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Item 2 - CONSIDERATION OF ACCEPTANCE OF ENERGY SYSTEM UPGRADES INSTALLATION - ENERGY EFFICIENCY PROJECT NO. 21034AGENDA ITEM NO.2 AGENDA STAFF REPORT City of West Covina I Office of the City Manager DATE: October 4, 2022 TO: Mayor and City Council FROM: David Carmany City Manager SUBJECT: CONSIDERATION OF ACCEPTANCE OF ENERGY SYSTEM UPGRADES INSTALLATION — ENERGY EFFICIENCY PROJECT NO.21034 RECOMMENDATION: It is recommended that the City Council take the following actions: 1. Accept the work performed by Alliance Building Solutions, Inc. for the Energy System Upgrades Project. 2. Authorize the execution and recordation of the Notice of Completion and the release of retention funds 35 days thereafter. BACKGROUND: As part of the City's continuous efforts to find efficient and cost saving measures, staff looked at opportunities to reduce energy costs. On October 6, 2020, the City Council, after conducting a public hearing in accordance with the requirements of California Government Code section 4217.10 et seq., authorized the execution of certain agreements for the City's Energy Systems Upgrades Project, including an Installation Agreement with Alliance Building Solutions, Inc. ("Alliance") in the amount of $3,210,098. Following changes to the solar component of the energy systems upgrades, which is being installed pursuant to a separate Solar PV System Construction Agreement with Motive Energy Storage Systems, Inc., the City and Alliance ultimately entered into the Installation Agreement on May 13, 2021. The project included installations at several City -owned facilities, with varying improvements specifically chosen to maximize the energy savings potential at each individual facility. City Facilities: . Cameron Park & Community Center . Civic Center (Police Department/ Communication Center/ Parking Garage/ City Hall) . Fire Station No. 1 . Fire Station No. 2 . Fire Station No. 3 . Fire Station No. 4 . Palm View Center . Cortez Park Community & Senior Center . Shadow Oak Recreation Center & Park Energy efficiency improvements included: . Lighting Improvements: o Interior LED Lighting Upgrades o Exterior LED Lighting Upgrades o Install Dual Technology Occupancy Sensors . Mechanical Improvements o New High Efficiency HVAC Unit Replacements o HVAC Unit Efficiency Retrofit . Controls o Install Smart Programmable Thermostats o Install Energy Management Systems (EMS) . Building Envelope o Roof Replacement . Other o Transformer Replacements o MPTS Power Quality Installation o Install New Modular Restroom DISCUSSION: All required improvements were constructed in conformance with the approved plans and specifications. The project was substantially completed on September 15, 2022, within the project schedule with the final construction cost of $3,110,439.05. During the course of construction, the City approved one (1) change order removing the City Yard as a site, which decreased the contract price by $231,369.95, and three (3) change orders which collectively increased the contract price by $131,711. The change orders that increased the contract price were as follows: . Change Order #1 for $98,400 to Roofing Drain Replacement of 15 existing roof drains and restoring Carlisle Single Ply PVC Roofing Membranes. . Change Order #2 for $6,500 for the removal of two non-functioning generators from the City Hall roof. . Change Order #3 for $26,811 to repair concrete roof deck in two areas. Area 1: Corrugated metal decking restoration tear out, remove, and replace with galvanized B-decking panel, fasten to existing I -beams, install wire mesh, and pour new concrete decking. Area 2: Concrete decking restoration framing out holes and sealing with mastic. The City retains five percent (5%) of each payment to the contractor as retention to ensure payment to subcontractors and material suppliers before final payment to the contractor. The City Council's acceptance of the project during the public meeting and the City's recordation of the Notice of Completion trigger timeframes within which subcontractors or material suppliers must file claims for payment if they have not been paid by the general contractor. If no claims are filed within 35 days of the filing of the Notice of Completion, the City will release retention and any remaining amount due to the contractor. Staff recommends that the City Council accept the work performed by Alliance for the Energy Systems Upgrades Project. LEGAL REVIEW: The City Attorney's Office has reviewed this report. OPTIONS: The City Council has the following options: 1. Approve Staffs recommendation; or 2. Provide alternative direction. Prepared by: Paulina Morales, Assistant City Manager Fiscal Impact FISCAL IMPACT: The total cost savings of $99,658.95 for Project No. 21034 can be used for Future Capital Projects. Attachments ATTACHMENT NO. 1 - NOTICE OF COMPLETION ENERGY SUSTEM UPGRADES - ALLIANCE BUILDING SYSTEMS CITY COUNCIL GOALS & OBJECTIVES: Protect Public Safety Enhance City Image and Effectiveness Achieve Fiscal Sustainability and Financial Stability A Well -Planned Community ATTACHMENT NO. 1 RECORDING REQUESTED BY CITY CLERK WHEN RECORDED MAIL TO Name: City Clerk's Office City of West Covina Address: 1444 W. Garvey Avenue City, State, Zip Code: West Covina, CA 91790 NOTICE OF COMPLETION Notice pursuant to Civil Code Section 3093, must be filed within 10 days after completion. (See reverse side for complete requirements.) Notice is hereby given that: 1. The undersigned is owner or corporate officer of the owner of the interest or estate stated below in the property hereinafter described: 2. The full name of the owner is City of West Covina 3. The full address of the owner is 1444 West Garvey Avenue South, West Covina, CA 91790 4. The nature of the interest or estate of the owner is: in fee. (if other than Fee, strike "In fee" and insert, for example, "purchaser under contract of purchase", or "lessee") 5. The full names and full addresses of all persons, if any, who hold title with the undersigned as joint tenants or as tenants in common are: NAMES ADDRESSES 6. The full names and addresses of the predecessors in interest of the undersigned, if the property was transferred subsequent to the commencement of the work or improvements herein referred to: NAMES ADDRESSES 7. A work of improvement on the property hereinafter described was substantially completed on September 15, 2022, the work done consisted of: Energy System Upgrade Installation — Energy Efficiency Project No. 21034 8. The names of the contractor, if any, for such work of improvement was: Alliance Building Solutions. Inc. (If no contractor for work of improvement as a whole, insert "None") (Date of Contract) 9. The property on which said work of improvement was completed is in the City of: West Covina County of Los Angeles, State of CA, and is described as follows Civic Center (Police Department/ Communication Center/ Parking Garage/ City Hall), Fire Station No. 1, Fire Station No. 2, Fire Station No. 3, Fire Station No. 4, Palm View Center, Cortez Park Community & Senior Center, Shadow Oak Recreation Center & Park 10. The street address of said property is: 1444 W Garvey Ave South, 819 Sunset Ave, 2441 E Cortez St, 1433 W Puente Ave, 1815 S Azusa Ave, 1340 E Puente Ave. 2501 E Cortz St. 2121 E Shadow Oak Dr. West Covina. CA (If no street address has been officially assigned, insert "none".) Dated David, Carman, City Manager (Signature of Owner or corporate officer of Owner named in paragraph 2, or his agent) VERIFICATION I, the undersigned, say: I am the Assistant City Clerk of the City of West Covina, the declarant of the foregoing Notice of Completion: I have read said Notice of Completion and know the contents thereof, the same is true to my own knowledge. I declare under penalty of perjury that the foregoing is true and correct. Executed on at West Covina, CA (Personal signature of the individual who is swearing that the contents of the Notice of Completion are true) DO NOT RECORD REQUIREMENTS AS TO NOTICE OF COMPLETION A notice of completion must be filed for record WITHIN 10 DAYS after completion of the work of improvement (to be computed exclusive of the day of completion), as provided in Civil Code Section 3093. The "owner' who must file for record a notice of completion of a building or other work of improvement means the owner (or his successor in -interest at the date the notice is filed) on whose behalf the work was done, though his ownership is less than the fee title. For example, if A is the owner in fee, and B, lessee under a lease, causes a building to be constructed, then B, or whoever has succeeded to his interest at the date the notice is filed, must file the notice. If the ownership is in two or more persons as joint tenants or tenants is common, the notice may be signed by any one of the co -owners (in fact, the foregoing form is designed for giving of the notice by only one cotenant), but the names and addresses of the other co -owners must be stated in paragraph 5 of the form. Note that any Notice of Completion signed by a successor in interest shall recite the names and addresses of his transferor or transferors. In paragraphs 3, 5 and 6, the full address called for should include street number, city, county and state. As to paragraphs 7 and 8, this form should be used only where the notice of completion covers the work of improvement as a whole. If the notice is to be given only of completion of a particular contract, where the work of improvement is made pursuant to two or more original contracts, then this form must be modified as follows: (1) Strike the words "A work of improvement" from paragraph 6 and insert a general statement of the kind of work done or materials furnished pursuant to such contract (e.g., "The foundations for the improvements"); (2) Insert the name of the contractor under the particular contract in paragraph 7. In paragraph 8 of the notice, insert the name of the contractor for the work of improvement as a whole. No contractor's name need be given if there is no general contractor, e.g., on so-called "owner -builder jobs." In paragraph 9, insert the full, legal description, not merely a street address or tax description. Refer to deed or policy of title insurance. If the space provided for description is not sufficient, a rider may be attached. In paragraph 10, show the street address, if any, assigned to the property by any competent public or governmental authority. This standard form covers most usual problems in the field indicated. Before you sign, read it, fill in all blanks, and make changes proper to your transaction. Consult a lawyer if you doubt the form's fitness for your purpose. RECORDING REQUESTED BY: CITY CLERK WHEN RECORDED MAIL TO: Name: City Clerk's Office City of West Covina Address: 1444 W. Garvey Avenue City: West Covina State & Zip Code: California, 91790 SPACE ABOVE LINE FOR RECORDER'S USE [NOTICE OF COMPLETION] October 4, 2022 LOS ANGELES COUNTY Registrar-Recorder/County Clerk Document Analysis and Recording Section P.O. Box 1250 Norwalk, CA 90651-1250 Dear Sir/Madame: The City of West Covina is requesting that the enclosed documents be recorded. Once complete, please return to: CITY OF WEST COVINA OFFICE OF THE CITY CLERK 1444 West Garvey Avenue South West Covina, CA 91790 Your assistance is greatly appreciated. You may direct any questions to the City Clerk's Office at 626-939-8433. Thanks in advance, Sarah Garcia Administrative Assistant III 1444 West Garvey Avenue South - West Covina, CA 91790 Telephone (626) 939-8433