TITLE
Recommendation to adopt Plans and Specifications No. R-7099 and award a contract to Bon Air, Inc., of Los Angeles, CA, for the Heating, Ventilation, and Air Condition System upgrade at the West Division Police Station, in the amount of $407,835, with a 10 percent contingency of $40,784, for a total contract amount not to exceed $448,619; authorize City Manager, or designee, to execute all documents necessary to enter into the contract, including any necessary amendments;
Increase appropriations in the General Fund (GF) in the Police Department (PD) by $283,200, offset by Asset Forfeiture Funds; and
Increase appropriations in the Capital Projects Fund (CP) in the Public Works Department (PW) by $583,200, offset by a release of $300,000 of funds set aside for this project and by $283,200 of Asset Forfeiture Funds transferred from the Police Department. (District 7)
DISCUSSION
City Council approval is requested to enter into a contract with Bon Air, Inc., to provide construction services for the upgrade of the Heating, Ventilation, and Air Condition (HVAC) System at the West Division Police Station (Project). The Project involves the replacement of the existing rooftop HVAC units, upgrades to the HVAC control system, and replacement of the existing boiler storage facility.
The existing HVAC system serving this facility typically has a life span of 10 to 12 years, if operated on a 12-hour per day schedule. With the station operating 24 hours a day, 7 days per week, the expected lifespan of the system is shortened to an estimated 8 years. The existing HVAC system has been in operation for approximately 20 years. The system is now experiencing mechanical failures and needs replacement.
The bid was advertised in the Long Beach Press-Telegram on June 26, 2017, and 4,461 potential bidders specializing in construction services, materials, and supplies were notified of the bid opportunity. Of those bidders, 46 downloaded the bid via the City’s electronic bid system. The bid document was made available from the Purchasing Division, located on the seventh floor of City Hall, and the Division’s website at www.longbeach.gov/purchasing <http://www.longbeach.gov/purchasing>. A bid announcement was also included in the Purchasing Division’s weekly update of Open Bid Opportunities, which is sent to 22 local, minority, and women-owned business groups. Five bids were received on August 9, 2017.
Of those five bidders, none were Minority-owned Business Enterprises (MBEs), Long Beach businesses (Local), or Disadvantaged Business Enterprises (DBEs), one was a Woman-owned Business Enterprise (WBE), and five were certified Small Business Enterprises (SBEs). Bon Air Inc., of Los Angeles, CA (SBE; not MBE, DBE, or Local), was the lowest responsible bidder.
Local Business Outreach
In an effort to align with the City’s outreach goal, Long Beach businesses are encouraged to submit bids for City contracts. The Purchasing Division also assists businesses with registering on the PlanetBids database to download the bid specifications. Through outreach, 399 Long Beach vendors were notified to submit bids, of which two downloaded and none submitted a bid. The Purchasing Division is committed to continuing to perform outreach to local vendors to expand the bidder pool.
This matter was reviewed by Deputy City Attorney Linda T. Vu on December 11, 2017 and by Budget Management Officer Rhutu Amin Gharib on February 22, 2018.
TIMING CONSIDERATIONS
City Council action to adopt Plans and Specifications No. R-7099 and award a contract concurrently is requested on March 20, 2018, to ensure the contract is in place expeditiously.
FISCAL IMPACT
The total estimated cost of this Project is $583,200, which includes the cost of consulting services, design, plan checking, permit inspections, construction management, and related support. The Police Department will be responsible for operating and maintaining the Project upon completion. An increase of appropriation in the amount of $583,200 in the Capital Project Fund (CP) in the Public Works Department (PW) is requested, offset by $300,000 of funds set aside for this project and the balance of $283,200 from a transfer of Asset Forfeiture funds from the General Fund (GF) in the Police Department (PD). The number of additional full-time equivalent local jobs created by this project will be determined when the contractor completes their hiring process.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
ROBERT G. LUNA
CHIEF OF POLICE
CRAIG A. BECK
DIRECTOR OF PUBLIC WORKS
APPROVED:
PATRICK H. WEST
CITY MANAGER