Agenda Report
Fullerton City Council
MEETING DATE: April 19, 2022
TO: CITY COUNCIL / SUCCESSOR AGENCY
SUBMITTED BY: jeffREY W. collier, ACTING City Manager
PREPARED BY: meg mcwade, public works director
DAVID GRANTHAM, PRINCIPAL CIVIL ENGINEER
SUBJECT: POLICE DEPARTMENT HOT WATER BOILER REPLACEMENT
SUMMARY
Award $53,610 construction contract to Technical Air Corporation to replace two hot water boilers on the Police Department building roof.
RECOMMENDATION
Approve boiler replacement specifications.
Award $53,610 construction contract replace two hot water boilers and associated work to Technical Air Corporation and authorize City Manager, or designee, to execute the contract, in a form approved by the City Attorney.
Authorize Public Works Director, or designee, to approve any future change orders for construction within the approved project budget.
PRIORITY POLICY STATEMENT
This item matches the following Priority Policy Statement:
Infrastructure and City Assets.
FISCAL IMPACT
The FY 2021-22 CIP Budget has funding available for this project from the Facility Capital Fund in Project 55052 Annual Facility Maintenance Projects.
DISCUSSION
The Police Department boilers require replacement to meet Air Quality Management District (AQMD) air quality requirements. Without replacement, the AQMD could fine the City if it exceeds specific utility usage thresholds.
Staff is replacing similar equipment at the Library under a separate contract. The cost for the library work equals under $50,000. Staff estimated similar work at the Police Department would also cost less than $50,000 and bid the project in accordance with the City’s purchasing policy for open market procedure.
The City solicited and received three bids for this project. The following lists the bidders and bid totals:
Technical Air Corporation $53,610.00
Anderson Air Conditioning, L.P. $55,265.00
Heat Transfer Solutions $79,975.00
The low bid cost is higher than expected due to overall construction activity cost increases, supply chain delays and documentation requirements. While the recommended contract amount of $53,610 falls within the authorized dollar limits for the City Manager to award, the bid process followed the process for contracts under $50,000. The City used this bid process in good faith, based on the expected project cost and solicited bids from multiple contractors. Staff does not anticipate re-bidding this work will result in a lower cost, especially including the associated staff time for re-bidding, the steadily increasing material costs and material acquisition delays. As a result, staff requests City Council award the construction contract to Technical Air Corporation. Facility Capital Repair Funds will fund this work.
Replacement of Hot Water Boilers at Police Department
April 19, 2022 - Page 2