HomeMy WebLinkAboutStaff Report 3.D 07/15/2019LU Agenda Item #
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DATE: July 15, 2019
TO: Honorable Mayor and Members of the City Council through City Manager
FROM: Dan St. John, F.ASCE — Director, Public Works & Utilities
Diane Ramirez, Project Manager, Public Works & Utilities
SUBJECT: Resolution Authorizing Award of Contract for the Petaluma Police Department
HVAC Replacement Project to Matrix HG, Inc.
RECOMMENDATION
It is recommended that the City Council adopt the attached Resolution Authorizing Award of
Contract for the Petaluma Police Department HVAC Replacement Project to Matrix HG, Inc.
BACKGROUND
The Police Department has eight rooftop HVAC units. Three units were replaced in 2012 with
American Recovery and Reinvestment Act (ARRA) funding. The remaining five units are close
to thirty years old which is beyond the typical service life of this kind of equipment. Increasing
maintenance costs and outages are being experienced in this critical facility.
DISCUSSION
This project intends to remove and replace five of the eight existing HVAC units from the roof
of the Petaluma Police Department Building at 969 Petaluma Boulevard North and appropriately
recycle the refrigerant, electronics, and metal. The new HVAC units will be placed and attached
to the existing ducts and electronic wiring.
The Notice Inviting Bids for the construction contract was issued on May 2, 2019. On May 23,
2019, three (3) bids were received as follows:
Name of Bidder
Business Location
Total Base Bid
Total Bid Alternate
Air9
Carmichael, CA
$79,000.00
$14,500.00
R.J. Mechanical
Cotati, CA
$64,200.00
$17,612.00
Matrix HG
Novato, CA
$49,611.00
$14,732.00
Project Estimate
N/A
$80,000.00
The lowest responsible bidder, Matrix HG, Inc., has not performed work for the City of Petaluma
but has performed similar public works projects. The contractor possesses the necessary
California Contractor's License, Class C-20, number 812232, which expires on September 30,
2020, to perform the work.
It is recommended that the Council award the base -bid and bid alternate contract to Matrix HG,
Inc., for $64,343.00. Construction would be scheduled to begin as soon as practical and before
the rainy season 2019. The contract documents require project completion within ten (10)
working days. The project is categorically exempt from California Environmental Quality Act
because it performs maintenance and minor upgrades to an existing facility project.
The bid for the construction work is lower than the project estimate. City staff is satisfied that the
competitive bids received reflect current market conditions. It is recommended that the Council
award the base bid for the Petaluma Police Station HVAC Replacement project, which can be
completed within the funding available.
FINANCIAL IMPACTS
The project was included in the FY 18/19 CIP Budget as C11201705 with an approved project
budget of $96,000. The total overall project estimate of $96,000 is funded by Transient
Occupancy Tax. The recommended award is within the approved project budget however given
the project will not incur costs until Fiscal Year 19/20, a budget adjustment is needed to increase
appropriations. This increase in appropriations will be funded by encumbrances(appropriations
budgeted in the prior fiscal year that were not spent). This adjustment will be brought forward in
conjunction with FY 2019/20 first quarter budget adjustments.
Staff recommends authorizing a higher contingency than the typical 15% of the construction
amount so that additional HVAC repair and replacement can be made. Staff recommends that
associated plumbing and electrical disconnect switches are investigated by the contractor and if
replacement is warranted a contract change order will be issued.
Police Department HVAC
Replacement - C 11201705
Adopted FY 18/19
CIP Budget
Revised Project
Estimate
Uses
Design
$6,000
$6,000
Administration
$1,000
$1,000
Construction Contracts
$80,000
$65,000
Construction Management
$5,000
$5,000
Contingency
$8,000
$23,000
CIP Overhead
$2,000
$2,000
Total
$96,000
$96,000
Sources
Transient Occupancy Tax
$96,000
$96,000
Total
$96,000
$96,000
ATTACHMENTS
1. Resolution
2
Attachment 1
RESOLUTION AUTHORIZING AWARD OF CONTRACT FOR THE
PETALUMA POLICE STATION HVAC REPLACEMENT PROJECT
TO MATRIX HG, INC.
WHEREAS, the project is intended to replace the HVAC units on the roof of the
Petaluma Police Station; and
WHEREAS, the Petaluma Police Department has funding available for the project; and
WHEREAS, in accordance with the City of Petaluma Charter and section 4.04.080 of the
Petaluma Municipal Code, California Public Contract Code Section 20162 and other applicable
law, construction documents were prepared, and base bids were solicited for the Petaluma Police
Station HVAC Replacement Project; and
WHEREAS, the project was bid on May 2, 2019, and three (3) bids were received and
opened on May 23, 2019, in accordance with applicable law; and
WHEREAS, the lowest responsive and responsible base bid was submitted by Matrix
HG, Inc., from Concord, CA for $64,343.00; and
WHEREAS, staff recommends the construction contract be awarded for the base bid
contract amount of $64,343.00; and
WHEREAS, staff has determined that the Contractor's bid satisfies the bidding
requirements for the Project; and
WHEREAS, Contractor possesses a valid California Contractor's License, Class C-20,
number 812232 that is appropriate for the work to be performed for the Project; and
WHEREAS, the Project is categorically exempt pursuant to California Environmental
Quality Act ("CEQA") and Title 14, the California Code of Regulations ("CEQA Guidelines"),
Section 15301, because the project consists of the operation, repair, maintenance, or minor
alteration of existing public structures involving negligible or no expansion of use beyond that
previously existing.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
Petaluma hereby:
1. In accordance with the City of Petaluma Charter and Municipal Code, California Public
Contract Code Section 20162, and other applicable law, waives any and all non-
conformance in the base bid of Matrix HG, Inc., for the Petaluma Police Station HVAC
Replacement Project, and further finds that Matrix HG, Inc., is the lowest responsible and
responsible bidder.
2. Awards the contract for the Petaluma Police Station HVAC Replacement Project to
Matrix HG, Inc., in the base bid amount of $64,323.00, conditioned on Matrix HG, Inc.'s
timely executing the project contract and submitting all required documents, including
but not limited to, executed bonds, certificates of insurance, and endorsements, in
accordance with the project bid documents, and establishes construction contract
contingency amount of $23,000.
3. Authorizes and directs the City Manager to execute the project contract documents and
related documents on behalf of the City.
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