02-01-1994 - GP-94-312 - Maintenance of HVAC Equipment in 12 City Owned Bldgs.City of West Covina
Memorandum
To CITY MANAGER AND
CITY COUNCIL AGENDArxoMPATRICK J. GLOVER
ITEM NO. C-7b
MAINTENANCE DIRECTOR
SUBJECT:
GP-94-312 - AWARD OF CONTRACT FOR THE DATE February 1 , 1994
MAINTENANCE OF HEATING AND AIR CONDITIONING
EQUIPMENT IN TWELVE CITY OWNED BUILDINGS
SUMMARY: On January 21, 1994, five bids were received and opened for this contract which
provides for the maintenance of heating and air conditioning equipment for three
yearn in twelve City owned buildings. The lowest bid received was $95,064 from
Abban Industries of Rancho Cucamonga.
BACKGROUND
For the past 22 years, the maintenance of heating and air conditioning in City owned buildings
has been done by private contractors. The current contractor is ACCO of Glendale, who has
been maintaining the City's air conditioning equipment for the past nine years. The current
contract price for maintaining heating and air conditioning equipment in 12 City buildings is
.$4,026.00 per month or $48,312 per year.
In October of last year, City Council approved new plans and specifications for this'contract.
Requests for bids were advertised in the San Gabriel Tribune on January 4 and 1.1, 1994. A job
walk-through was attended by eight contractors on January 13, 1994. On January 21, 1994, five
bids for this project were opened and reviewed in the office of the City Clerk.., The lowest
bidder was Abban Industries for $95,064 for a three year contract. This results in a monthly
price of $2,641. This monthly cost is 34 % lower than our current contract price and is based
on a new set of specifications which provide for a much higher level of service than the
specifications currently in place.. A summary of the bids received is as follows:
No.
Contractor
City
Monthly Amount
Bid Amount
1
Abban Industries
Rancho Cucamonga
$2,640.66
$ 95,064.00
2
ACCO Air Conditioning
Glendale
4,575.00
164,700.00
3
Cal -Air Inc.
Whittier
5,253.00
189,108.00
4
F.M. Thomas
Brew
6,963.16
250,674.00
5
Barr Engineering, Inc.
Santa Fe Springs_
7,684.00
276,624.00
ANALYSIS
Based on. the new specifications which provides for a much increased level of service, staff
estimated the new contract price to be approximately $5,000 per month or $180,000 for a three
year contract. The bid submitted by Abban Industries is $2,641 per month which is 34% lower
than our current contract and 42 % lower than the second lowest bid by ACCO Air Conditioning
of Glendale. Based, on this bid amount, staff requests additional time to investigate the bid
submitted by Abban Industries. In addition, staff will contact other companies that are
contracted with Abban Industries for heating and air conditioning maintenance to verify their
past performance. standards. As the City of West Covina looks for every opportunity to save
energy costs, it is imperative that our equipment is maintained. at its peak efficiency.
FISCAL IMPACT
Sufficient funds have been allocated in the Maintenance Department's budget to cover the service
contract during FY 1993-94.
RECOMMENDATION
It is recommended that the City Council postpone the award of this contract until the March 1,
1994 City Council Meeting to allow staff adequate time to evaluate the performance capabilities
of the low bidder, Abban Industries of Rancho Cucamonga.
Approved
_ atrick J. ove
Maintenance etor
W. Thomas
Public Works Division Manager, City Engineer
202-94