HomeMy WebLinkAboutCC 7 HVAC RENEWAL 03-17-86AGENDA
DATE:
MA~CH 10, 1986
CONSENT CALENDAR
NO. 7
3-17-86
Inter- Corn
TO:
THRU:
FROM:
SUBJECT:
MONDA BUCKLEY, ADMINISTRATIVE ASSISTANT
ANNUAL RENEWAL OF THE HEATING, VENTILATING AND AIR CONDITIONING (HVAC)
CONTRACT
RECOMMENDATION:
Request the Tustin City Council, at their regular meeting of March 17, 1986, to
renew the annual Heating, Ventilating and Air Conditioning (HVAC) contract with
Air-Ex Air Conditioning of La Verne for an annual cost of $34,900.00.
BACKGROUND:
Two years ago, the City entered into a contract with Air-Ex Air Conditioning to
provide an energy conservation system and total maintenance for the City's HVAC
system at the Civic Center Complex and the Maintenance Facility. One of the terms
of the contract was that costs could accelerate in accord with the current
Consumer Price Index (CIP). After the first year, the contract cost decreased
15%; this year the company is proposing an increase of seven percent over the 1985
contract rate. This increase is in excess of the 6urrent Index, however, the City
has increased its systemby adding a new unit in the Police Department's computer
area and a new unit in the City Manager/Council office area. The company assumed
responsibility for the unit in the Police Department upon installation in December'
of 1984 and will assume responsibility of the unit in the City Manager/Council
office in November of 1986.
Since installation of the energy management system, the City has realized (based
on fiscal 1983 energy consumption} an energy-consumption decrease of 28% in 1984
and 24% in 1985. The energy reduction in 1985 is not as great as that in 1984
because: 1) new units have been added; 2) the City has changed its parameters
for temperature control; and, 3} existing older units are not as energy efficient.
The company has submitted a letter of intent for the proposed annual cost of
$34,900.00. This letter will serve as a contract upgrade for audit purposes.
Administrative Assistant
MB:jr