December 18, 2003

 

SUBJECT: Award of Invitation for Bids #F0310-25 for City Hall Annex Heating, Ventilating and Air Conditioning System Modifications 

REPORT IN BRIEF

Approval is requested for the award of a contract to Thermal Mechanical, Inc., of Santa Clara for modifications to the City Hall Annex heating, ventilating and air conditioning system for the Department of Public Works Project Administration Division (Project #PR-95-13(F)).

 

BACKGROUND

 

The City Hall Annex Heating, Ventilating and Air Conditioning (HVAC) Upgrade Project is part of the Civic Center HVAC Capital Improvement Program.  The scope of work for this project was developed, based on the HVAC System Modifications Study done by The Bentley Company in November 2001.  The study found that the current systems are outdated, have reached the end of their useful economic life and are failing.

This project will replace the existing chiller, boiler, and multi-zone air handling unit.  It will provide two new chilled water pumps, two new hot water pumps, and associated controls and will include replacing two exhaust fans.  In addition, the project will add a new energy monitoring control system (EMCS) that will network local equipment controllers and sensors to a central EMCS controller and to the existing EMCS network.

Other related work involves replacing existing thermostats with a new sensor and room temperature controller, replacing all reheat coils, replacing existing ceiling diffusers and dampers, where necessary, and adding eight new reheat zones.

 

DISCUSSION

 

Bid specifications were prepared by Public Works and Purchasing staff.  The bid was structured so that replacing the chiller, boiler, air handler and all valves and thermostats was included in the Base Bid.  The EMCS central controller and network controller became Additive Alternate #1, providing new reheat zones became Additive Alternate #2, replacing all heating coils became  Additive Alternate #3, and upsizing the branch line and ducting became Additive Alternate #4.  However, award of contract is determined by Base Bid pricing only. 

The Notice Inviting Bids was published in The Sun on October 15, 2003.  The bid package was distributed to Bay Area Builders Exchanges and broadcast to potential contractors through the DemandStar by Onvia public procurement network.  Eleven contractors requested bid documents. 

Sealed bids were publicly opened on November 12, 2003.  Four responsive bids were received.

 

Bidders

   Base Bid

Engineer's Estimate

$650,000

Thermal Mechanical, Inc., of Santa Clara

$435,750

American Air Conditioning, Plumbing & Heating Co. of San Leandro

$527,468

F. W. Spencer & Son, Inc., of Oakland

$580,500

Newcomb Mechanical, Inc., of Foster City

$591,885

Pricing was favorable enough to the City that staff recommends acceptance of the Base Bid from Thermal Mechanical, Inc., the lowest responsive and responsible bidder, as well as its bids for all four Additive Alternates.

A determination was made that this project will have no significant effect on the environment in accordance with CEQA guidelines for categorically exempt projects.

 

FISCAL IMPACT

Project costs include:

1.

Construction

Base Bid

Additive Alternative #1

Additive Alternative #2

Additive Alternative #3

Additive Alternative #4

Total Construction

 

$435,750

  $59,598

  $41,200

  $58,222

  $12,900

$607,670

 

2.

Contingency (15% of Construction)

  $91,151

 

3.

Total cost

$698,821

 

Funds for this project are available in Infrastructure Account #817950 - Civic Center Buildings - HVAC.

RECOMMENDATION

It is recommended that Council:

1. Award a contract, in substantially the same form as the attached draft and in the amount of $607,670, to Thermal Mechanical, Inc., for modifications to the City Hall Annex heating, ventilating and air conditioning system; and

2. Approve a project contingency in the amount of $91,151.

 

Prepared by:

Elaine Wesely
Purchasing Officer

Reviewed by:

Mary J. Bradley
Director, Finance

Reviewed by:

Marvin Rose
Director, Public Works

 

Approved by:

Robert S. LaSala
City Manager

Attachments: 

Draft General Construction Contract