Title
The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve DWSD Contract 6006769 with Johnson Controls Inc., for As Needed HVAC Replacement and Repair Services, for a total contract amount not-to-exceed $1,000,000.00 and a term of two (2) years. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
Body
Agenda of November 20, 2024
Item No. 2024-225
Contract No. 6006769
Contractor: Johnson Controls Inc., 2875 High Meadow Circle, Auburn Hills, MI 48236
Contract Amount: $1,000,000.00
Contract Term: 12/1/2024 - 11/30/2026 (2) years
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Proposed DWSD Contract 6006769
As Needed HVAC Replacements and Repair Services
Johnson Controls Inc.
MOTION
Upon recommendation of Marqaicha Welch, Procurement Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve DWSD Contract 6006769 with Johnson Controls Inc., for As Needed HVAC Replacement and Repair Services, for a total contract amount not-to-exceed $1,000,000.00 and a term of two (2) years. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND / JUSTIFICATION
DWSD’s Central Services Facility (CSF) is a 982,215 sq ft property located at 6425 Huber St, Detroit MI. The building was built in 1962. The City of Detroit purchased the site in 1984. This DWSD site has a total of 190 HVAC Units: 25 Air Conditioning Units, 59 Heating and Ventilation Units and 106 Exhaust Fans. Many of these units were installed during a 1988/99 project and are beyond their life expectancy which is typically an average of 20 to 25 years.
The Facilities Division is working to replace units in immediate need of attention, with more than 40 units meeting this criterion. Within the last five years, 22 units have been replaced and 11 additional units are scheduled for FY24-FY25. Capital Improvement funding has been requested over the next five years to continue the replacement of HVAC units in critical condition.
PROCUREMENT METHOD
This procurement was competitively solicited through a Request for Bids (RFB) per Requisition 523009, which was fully approved by Budget on 7/16/24. The RFB was advertised on the Michigan Inter-Governmental Trade Network (MITN) BidNet website for 44 calendar days (8/26/24 - 10/10/24). MITN published this opportunity to 763 companies and 58 firms downloaded the bid package. Two (2) bids were received:
|
Bidder |
Bid Total |
Equalizations |
Total |
|
Johnson Controls Inc. |
$971,539.89 |
N/A |
$971,539.89 |
|
Limbach Company LLC |
$1,147,000.00 |
DBB |
$1,141,265.00 |
Bids were evaluated for responsiveness, based on the lowest bid price. As the apparent equalized low bidder, Johnson Controls Inc., was evaluated and determined to be both responsive and responsible.
The bid tab and responsiveness evaluation for Johnson Controls was forwarded to the Facilities Division for review and approval. Based on the cohesiveness of the Facilities Group and Procurement, it is recommended that Johnson Controls be awarded the contract resulting from RFB 523009 in the amount of $1,000,000.00.
Johnson Controls insurance is valid, and clearances expire 10/16/25. A formal contract document is being routed for signatures.
SUMMARY
A. Contract No.: 6006769
B. Contractor: Johnson Controls Inc.
C. Anticipated Contract Term: 12/1/2024 - 11/30/2026 (2 years)
D. Contract Amount: $1,000,000.00
E. Anticipated FY Breakdown:
FY 24-25: $500,000.00
FY 25-26: $500,000.00
F. Funding Source: CIP Funds
G. GL String: 5821-20243-497711-644111-004105-30129-0000-000000
- 47.1% Sewer
5721-20244-487711-644111-004104-30129-0000-000000- 52.9% Water
Per DWSD procurement protocol, no additional approvals are required.