ADMINISTRATIVE REPORT
MEETING DATE: September 24, 2025 AGENDA CATEGORY: Consent - Resolutions TO: Honorable Mayor and City Council
FROM: Randy McKeegan, Finance Director
DATE: September 16, 2025
SUBJECT: Agreement with CIMCO Refrigeration Inc. to upgrade the Ice Plant at the Valley Children’s Ice Center. (Ward 2)
1. Resolution determining that ice plant upgrade work can most efficiently be procured through cooperative procurement bidding procedures from CIMCO Refrigeration Inc. and authorizing the Finance Director to dispense with bidding.
2. Approve agreement with CIMCO Refrigeration Inc. for ice plant upgrade at the Valley Children’s Ice Center of Bakersfield in the amount of $2,790,738.
3. Authorize staff to approve, as necessary, up to $109,262 in City controlled contingency for unforeseen conditions encountered during the construction of the project for a total budget amount of $2,900,000.
RECOMMENDATION:
Staff recommend approval resolution, agreement, and the City controlled contingency.
BACKGROUND:
The Valley Children’s Ice Center of Bakersfield is a year -around, indoor ice rink in Bakersfield, California.
Completed in 2003, the facility still operates using its original ice plant that is now over 20 years old and approaching the end of its typical 20–30-year life expectancy. Additionally, the current ice plant uses R22 refrigerant that has been phased out and banned by the U.S. Environmental Protection Agency (EPA) as part of EPA’s ozone protection program. Continuous, year -around operation has led t o significant wear and tears resulting in frequent and costly maintenance. Staff recommend upgrading the ice plant to meet current industry standards to improve performance, enhance energy efficiency, and ensure long -term operational reliability.
The Cit y municipal code section 3.20.060(D)(6) allows the City to dispense with bidding when it is determined that work, supplies, equipment or materials is not available from local vendors and that it is in the best interests of the City, and to the City’s economic advantage that such work, supplies, equipment or materials be obtained at the lowest possible cost by entering into a cooperative procurement contract that was competitively bid within the last thirty-six months or is one that is still active and valid.
CIMCO Refrigeration Inc. has entered into a competitive procurement contract with Sourcwell to offer discount pricing for their work. Staff recommend adoption of the Resolution to dispense with bidding to procure ice plant upgrade services and approval of the agreement for the General Services Division within the Public Works Department.
The City of Bakersfield Municipal Code section 3.20.105(E) authorizes Public Works Contract Amendments to be executed via Change Order, provided that Change Orders which exceed $10,000 must be approved by the City Council. Staff are requesting pre -approval of up to $109,262 for City -controlled contingency for unforeseen conditions encountered during construction of this project, to be executed via authorized Change O rder(s). Any costs which exceed the City Council approved contingency, cumulative or otherwise, it would require action and approval from the City Council. The City-controlled contingency
will save staff time by eliminating the need to prepare separate Council reports for each routine change order that may arise during the project. Any unused contingency funds will be returned to the fund balance upon project completion.
FISCAL IMPACT:
Sufficient funds were set aside in the Fiscal Year 2025-26 budget in the Capital Outlay Fund for this project, thus no additional General Fund is requested for this project.
COUNCIL GOAL:
Reliable Infrastructure
ATTACHMENTS:
1. Resolution
2. Partially signed agreement
3. Quote