Title
Resolution Approving Ice Chiller/Cooling Tower/Air Handling Units Bids
Part 1:
In the Amount of $1,203,000 and Authorizing the Contract with Jeff Hargett Mechanical Company for the Ice Chiller/Cooling Towers
Part 2:
In the Amount of $273,766 and Authorizing the Contract with Indicor Mechanical Company for the Special Event Center Air Handling Units
Body
Department: Coliseum
Council District: District 1
Public Hearing: No
Advertising Date/By: No
Contact 1 and Phone: Matt Brown, 373-7406
Contact 2 and Phone: Mike Perdue, 373-7457
PURPOSE:
The Coliseum Ice Chiller/Cooling Tower/Air Handling Units Replacement Project is separated into Two Parts: 1. Ice Chillers/Cooling Towers and 2. Air Handling Units
Part 1: City Council is requested to approve a contract with Jeff Hargett Mechanical Company to replace two ice chillers and two HVAC cooling towers at the Greensboro Coliseum Complex. This contract will include the replacement installation of two new ice chillers and two new Evapco HVAC cooling towers that will replace old ice chillers and cooling towers in the Coliseum arena that are at the end of life. The contract will be in the amount of $1,203,000.
Part 2: City Council is requested to approve a contract with Indictor Mechanical Company to replace five Air Handler Units Greensboro Coliseum’s Special Events Center “SEC”. This contract will include the replacement installation of five new Air Handler Units that will replace old Air Handler Units in the SEC that are at the end of life. The contract will be in the amount of $273,766.
BACKGROUND:
Part 1: The referenced ice chillers and HVAC cooling towers that are currently used in the Coliseum arena were installed in 1991, after being in service for 28 years, have surpassed their usable life expectancy. The ice chillers are used for making ice to service all events with ice including the upcoming January 2020 United States Figure Skating Championships. The two cooling towers being replaced are major components of the HVAC system that provides cooling for both the Coliseum arena and the Special Events Center. Keeping these systems current and working is an essential part of the operations and preventive maintenance program of the venue.
SKA Engineering and City of Greensboro staff advertised for a public bid to licensed North Carolina HVAC mechanical contractors to provide firm bids. The project was bid on January 10, 2019. Bids came in over budget and all bids were rejected.
SKA Engineering and Coliseum Staff Valued engineered the project by removing the demolition of the old mechanical equipment, and removed an access platform from the scope of work. The second bids were publicly opened on February 5, 2019 and resulted in a saving of ($276,034).
Four bidders submitted bids for this project: Brady Services, Jeff Hargett Mechanical, Indicor Mechanical, and Superior Mechanical. Jeff Hargett Mechanical submitted the lowest responsible bid in the amount of $1,203,000. Each company also submitted four add alternate bids, however after reviewing the additional cost, Coliseum staff is not recommending the add alternates.
The goal setting committee voted to forgo an M/WBE goal on this project because of a lack of M/WBE's class H-3 licensed industrial North Carolina mechanical contractors.
However, the goal setting committee recommended that the Air handler Units (AHU) that were originally part of this Ice Chiller/Cooling Towers project, de-bundled and provide an opportunity for an M/WBE’s to bid on this work.
In response the Goal Setting Committee request, the Coliseum staff directed SKA Engineering to remove the Air handler units from the project and bid them out separately. No M/WBE Mechanical Contractors attended either Pre-Bid meetings and no M/WBE Mechanical Contractors submitted Bids for the Air Handling Unit project.
However, to achieve M/WBE participation, the Coliseum Staff further de-bundled the demolition of the old units separately and hired a local M/WBE contractor to perform this work.
BIDS:
Bidder Bid Amount WBE MBE
Jeff Harget Mechanical $1,203,000 33.22% 0.00%
Superior Mechanical $1,232,000 12.00% 1.00%
Brady Services $1,244,541 0.00% 0.00%
Indicor Mechanical $1,263,000 0.00% 0.00%
Part 2: The referenced Air Handler Units that are currently used in the Coliseum’s SEC were installed in 1991, after being in service for 28 years, and surpassing their usable life expectancy. The five Air Handler Units being replaced are major components of the HVAC system that provides cooling in the Special Events Center. Keeping these systems current and working is an essential part of the operations and preventive maintenance program of the venue.
SKA Engineering and City of Greensboro staff advertised for a public bid to licensed North Carolina HVAC mechanical contractors to provide firm bids. Bids were received and publicly opened on February 5, 2019. Three bidders submitted bids for this project: Brady Services, Indicor Mechanical, and Superior Mechanical. Indicor Mechanical submitted the lowest responsible bid in the amount of $273,766. Each company also submitted four add alternate bids, however after reviewing the additional cost, Coliseum staff is not recommending the add alternates.
The goal setting committee voted to not set an M/WBE goal on this project due to lack of M/WBE's class H-3 licensed industrial North Carolina mechanical contractors.
However, in an attempt to attract and assist with M/WBE participation, Coliseum Staff requested SKA Engineering to bid the Air Handler Unit replacement project separately from the Ice Chiller /Cooling Tower project, however, no M/WBE Mechanical contractors submitted a bid on this project.
BIDS:
Bidder Bid Amount WBE MBE
Indicor Mechanical $273,766 0.00% 0.00%
Superior Mechanical $295,000 6.00% 1.00%
Brady Services $342,734 0.00% 0.00%
BUDGET IMPACT:
The contracts for the total project (Part 1 and Part 2) will be funded by a Hotel/Motel tax bond and will not have a negative impact on the Coliseums annual operating budget.
RECOMMENDATION / ACTION REQUESTED:
Part 1: The Coliseum Complex staff recommends the City Council to approve the Air Chiller and HVAC Cooling Tower contract with Jeff Hargett Mechanical in the amount of $1,203,000.
Part 2: The Coliseum Complex staff recommends the City Council to approve the Air Handling Unit contract with Indicor Mechanical in the amount of $273,766.
And, the Coliseum Complex staff recommends the City Council approve all necessary budget adjustments to allow for these contract awards.