City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: MARCH 12, 2024 FROM: PARKS, RECREATION AND COMMUNITY WARDS: ALL
SERVICES DEPARTMENT
SUBJECT: AMERICAN RESCUE PLAN ACT AND CDBG – APPROVE THE PURCHASE OF SIXTY-SIX REPLACEMENT HEATING, VENTILATION AND AIR CONDITIONING UNITS, RANGING FROM 2-TON TO 20-TON, FOR TWELVE PARKS FACILITIES FROM RUSSELL SIGLAR, INC. OF RIVERSIDE, CALIFORNIA IN THE AMOUNT OF $694,920.11 UNDER SOURCEWELL COOPERATIVE AGREEMENT RFP NO. 070121-CAR, PURSUANT TO PURCHASING RESOLUTION 23914, SECTION 602 (f) RECOMMENDATIONS:
That the City Council:
Approve the purchase of sixty-six replacement heating, ventilation, and air conditioning units for twelve Parks facilities from Russell Siglar, Inc. of Riverside, California, in the amount of $694,920.11 pursuant to Resolution 23914, Section 602 (f).
Authorize the City Manager, or designee, to execute the purchase order with Russell Siglar, Inc. of Riverside, California, including making minor and non-substantive changes.
BACKGROUND:
On March 11, 2021, President Biden signed into law the American Rescue Plan Act to facilitate the recovery from the devastating economic and health effects of the COVID-19 pandemic. The American Rescue Plan Act established the Coronavirus State Fiscal Recovery Fund and Coronavirus Local Fiscal Recovery Fund, which provides a combined $350 billion in assistance to eligible state, local, territorial, and Tribal governments to assist in the economic and health recovery by providing resources to address impacts resulting from the crisis.
The American Rescue Plan Act (ARPA) established the Coronavirus Local Fiscal Recovery Fund to provide resources to support communities that are struggling with the impacts resulting from the COVID-19 pandemic. The US Department of the Treasury (Treasury) first released the Interim Final Rule providing eligibility guidance as well as regularly updated Frequently Asked Questions (FAQ). The Interim Final Rule provided initial guidance and served to help communities develop proposals for funding.
On November 9, 2021, the City Council approved the ARPA funding Expenditure Category Plan for the first allocation in the amount of $36,767,594 following the Interim Final Rule guidelines. Additionally, the City Council directed staff to return with an itemized list for Parks infrastructure needs during the second allocation of funding for consideration. The Final Rule was issued on January 6, 2022, and became effective on April 1, 2022.
On February 7, 2023, the City Council approved the ARPA expenditure plan for the second allocation of grant funds in the amount of $36,767,594 and reallocated $1,600,000 from the first plan to the Park Maintenance Project funding. These approvals allocated $10 million for Parks Deferred Maintenance Projects and increased the Bordwell Gymnasium allocation by $3 million to a total of $8 million. The approval of the ARPA funding allows the City to make an initial investment towards addressing the City’s deteriorating park infrastructure priority needs, including the replacement of HVAC systems, renovations of parking lots, flooring replacements and playground renovations equitably throughout all wards.
Sixty-six aging heating, ventilation, and air conditioning (HVAC) units at twelve Parks facilities have been in service for 15+ years and are in need of immediate replacement. The units have exceeded their 15-year service life expectancy and replacement parts are increasingly difficult to obtain. In addition, the units are not energy efficient and are costly to operate.
DISCUSSION:
Good health and well-being in a city is directly impacted by the health of a City’s park system, and a healthy park system requires a reliable but moderated funding stream to replace deteriorating infrastructure. Parks enhance the quality of life because Parks Make Life Better.
As reported by the National Recreation Park Association, “The coronavirus disease 2019 (COVID-19) pandemic has shed an even bigger light on the essential role of local parks and recreation. In response to the COVID-19 pandemic, park and recreation professionals swiftly mobilized to keep parks, trails and green spaces open to support physical and mental health, while delivering vital services and programs to support the community. Park and recreation professionals are on the frontlines of the COVID-19 pandemic —– and will continue to be in the months and years to come.” The PRCSD is responsible for programming, planning, development, operation, and maintenance of the City’s public recreational resources, including 60 park properties, approximately 3,000 acres of park land and approximately 350,000 square feet of building facilities. The City invested over $100 million in renovating and building new park facilities in the Riverside Renaissance (2007-2012). Now, over a decade later, there is a wave of increased maintenance costs as a result of park infrastructure being used beyond its intended lifecycle. Fortunately, the City Council voiced their concern, support, and commitment this year by approving funding in the ARPA Expenditure Plan and future allocations through Measure Z to address the park deferred maintenance needs.
ARPA FUNDING:
The First ARPA Expenditure Plan allocated an initial $5,000,000 for the Bordwell Gymnasium Project, and $1,800,000 for Tim Strack (formerly known as El Dorado) Park Improvements. Both projects are located in underserved communities. Additionally, City Council directed staff to return with an itemized list for Park’s infrastructure needs during the second allocation of funding for consideration; and The Second ARPA Expenditure Plan allocated an additional $3 million for the Bordwell Gymnasium Project and $10 million for Park Deferred Maintenance Projects. These priority park projects focused on addressing safety concerns, compliance, and improving public health. This is an initial critical investment in restoring park infrastructure, with an initial cost estimate exceeding $12 million. These priority differed maintenance items include playground replacement, playground surfacing replacements, HVAC replacement, parking lot renovations, and flooring renovations that are distributed equitably throughout all wards.
Investing in our City’s park infrastructure is an investment in our future and will play a key role of creating and maintaining resilient recreational resources and a health community.
As the Parks, Recreation and Community Services Department is seeking to utilize ARPA funds, there is a swift deadline approaching to place orders, as the lead time for ordering the product can take quite a bit of time. Due to the funds being utilized, it is imperative to place the order swiftly, so the City can receive and install the units, and make sure that all funding source deadlines are met. Russell Siglar, Inc. holds Sourcewell Cooperative Contract #070121-Car (formerly known as the National Joint Powers Alliance or NJPA). Sourcewell uses cooperative contract purchasing to leverage the national purchasing power of more than 50,000 member agencies, while also streamlining the required purchasing process.
Sourcewell Contract #070121-CAR is currently valid until August 12, 2025. The cooperative purchasing contract has been competitively bid nationally and meets the City’s procurement requirements under Purchasing Resolution 23914, Section 602 (f). The Sourcewell solicitation was released to public bid and closed on July 1, 2021. Of the twenty-one vendors that provided proposals, six were awarded contracts. Of those six vendors awarded, Carrier Global Corp, the parent company of Russell Siglar, was the third highest rated and are the only awarded vendor to provide the exact model of HVAC unit the City is seeking in order to keep uniformity of products across the City. This uniformity will assist in streamlining maintenance and repair efforts for the new and existing HVAC units. The cooperative agreement entered by Carrier Global Corp was executed on October 7, 2021, and will expire August 12, 2025.
Purchasing Resolution No. 23914, Section 602 (f) provides and exception to Competitive Procurement through the Informal Procurement and Formal Procurement process and shall not be required “When Cooperative Purchasing is available and undertaken or when Goods can be obtained through Federal, State and/or other public entity pricing contracts or price agreements.” The Purchasing Manager concurs that the recommendation is in accordance with Purchasing Resolution 23914, Section 602 (f).
STRATEGIC PLAN ALIGNMENT:
This item contributes to Envision Riverside 2025 Strategic Priority No. 6 Infrastructure, Mobility & Connectivity and contributes to Strategic Goal 6.2 in addressing improvement of assets and infrastructure within the City’s built environment to ensure and enhance reliability, resiliency, sustainability, and facilitate connectivity.
This action also aligns with each of the five Cross-Cutting Threads, as follows:
Community Trust – This project provides assurances to Riverside’s residents that significant investments are being made to improve public facilities, in accordance with priorities outlined in the ARPA spending plan.
Equity – This project helps to ensure functionality of multiple Parks facilities, which serve all Riverside residents, equitably.
Fiscal Responsibility – Cooperative contract pricing of the HVAC equipment ensures the best pricing for materials.
Innovation – By leveraging cooperative pricing, Parks Division found an innovative path to completing this critical project expeditiously.
Sustainability & Resiliency – The new HVAC units will be more efficient and increase the overall sustainability and resiliency of twelve Parks facilities.
FISCAL IMPACT:
The total fiscal impact of the action is $694,920.11. Funds are budgeted and available in the following funds and accounts as listed in Table 1 below. The purchase price of the units and their respective locations is listed in Table 2 below.
Table 1.
Fund
Program
Account
Amount
Grants & Restricted Programs
Citywide Parks Improvements HVAC
9279520-440120
$601,432.09
22/23 Bordwell Park HVAC/Playground Improvements
9279400-440120
$93,488.02
Total
$694,920.11
Table 2.
Park Location
Amount
La Sierra Senior Center
$ 87,178.00
Ruth Lewis Community Center
$ 47,230.00
La Sierra Community Center
$ 47,230.00
Joyce Jackson Community Center
$ 47,230.00
Andulka iTennis
$ 9,346.00
Janet Goeske Senior Center
$154,914.00
Arlanza Community Center
$119,011.00
Isaak Walton Building
$ 12,278.00
Fairmount Boathouse
$ 28,624.00
Centro de Ninos
$ 51,555.00
Stratton Community Center
$ 34,411.00
Tax
$ 55,913.11
Total
$694,920.11
Prepared by: Anthony Zamora, Senior Administrative Analyst Approved by: Pamela Galera, Parks, Recreation and Community Services Director Certified as to
availability of funds: Kristie Thomas, Finance Director/Assistant Chief Financial Officer Approved by: Kris Martinez, Assistant City Manager Approved as to form: Phaedra A. Norton, City Attorney
Attachments:
Sourcewell Quote
Sourcewell Contract #070121-CAR
Russell Siglar, Inc. HVAC ● Page 2