HomeMy WebLinkAboutCC 7 HVAC MAINT PROG. 02-21-84 CONSENT CALENDAR
NO. 7
2-21-84
· 3 .1984 Inter-Corn
THRU:
FROH:
BILL HUSTON, CITY MANAGER
BOB LEDENDECKER, DIRECTOR OF PUBLIC WORKS/CITY ENGINEER
MONDA BUCKLEY, ADMINISTRATIVE ASSISTANT
S UBJ ECT:
HEATING, VENTILATING AND AIR CONDITIONING (HVAC) MAINTENANCE PROGRAM
FILE #419
RECOMMENDATION:
Request the Tustin City Council, at their meeting of February 20, 1984, to adopt
the Resolution authorizing the City Clerk to advertise for proposals for a
Heating, Ventilating and Air Conditioning (HVAC) Maintenance contract.
BACKGROUND:
During the past few years, energy, maintenance and repair costs for heating,
ventilating and air conditioning (henceforth referred to as HVAC) in various City
facilities has escalated tremendously.
Since the original installation of existing HVAC equipment, major alterations
and/or additions to the system(s) has occured. These changes greatly restrict the
types and amount of maintenance/repair work that can be performed by in-house
staff. This statement is not meant to demean the ability of staff, only to point
out that Cit~ employees are generalist in the field of maintenance/repair and not
trained in this particular specialized technology. Because the City does not have
HVAC Specialists on staff, we are forced to rely on outside sources specializing
in HVAC repairs. Under these conditions, repairs are made on an emergency basis,
i.e., when the entire and/or any significant portion of the system is debilitated
or nonoperative. The current operation does not allow for preventative or
predicti've maintenance to perhaps reduce the extent of or even prevent some major
repairs. The changes /additions to the HVAC System and the current operating
procedure also precludes the City from maximizing energy conservation.
At present, Public Works Maintenance Staff is alerted to malfunctions in the HVAC
System when other employees notify the divisions of excessive cold/heat in a
particular area. If the condition is caused by anything other than what might
require a minor adjustment, a specialized repair person must be called in. Due to
the age of the system, and lack of preventative maintenance, replacement parts and
labor costs have exceeded $20,000 in the past three fiscal years; and, the system
is still not functioning properly. During this period, Edison costs have exceeded
$170,000. A properly maintained HVAC System would reduce these energy costs.
None of the aforementioned hard dollar figures reflects costs for in-house labor
or other repair materials.
HEATING, VENTILATING AND AIR CONDITIONING (HVAC) MAINTENANCE PROGRAM
FILE #419
JANUARY 31, 1984
PAGE 2
Recently, staff reviewed a program for the Maintenance and Operations Services for
the City's HVAC System as presented by the Honeywell Building Services Division.
This program provides the following services:
1. 2C-hour Total Service - Continuous monitoring and operation of mechanical
systems from Honeywell's 24-hour building operations center.
This is accomplished by the installation of micro-processors that sense
the building conditions and relay the data back to the operations
center where any adjustments can be made remotely to control/adjust
temperatures within the City Hall complex.
2. Preventive/Predictive Maintenance - Provides for regular service calls to
diagnose and solve problems before they occur.
The City does not currently have a routine/preventive maintenance type
program in effect.
Free Parts Replacement - This provides for replacement of worn parts with
new components of equal or improved design at no additional cost above
the contracted service program cost.
4. Emergency Back-up Service - In the event of an equipment breakdown,
repair crews are dispatched 24 hours per day at no extra cost.
Guaranteed Energy Savings - by reduction of electrical consumption by
taking advantage of outside climate conditions, utility rate structures
and occupancy patterns.
6. Operational Analysis - Identifies opportunities for building operational
improvements.
7. Performance Feedback - Provides computerized energy audits and review
meetings to provide improved building management,
Staff has recapped a cost comparison between our existing operation and
Honeywell's program which is shown below. Also shown is various criteria utilized
in this comparison.
HEATING, VENTILATING AND AIR CONDITIONING (HVAC) MAINTENANCE PROGRAM
FILE #419
JANUARY 31, 1984
PAGE 3
CRITERIA
City Hall/Police Complex
Council Chamber/Community Bldg.
Maintenance Facility
85 Tons
50 Tons
12 Tons
Annual cost for equipment replacement
*Cost = 147 Tons X 1200
15 Years
X 1.10 : $12,936
.*Equation developed by Honeywell Building Services.
Energy Savings**
First year : $9,206 '(Centennial Way Complex)
Second year = $10,307 (Centennial Way Complex)
First year : $~,434 (Service Road Complex)
Second year = $1,605 (Service Road Complex)
**Amounts calculated by Honeywell Building Services.
costs.
Based on historical
Parts, labor for equipment repair***
First year = $6,743
Second year: $6,743 X 1.10: $7,417
***Amounts based upon historical cost averaged over a 3 year period.
Routine in-house staff costs
First year = 104 hrs. X $15.64 = $1627
Second year = 52 hrs. X $25.13 = $1307
HEATING, VENTILATING AND AIR CONDITIONING {HVAC) MAINTENANCE PROGRAM
FILE #419
JANUARY 31, 1984
PAGE 4
COST COMPARISON
First Year Cost Second Year Cost
Existing Honeywell Existing Honeywell
Program Program Program Program
Depreciation
(Cost/Replacement)
12,936 - 0 - 12,936 - 0 -
Energy Wasted 9,206 - 0 - 10,307 - 0 -
Parts, Labor for
-Equipment Repair
6,743 - 0 - 7,417 - 0 -
In-house Staff Cost
1,627 163 1,708 171
Administration Cost
1,307 131 1,372 137
Honeywell Program
- 0 - 40,377 - 0 - 35,315
Additional Cost to City
$8,852 $1,883
It appears that as electrical energy costs rise, the City would realize additional
savings. In addition, at the present time, we have no equipment replacement fund
for the HVAC System. This type of Maintenance Program would eliminate the need for
such a fund.
HEATING, VENTILATING AND AIR CONDITIONING (HVAC) MAINTENANCE PROGRAM
FILE #419
JANUARY 31, 1984
PAGE 5
CONCLUSION:
It is imperative that a re-v~mping of the current HVAC Maintenance procedure take
place. Under the current system:
a. There is no maintenance to deter what is now a rapidly deteriorating HVAC
System, which is currently 10 years old.
b. Major repairs are becoming necessary on a more frequent basis; the costs
for' these repairs are accelerating.
c. Electrical costs are higher than need be because of being unable to
maximize energy conservation.
d. At this rate, the entire HVAC System could need replacing in a very short
period of time.
Under the proposed Maintenance Program we would have:
a. 24 hour service
b. Preventative/predictive maintenance
c. Reduced energy costs
d. Free repair parts and labor
e. No replacement of the entire HVAC System
f. Continual system analysis
g. Better energy management
If Council should decide to adopt this Resolution, the following schedule would
prevail:
Council authorization to advertise for proposals
First legal advertisement
Second legal advertisement
Formal proposal opening
Council award of contract
Administrative Assistant
February 20, 1984.
March 1, 1984
March 8, 1984
March 13, 1984
March 19, 1984'
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RESOLUTION NO. 84-20
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUSTIN, CALIFORNIA, APPROVING SPECIFICATIONS FOR
THE HEATING, VENTILATING, AND AIR CONDITIONING
MAINTENANCE PROGRAM AND DIRECT CITY CLERK TO
ADVERTISE FOR BIDS
WHEREAS, it is the intention of the City Council of the City of
Tustin, California to maintain existing heating, ventilation and air
conditioning equipment/systems at various facilites in the City of Tustin, and;
WHEREAS, the City Engineer has presented specifications for the
purpose of accomplishing the same;
NOW THEREFORE, BE IT RESOLVED that the specifications presented by
the City Engineer be and are hereby approved as the specifications for:
HEATING, VENTILATING AND AIR CONDITIONING MAINTENANCE PROGRAM
BE IT FURTHER RESOLVED that the City Clerk is hereby authorized and
directed to advertise as required by law for the receipt of sealed bids or
proposals for the doing of the work specified in the aforesaid specifications
which said advertisement shall be substantially in the following words and
figures to-wit:
"NOTICE TO CONTRACTORS"
SEALED PROPOSALS will be received at the office of the City Clerk,
Tustin City Hall, 300 Centennial Way, Tustin, California, until 10:00 A.M. on
the 13th day of March 1984, at which time they will be publicly opened and
rea~r performing work as follows:
HEATING, VENTILATING AND AIR CONDITIONING MAINTENANCE PROGRAM
Bids are required for the entire work described herein:
SCHEDULE OF WORK ITEMS
ITEM NO.
1.
DESCRIPTION
Twenty-four Hour Total Service -
Continuous monitoring and operation services from a twenty-four
hour operations center.
Preventative/Predictive Maintenance -
Providing regular service to diagnose and prevent problems before
occurance.
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ITEM NO.
3.
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SCHEDULE OF WORK ITEMS
DESCRIPTION
Free Part Replacement -
Provides replacement of worn parts with new components of equal
or upgraded quality at no cost.
Emergency Service -
In the event of equipment failure or malfunction, repair
personnel will be dispatched on a twenty-four hour basis and
continue to work with due diligence until situation is corrected.
Guaranteed Energy Savings -
Providing a system that will allow a reduction in electrical
consumption by utilizing external climate conditions, utility
rate structure(s) and occupancy patterns.
Operational Analysis-
Identify and make known operational improvement within various
buildings/facilities. ~
Performance Feedback -
Provides energy audits {computerized or other) and review of same
to improve building/facility management.'
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The foregoing ~s being given as a basis for the comparison of bids, and
the City of Tustin does not, expressly or by implication, agree that the actual
amount of work will correspond therewith. The City reserves the right to
increase or decrease the amount of any class or portion of the work or to omit
portions of the work as is required or as may be deemed necessary to advisable
by the Engineer or Maintenance Superintendent. The provisions of Section
4-1.03B, "Increased or Decreased Quantities," of the Standard Specifications
shall not apply to this contract.
Specifications and proposal forms to be used for bidding on this project
can only be obtained by prospective bidders at the office of the City Clerk,
Tustin City Hall, 300 Centennial Way, Tustin, California, 92680, upon pa3nnent
of $5.00 per set, which amount shall be non-refundable.
Specifications will be mailed out upon payment of $5.00 per set, which
amount shall be non-refundable.
In conformance with Section 37931 of the Govenment Code, all bids shall be
presented under sealed cover on the proposal form provided and accompanied by
one of the following forms of bidder's security:
a. Cash
b. Cashier's check made payable to the City of Tustin.
c. Certified check made payable to the City of Tustin.
d. Bidder's ~ond executed by an accredited surety insurer,
made payable to the City of Tustin.
The security shall be in an amount equal to'at least ten percent (10%) of
the amount of the bid. A bid shall not be considered unless one of the forms
of bidder's security is enclosed therewith.
A Faithful Performance Bond in the amount of one hundred percent (100%) of
the estimated total contract price will be required. Said bonds shall be of
the form attached to the contract documents and shall be issued by a Surety
Company rated Grade A or better and Class IX or better by the latest edition of
Best's Key Rating Guide.
City of Tustin reserves the right to reject any or all bids, and/or waive
any informality on a bid. No bidder may withdraw his bid for a period of
thirty (30) days after the date set for the opening thereof.
The contract will be awarded to the lowest qualified bidder..
Provisions of the State Contract Act are not applicable, and prospective
bidders will not be required to be prequalified.
All work to be done under the direct supervision of the Maintenance
Superintendent and City Engineer, City of Tustin.
All work to be paid for monthly at the unit prices bid from appropriated
monies.
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The City Council of the City of Tustin has obtained frOm the Director of
Industrial Relations the general prevailing rate of per diem wages and the
general prevailing rate for legal holiday and overtime work in the locality in
which the work is to be performed for each craft or type of work needed and a
copy of the same is on file in the office of the City Clerk.
Not less than said prevailing rates shall be paid to workers employed on
this public works contract as required by Labor Code Sections 1771 and 1-774 of
the State of California.
PASSED AND ADOPTED by the City Council of the City of Tustin, California,
this day of , 1984.
Mayor
ATTEST:
Mary E. Wynn
City Clerk
Advertise in the Tustin News:
March 1, 1984
March 8, 1984
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