Agenda

Back to Calendar Return

Item # 12.

Council Meeting

Meeting Date:	11/09/2021
Department:	General Services
Pillars:	Excellence in Asset Management
Milestones:	Effectively utilize and promote the Silver Line development with a first mile/last mile solution

AGENDA CAPTION:

Consider Action on a Resolution Approving an Agreement Between the Town of Addison and Texas Air Systems for the Purchase of Heating, Ventilation, and Air Conditioning Equipment for Various Town Facilities and Authorizing the City Manager to Execute the Agreement in an Amount Not to Exceed $511,056.00.

BACKGROUND:

On November 5, 2019 voters approved Proposition D which included $7,395,000 for facility improvements at existing municipal facilities including the replacement of Heating, Ventilation and Air Conditioning (HVAC) systems. The Phase One HVAC Replacement Project includes the replacement of HVAC systems at the Service Center, Fire Station 2, Surveyor Pump Station, Vitruvian Restrooms, Addison Circle Park Pavilion, and Stone Cottage. Phase One also includes the replacement and upgrade of the Police gun range HVAC which will filter the air within this facility to provide a safe environment for users of the range. The HVAC systems at each of these facilities has exceeded it useful life and is due for replacement.

Detailed design specifications and drawings were created through an engineering consultant for this project. Staff, along with the Town's representative McKinstry, solicited quotes for HVAC equipment from two qualified vendors who are part of purchasing cooperatives. Purchasing cooperative are entities that bid out services and products for their members to provide the leverage to achieve better pricing on products, equipment, and services. Utilizing purchasing cooperatives saves staff both administrative time and money.

Texas Air Systems provided the lowest base quote. Staff then discussed deductions and alternate items with Texas Air System to arrive at a final cost. Texas Air Systems received excellent references.

**HVAC Mechanical Purchase Quotes**
Vendor	Base Cost	Final Cost	Cooperative
Texas Air Systems	$618,838.00	$511,056.00	The Interlocal Purchasing System (TIPS USA)
HTS	$744,950.00	N/A	Omnia Partners

The Phase One HVAC Replacement project consists of the purchase of the equipment and the installation of that equipment. Installation is being proposed as a separate agenda item also on the November 9, 2021 agenda. The recommended vendor for the equipment purchase is Texas Air System with a negotiated cost of $511,056.00. The total for the proposed Phase One HVAC Replacement Project (equipment and installation) is $1,167,716.51.

The Phase One HVAC Replacement Project (equipment and installation) is over budget by $513,280.51. This is attributed to increases in both materials and labor for HVAC work since the estimates for the bond program were obtained in 2019; the Police gun range requiring unanticipated electrical and structural work that was discovered during the design process that will have to be corrected; and, an under-estimation of project costs.

Other Proposition D Phase One Projects (roof replacement costs and Pavilion ADA project) have come in under budget in an amount that covers the Phase One HVAC Project overage. Proposition D Phase One Projects have a total budget of $2,387,858.00. If approved, the Phase One HVAC Replacement Projects would bring the total cost of all Proposition D Phase One Projects to $2,373,601.00 which is $14,257.00 under budget.

RECOMMENDATION:

Administration recommends approval.

Attachments
Resolution - Texas Air Systems