CITY COUNCIL ACTION REQUEST
Department(s):
Finance
CEQA:
Not a Project, File No. PP17-
003, Agreements/Contracts
(New or Amended) resulting
in no physical changes to the
environment
Coordination:
City Attorney’s Office; City
Manager’s Budget Office; and
Department of Public Works
Dept. Approval:
/s/
Rick Bruneau
Council District(s):
Citywide
CMO Approval:
5/8/23
SUBJECT: ACTIONS RELATED TO THE PURCHASE ORDERS WITH MTSA, INC. AND ACCO ENGINEERED SYSTEMS, INC. FOR WATER TESTING/TREATMENT AND
PREVENTATIVE/CORRECTIVE MAINTENANCE FOR HVAC SYSTEMS
RECOMMENDATION:
Adopt a resolution authorizing the City Manager to exercise up to four one-year options to extend the terms of the purchase orders with MTSA, Inc. (Sunnyvale, CA) and ACCO Engineered Systems, Inc. (San José, CA) for water testing/treatment and preventative/corrective maintenance for HVAC systems with the last option ending on or about June 5, 2027, subject to the appropriation of funds.
Desired Outcome: Authorizing the City Manager to take this action provides the City with services for water testing/treatment and preventative/corrective maintenance for HVAC systems at City facilities.
BASIS FOR RECOMMENDATION:
The Department of Public Works is responsible for overseeing the service and maintenance of HVAC infrastructure at City facilities. Existing HVAC systems include multiple cooling towers with water-based systems. Services are required to minimize corrosion, scaling, and microbiological buildup in these systems.
HVAC water testing and treatment, preventative maintenance, and corrective maintenance services are critical for operations at various City sites including police facilities, fire stations, and library branches. These services are essential to maintain cooling towers, avoid HVAC system down time, and to mitigate service impacts for the community and City staff.
In April 2022, a competitive Request for Bids was released by the Finance Department to procure these services. Three responsive bids were received, and no protests were received. MTSA, Inc. qualified for both the City’s local and small business preference. ACCO Engineered Systems, Inc. qualified for the City’s local business preference. Staff awarded to both MTSA, Inc. and ACCO Engineered Systems, Inc. as the lowest priced, responsive, and responsible bidders pursuant to the bidding procedures of the San José Municipal Code, Section 4.12.310B(2) under the City Manager’s authority. Purchase orders were executed in the amount of $320,000 for the period of June 6, 2022 to June 5, 2023. The projected amount for the option period of June 6, 2023 to June 5, 2024, is $320,000; future options will be subject to appropriation. Approval of this recommendation will ensure the City continues to receive these essential services with minimal impact to operations.
Commission Recommendation/Input: There is no commission recommendation or input associated with this action.
COST AND FUNDING SOURCE:
Fund #
Appn. #
Appn. Name
Total Appn.
Amt. for
Recommendation
2022-2023
Operating Budget
Page
Last Budget
Action (Date,
Ord. No)
001 0572
Non-Personal /
Equipment $18,551,917 $320,000 VIII - 335
02/14/2023,
30883
FOR QUESTIONS CONTACT: Albie Udom, Deputy Director of Finance – Purchasing & Risk Management at [email protected].
COUNCIL AGENDA: 5/23/23
FILE: 23-739
ITEM: 2.13