Title
The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to secure change order #2 to add $89,940.00 to contract 6000875 with Johnson Control for HVAC - Building Mechanical Systems Program Management On Demand Repair Services, total amended contract amount not to exceed $2,315,960 for the duration of the contract and also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
Body
Agenda of April 17, 2019
Item No: 19-0096
Contract No. 6000875
Contract Length: 2 years
Start date: 8/23/17
End date: 8/22/19
Original Contract Amount: $1,926,020
Change order No. 1 amount: $300,000
New contract Amount total: $2,226,020
Change order No. 2 amount $89,940
New Contract Amount: $2,315,960
Supplier: Johnson Controls, Inc.
2875 High Meadow Circle
Aurburn Hills, MI 48236
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Amendment to DWSD Contract 6000875
“HVAC (Building & Mechanical System Program)” installation of 2 AC units to add $89,940 to existing contract amount
MOTION
Upon recommendation of Mamata Burgi, Procurement Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to secure change order #2 to add $89,940.00 to contract 6000875 with Johnson Control for HVAC - Building Mechanical Systems Program Management On Demand Repair Services, total amended contract amount not to exceed $2,315,960 for the duration of the contract and also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
The two AC units #16 and #17, at Central Service Facility (CSF), 6425 Huber Detroit, MI have struggled to provide adequate cooling during the 2018 summer season. The units are 23 years old and have outlived their expected mechanical life. To ensure employees are in safe working conditions these two units are in need of immediate replacement before the summer heat begins.
JUSTIFICATION
HVAC Building & Mechanical Systems Program Management On Demand Repair Services are essential for the maintenance and up keep of DWSD facilities, which includes air handler units, A/C condensing units but not limited to rebuilding, rebasing, installation of new seals, bearing, couplings, setting, piping, pumps, units and aligning. Roof top units #16 and #17 are in need of replacement at Central Services Facility. The Facilities Group would like to replace these units before the summer season begins. These two units are responsible for maintaining cool temperatures in a large area inside the middle of the CSF building, including multiple offices, as well as the large training room.
This contract will serve to ensure that all DWSD facilities labor, parts, supplies and equipment (upon request) are returned to safe and efficient operation condition. The contractor has conducted an inspection of existing units, and made the recommendation to replace. The work requested will be performed during regular business hours (7:00 a.m. - 5:00 p.m.).
PROCUREMENT METHOD
This was an open competitively bid contract. The Request for Proposal (RFP) was advertised during the week of April 3, 2017 and open April 28, 2017 on the Michigan Inter-Governmental Trade Network (MITN) website. This requirement was solicited to over one hundred forty nine (149) companies in MITN on RFP #7000 which yielded five (5) responsive, responsible bidders.
Johnson Controls was awarded this two (2) year contract per BOWC approval on July 21, 2017. The subsequent Change order no. 1 was for $300,000 for materials and approved on October 27, 2017. Change order no. 2 is to add $89,940 to allow DWSD to use the current contract to purchase and install two (2) AC units. The amended contract total is not-to-exceed $2,315,960. Procurement will be working to solicit a new HVAC contract in May 2019.
DETAILS
Funding Source Operation & Maintenance (O & M)
GL String
30% 5721-20244-487711-617900-900279-30129-0000-000000 $26,980.50
70% 5821-20243-497711-617900-900280-30129-0000-000000 $62,954.50
Contract Start Date 8/23/17
Contract End Date 8/22/19
Original Contract Amount $1,926,020
Change Order No. 1 Amount $ 300,000
Change Order No. 1 Total $2,226,020
Change Order No. 2 amount $ 89,940
New Contract Amount $2,315,960