City Council Agenda Report
Meeting Date: March 19, 2024
From: Daniel S. Wall, P.E., Director of Public Works
Department: Public Works
Submitted by: Carlos Velazquez, Engineering Aid
Subject
Contract with Western Allied Corporation for City Hall HVAC System Improvements - Contract No. 20240089
Recommendation
A. Find that the proposed action is categorically exempt from California Environmental Quality Act (CEQA) review, in accordance with CEQA Guidelines § 15301, because the project consists of the maintenance and minor alteration of the existing City Hall HVAC controls and system and involves negligible or no expansion of an existing use; B. Accept the bid proposal from Western Allied Corporation as the lowest responsive and responsible bidder and reject all other bids;
C. Approve and authorize the City Administrator to execute a contract with Western Allied Corporation, in substantially the same form as submitted, for the City Hall HVAC System Improvements Project in an amount not-to-exceed $429,245; and D. Authorize a contingency amount of ten percent (10%) or $42,924.50 in the event of an unexpected changed condition in the project and grant authority to the City Administrator to issue change orders for an amount up to the contingency amount, if necessary.
Background
The existing HVAC system for City Hall was installed in the 1970’s and has not been replaced or modified. As a result, the air temperature does not circulate throughout the building, preventing the HVAC system from performing at its maximum capacity. In order to address this issue, the Public Works Department has solicited bids to make necessary HVAC system improvements that will include modifying the design and building a new retrofitted mixing box controller from the existing HVAC system. A total of 40 pneumatic mixing box controllers will be modified.
Redesigning the existing HVAC controllers will monitor the temperature more efficiently and effectively by using the outside air to condition the entire building. Along with other minor modifications, new software floorplan graphics will be constructed to match the existing graphics in the HVAC system, making everything work as one.
On October 6, 2023, staff advertised the Notice Inviting Bids (NIB) for Contract No. 20240089 City Hall HVAC System Improvements Project in accordance with Vernon Municipal Code Section 3.32.070 (A) for competitive bidding. The NIB was posted on the City’s Planet Bids website. The Department has utilized the template Notice Inviting Bids, Bid form and Project Specifications, Instruction to Bidders, and Specifications and Contract approved by City Council.
The bids for Contract No. 20240089 City Hall HVAC System Improvements were received and opened on November 01, 2023. The calculated results were as follows:
1. Western Allied Corporation $429,245
2. F.M. Thomas, Air Conditioning Inc. $557,435
Staff reviewed the bids and deemed that the bid received by Western Allied Corporation was the lowest responsive and responsible bid. Based on a thorough bid evaluation, staff recommends the award of the proposed Purchase Contract to Western Allied Corporation.
The proposed contract has been reviewed and approved as to form by the City Attorney’s Office.
Fiscal Impact
The fiscal impact is not-to-exceed $472,169.50, including a contingency amount of ten percent.
Sufficient funds are available in the General Fund, Public Works Department, Facilities Maintenance Division, Capital Outlay Account No. 011-040-415-660000 for the current fiscal year.
Attachments
1. Contract with Western Allied Corporation