
Recreation Center. They are a full service vendor with the expertise to change from air-cooled
to water systems and operate them with our current digital controls. It is important to note that
our current controls at the PD are outdated and no longer manufactured. Western Allied has
control parts in stock for our systems.
If approved by the Mayor and Common Council, this resolution will authorize this Agreement
with Western Allied Corporation pursuant to San Bernardino Municipal Code §3.04.010 (B)
(3). In this situation, the negotiated purchase is requested due to the vendors knowledge and
ability to interface with the City's computerized HVAC control system.
FINANCIAL IMPACT
The project costs are estimated as follows:
Installation of water cooled air conditioners $774,600
Contingency (10% of&774,000.00) 77,400
ContingencyTemporary Cooling (est.) 50,000
Total Cost $902,000
SCE Energy Efficiency Rebate (est. at $.14 per kwh) -$ 50,000
Total Budget for project $852,000
Based on an estimated Energy efficiency Rating (EER) of 8.5 for the existing units and
13.5 - 14.0 for the water cooled units, our preliminary ballpark estimate for utility
savings from Edison is about $100,000 - $110,000 per year. The debt service on this
project would be $97,800 if financed for 11 years at 5% interest. Debt service payments on the
large system noted above are anticipated to begin in FY 08/09.
The Mayor and Common Council approved $16,000 of debt service funding in the FY 07/08
Facilities Management Budget, Account 001-325-5803 (lease payments). Staff requests that
this money be transferred to Facilities Management Account 001-325-5706 (Alterations and
Renovations), in order to fund the installation of two permanent air-conditioners in the PD
computer rooms These units would be installed under a separate contract.
RECOMMENDATION
1. Adopt Resolution,
2. Authorize the Director of Finance to solicit, as needed, lease-purchase rate quotes under the
existing Master Lease Agreements and to award a lease-purchase to the lowest responsible
leasing company for the HVAC units at the Central Police Station, and
3. Authorize the Finance Director to do a budget transfer of$16,000 in the FY07/08 Adopted
General Fund Budget, from account 001-325-5803 (lease payments) to 00 1-325 5706
(alterations and renovations).
co :�
1 RESOLUTION NO.
2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF
3 SAN BERNARDINO AUTHORIZING THE CITY MANAGER TO EXECUTE AN
AGREEMENT FOR ENERGY CONSERVATION MEASURES WITH WESTERN
4 ALLIED CORPORATION, FOR HVAC UNITS AT THE CENTRAL POLICE
5 STATION.
6 NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COMMON
COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS:
7
8 SECTION 1. The City Manager of the City of San Bernardino is hereby authorized and
9 directed to execute on behalf of said City an agreement for energy conservation measures with
10 Western Allied Corporation, for the HVAC units at the Central Police Station in the amount of
11 $774,600.00, with a contingency amount of$127,400.00. A copy of the agreement is attached
12
13 hereto as Exhibit"A" and made a part hereof. This resolution will authorize this Agreement with
14 Western Allied Corporation pursuant to San Bernardino Municipal Code §3.04.010 (B) (3).
15 SECTION 2. This contract and any amendments or modifications thereto shall not take
16 effect or become operative until fully signed and executed by the parties and no party shall be
17 obligated hereunder until the time of such full execution. No oral agreements, amendments,
18
19 modifications or waivers are intended or authorized and shall not be implied from any act or
20 course of conduct of any party.
21
22 SECTION 3. This resolution is rescinded if the parties to the contract fail to execute it
23 within 60 days of the passage of this resolution.
24
25
26
27
28
i
I RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
2 BERNARDINO AUTHORIZING THE CITY MANAGER TO EXECUTE AN
AGREEMENT FOR ENERGY CONSERVATION MEASURES WITH WESTERN
3 ALLIED CORPORATION, FOR HVAC UNITS AT THE CENTRAL POLICE
STATION.
4
5 I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Mayor and
Common Council of the City of San Bernardino at a meeting thereof,
6 held on the day of , 2008, by the following vote, to wit:
7
8
9 Council Members: AYES NAYS ABSTAIN ABSENT
10 ESTRADA
I 1 BAXTER
12 BRINKER
13 DERRY
14
KELLEY
15
JOHNSON
16
McCAMMACK
17
18
19 City Clerk
20
21
22 The foregoing resolution is hereby approved this day of , 2008.
23
24 Patrick J. Morris, Mayor
25 City of San Bernardino
26 Approved as to form:
27
28 �/ �L
James F. P an, City Attorney
Exhibit"A"
IL AGREEMENT FOR SERVICES
This AGREEMENT is made and entered into this of 2008, by and
between the CITY OF SAN BERNARDINO, California, a municipal corporation, hereinafter referred to as the
"CITY" and Western Allied Corporation, hereinafter referred to as "CONTRACTOR".
WITNESSETH
WHEREAS, City desires to obtain services for the installation of an energy-efficient replacement of
City-owned A/C equipment at the Central Police Station at 710 North D Street in the City of San Bernardino,
California; and
WHEREAS, Contractor is a licensed mechanical contractor qualified to provide said services; and
WHEREAS, San Bernardino City Council has elected to engage the services of Contractor upon the
terms and conditions as hereinafter set forth.
NOW, THEREFORE, it is mutually agreed, as follows:
1. SCOPE OF SERVICES
Contractor shall perform those services specified in the proposal, dated January 9, 2008,
0 specifically `section 113' and proposed costs, a copy of which is attached hereto as Exhibit "1",
and incorporated herein as though set forth in full.
2. TERM OF AGREEMENT
Contractor shall commence within five (5) days after the City has authorized work to start by
issuance of a Notice to Proceed.
3. STANDARD OF PERFORMANCE
Contractor shall complete all work in conformance with Federal, State, and local regulations and
industry standards.
4. CHANGES/EXTRA SERVICES
A. Performance of the work specified in the attached quotation are made an obligation of
Contractor under this Agreement, subject to any changes made subsequently upon mutual
agreement of the parties. All such changes shall be considered as additional tasks and
shall be incorporated by written amendments to this Agreement and include any increase
or decrease in the amount of compensation due Contractor for the change in scope. Any
change, which has not been so incorporated, shall not be binding on either party.
B. Contractor shall render no extra services under this Agreement unless City authorizes
such extra services in writing prior to performance of such work. Authorized extra
services shall be invoiced base n
d o the authorized additional task amounts.
1
Exhibit"A"
5. COMPENSATION
A. Upon satisfactory completion of the work, the Contractor will be paid $774,596 in
arrears, for all work and services performed under this contract and upon receipt of
itemized invoices, submitted in duplicate to the contract manager. The invoice amount
will be based on the actual work performed. Contractor will submit an invoice to the City
upon completion of the project.
B. Said compensation shall not be altered unless there is significant alteration in the scope,
complexity or character of the work to be performed. City and Contractor shall agree
upon any such significant alteration in writing before commencement of performance of
such significant alteration by Contractor.
Any adjustment of the total cost of services will only be permitted when the Contractor
establishes and City has agreed in writing that there has been, or is to be, a significant
change in:
1. Scope, complexity, or character of the services to be performed;
2. Conditions under which the work is required to be performed; and
3. Duration of work if the change from the time period specified in the Agreement
for completion of the work warrants such adjustment.
C. The Contractor is required to comply with all Federal, State and local laws and
ordinances applicable to the work. The Contractor is required to comply with prevailing
wage rates in accordance with California Labor Code Section 1770.
6. PAYMENT BY CITY
A. The billings for all services rendered pursuant to this Agreement shall be submitted by
Contractor to City and shall be paid by City within twenty (20) days after receipt of same,
excepting any amounts disputed by City. Dispute over any invoiced amount shall be
noticed to the Contractor within ten (10) days of billing and a meet and confer meeting
for purposes of resolution of such dispute shall be initiated by the City within (10) days
of notice of such dispute. All tasks as specified in Exhibit "1" shall be completed prior to
final payment.
B. No payment will be made for any work performed prior to approval of this contract by
City and Notification to Proceed.
7. SUPERVISION AND ACCEPTANCE OF SERVICES
A. The Director of Facilities Management of City, or his designee, shall have the right of
general supervision over all work performed by Contractor and shall be City's agent with
respect to obtaining Contractor's compliance hereunder. No payment for any services
rendered under this Agreement shall be made without prior approval of the Director of
Facilities Management or his designee.
2
Exhibit"A"
8. COMPLIANCE WITH CIVIL RIGHTS LAWS
Contractor hereby certifies that it will not discriminate against any employee or applicant for
employment because of race, color, religion, sex, marital status, age, handicap or national origin.
Contractor shall comply with all State and Federal Civil Rights Laws in its hiring practices and
employee policies. Such action shall include, but not be limited to, the following: recruitment
and recruitment advertising, employment, upgrading, and promotion.
9. TERMINATION OF AGREEMENT
A. This Agreement may be terminated by either party upon thirty (30) days' written notice
in the event of substantial failure of the other party to perform in accordance with the
terms of this Agreement. Each party shall have twenty (20) days following the date of
such notice within which to correct the substantial failure, giving rise to-such notice. In
the event of termination of this Agreement, City shall within thirty (30) days pay
Contractor for all the fees, charges and services performed to City's satisfaction by
Contractor, which finding of satisfaction shall not be unreasonably withheld. Contractor
hereby covenants and agrees that upon termination of this Agreement for any reason,
Contractor will preserve and make immediately available to the City, or its designated
representatives, maps, notes, correspondence, or records related to work paid for by the
City and required for its timely completion, and to fully cooperate with City so that the
Q work to be accomplished under this Agreement may continue within forty-five (45) days
of termination. Any subsequent use of such incomplete documents, other than their
originally intended use, shall be at the sole risk of the City, and the City agrees to hold
harmless and indemnify Contractor from any claims, losses, costs, including attorney's
fees and liability arising out of such use. Contractor shall be compensated for such
services in accordance with Exhibit "I".
B. This Agreement may be terminated for the convenience of the City upon thirty (30) days
written notice to Contractor. Upon such notice, Contractor shall provide work product to
City, and City shall compensate Contractor in the manner set forth above.
C. Following the effective date of termination of this Agreement pursuant to this section, the
Agreement shall continue until all obligations arising from such termination are satisfied.
10. CONTINGENCIES
In the event that, due to causes beyond the control of and without the fault or negligence of
Contractor, Contractor fails to meet any of its obligations under this Agreement, and such failure
g shall not constitute a default in performance, the City may grant to Contractor such extensions of
time and make other arrangements or additions, excepting any increase in payment, as may be
reasonable under the circumstances. Increases in payment shall be made only under the
"changes" provision of this Agreement. Contractor shall notify City within three (3) days in
writing when it becomes aware of any event or circumstances for which it claims or may claim
an extension.
I
I 3
Exhibit"A"
11. INDEPENDENT CONTRACTOR
Contractor shall act as an independent contractor and shall not be considered an employee of the
City in the performance of the services provided for under this Agreement. Contractor shall
furnish such services in its own manner. This Agreement is not intended and shall not be
construed to create the relationship of agent, servant, employee, partnership, joint venture, or
association between Contractor and the City.
12. ASSIGNMENT OR SUBCONTRACTING
Contractor shall not assign this Agreement, or any portion thereof without the written consent of
City. Any attempt by Contractor to assign or subcontract any performance of this Agreement
without the written consent of the City shall be null and void and shall constitute a breach of this
Agreement. All subcontracts exceeding $10,000 shall contain all provisions of this contract.
13. NOTICES
All official notices relative to this Agreement shall be in writing and addressed to the following
representatives of Contractor and City:
CONTRACTOR CITY
Michael Gallagher Jim Sharer
Western Allied Corporation City of San Bernardino
PO Box 3628 300 N. "D" Street
Sante Fe Springs, CA 90670 San Bernardino, CA 92418
14. RESPONSIBILITIES OF PARTIES
A. The Contractor may reasonably rely upon the accuracy of data provided by the City or its
agents.
B. Upon completion of all work under this contract, ownership and title to all reports,
documents, plans, specifications, and estimates produced as part of this contract will
automatically be vested in the City and no further agreement will be necessary to transfer
ownership to the City.
C. For the purpose of determining compliance with Public Contract Code Section 10115, et.
seq. and Title 21, California Code of Regulations, Chapter 21, Section 2500 et. seq.,
when applicable, and other matters connected with the performance of the contract
pursuant to Government Code Section 8546.7, the Contractor, subconsultant, and the City
shall maintain all the books, documents, papers, accounting records, and other evidence
pertaining to the performance of the contract, including but not limited to, the costs of
administering the contract.
All parties shall make such materials available at their respective offices at all
reasonable times during the contract period and for three years from the date of final
payment under the contract. The State, the State Auditor, or any duly authorized
4
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0
Exhibit"A"
I -
I
9
e
a
representative of the Federal government having jurisdiction under Federal laws or
regulations (including the basis of Federal funding in whole or in part) shall have
access to any books, records, and documents of the Contractor that are pertinent to
the contract for audits, examinations, excerpts, and transactions, and copies thereof
shall be furnished if requested.
15. PREVAILING PARTY
The prevailing party in any legal action to enforce or interpret any provision of this Agreement
will be entitled to recover from the losing party all reasonable attorneys' fees, court costs, and
necessary disbursements in connection with that action. The costs, salary, and expenses of the
City Attorney and members of his office, in connection with that action shall be considered as
attorneys' fees for the purposes of this Agreement.
16. INDEMNITY
Contractor shall indemnify, defend and hold harmless City from and against any and all claims,
demands, suits, actions, proceedings, judgments, losses, damages, injuries, penalties, costs,
expenses (including reasonable attorney's fees), and liabilities, of, by, or with respect to third
parties, which arise from Contractor's negligent performance of services under this Agreement.
Contractor shall not be responsible for, and City shall indemnify, defend, and hold harmless
Contractor from and against, any and all claims, demands, suits, actions, proceedings,judgments,
losses, damages, injuries, penalties, costs, expenses (including reasonable attorney's fees) and
liabilities of, by or with respect to third parties, which arise from the City's negligent
performance under this Agreement. With respect to any and all claims, demands, suits, actions,
proceedings, judgments, losses, damages, injuries, penalties, costs, expenses (including
reasonable attorney's fees) and liabilities of, by or with respect to third parties, which arise from
the joint or concurrent negligence of Contractor and City, each party shall assume responsibility
in proportion to the degree of its respective fault.
17. LIABILITY/INSURANCE
Contractor shall maintain insurance policies meeting the minimum requirements set forth herein. All
insurance maintained by the Contractor shall be provided by insurers satisfactory to the City.
Certificates evidencing all insurance coverage required herein shall be delivered to the City prior to
the Contractor performing any of the services under this Agreement. All insurance certificates
required herein shall name the City as an additional insured and provide for thirty-(30) days written
notice from the insurer to the City prior to any material change or cancellation of any insurance
policy of the Contractor.
A. Comprehensive General Liability and Automobile Insurance. The Contractor shall
maintain comprehensive general liability and automobile liability insurance with a combined
single limit of not less than One Million Dollars ($1,000,000.00)per occurrence.
5
Exhibit"A"
B. Worker's Compensation Insurance. The Contractor shall maintain worker's
compensation insurance in accordance with the laws of the State of California for all
workers employed by the Contractor.
Y
18. VALIDITY
i
i
Should any provision herein be found or deemed to be invalid, this Agreement shall be construed as
( not containing such provision, and all other provisions which are otherwise lawful shall remain in
full force and affect, and to this end the provisions of this Agreement are declared to be severable.
19 ENTIRE AGREEMENT
s
This Agreement represents the entire and integrated agreement between the parties hereto and
supersedes all prior and contemporaneous negotiations, representations, understandings, and
agreements, whether written or oral, with respect to the subject matter thereof. This Agreement may
be amended only by written instrument signed by both parties.
3
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20. BUSINESS LICENSE
Contractor shall obtain and maintain a valid City Business Registration Certificate during the term of
this agreement.
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3
F
s
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Exhibit"A"
GREEMENT FOR Services with Western Allied Corporation
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed on the date
written above by their duly authorized officers on their behalf.
ATTEST: CITY OF SAN BERNARDINO
BY: BY:
Rachel Clark, City Clerk Fred Wilson, City Manager
City of San Bernardino City of San Bernardino
Western Allied Corporation
BY:
Signature
NAME:
TITLE:
Approved as to form:
JAMES F. PENMAN
City Attorney
BY: G ��
7
EXHIBIT 1
WESTERN ALLIED CORPORA TION
The Building Relationship People
At the same address since 1961
12046 E. Florence Avenue PO Box 3628 Santa Fe Springs, CA 90670
5621944-6341 Fax 5621944-7092
Contractors License No. 198821
Air Conditioning Service, Maintenance, & System Correction
January 9, 2008
City of San Bernardino
Facilities Management Department -
300 North "D" Street
San Bernardino, CA 92418-0001
Re: Police Department
HVAC Energy Project
Attn: Mr. Jim Sharer
Dear Jim:
Per your request we have looked at the San Bernardino Police Department and can
offer the following pricing. Please note that, unless specifically noted otherwise, all
pricing is based upon performing the work during regular working hours; and does not
include engineered drawings or permit fees; electrical work or new disconnects other than
simple disconnect/reconnect between old and new equipment; fire and life safety
interlocks or other work, roofing work or hazardous material abatement of any kind;
seismic or structural engineering or upgrades; or any repairs or other work not
specifically noted. All prices include sales taxes.
We propose the following:
I a.) Replace the four (4) existing 50 ton Trane air cooled packaged rooftop units with
new Trane high sensible capacity 50 ton units. $467,185.00.
1 b.) Or, replace the four (4) existing 50 ton Trane packaged rooftop units with new
Trane evaporative condensing rooftop units (nominal 59 tons capacity). Please note that
this includes using existing domestic water lines and roof drains for the evaporative
condensing section, and does not include upgrades (if desired or required by the city) to
existing domestic water or drain lines. The existing units have an operating weight of
approximately 8,300 pounds; the new units would have an operating weight of
approximately 11,000 pounds. Please note that structural review or modifications are not
included. The provision of four new chemical treatment systems (one per unit) is
included, with a small roof platform for each (final hot mop roofing of platform by
EXHIBIT 1
City's preferred roofer is not included). $774,596.00. If the City prefers that the units
use R-407C refrigerant in lieu of R-22, add $10,283.00.
2.) Police Department. Review and re-commission the existing zone controls.
$7,685.00.
3.) Police Department. Add 15 tons of heat pump split systems to address specific
warm areas in the building, with the outdoor units located outdoors, on grade, as already
reviewed with City personnel. Use controls compatible with existing system. Revise
existing zones to accommodate the new systems. Include smoke detector wired to shut
down units in the event of smoke detection. This item specifically includes new
electrical service for these new units. $104,906.00.
All prices shown are valid for work authorized with valid contract within sixty (60) days
of the date of this letter.
Please let me know if you have any questions.
Sincerely,
Michael Gallagher