HomeMy WebLinkAboutItem 13e - HVAC Preventative Maintenance and Repair ServicesContract for HVAC Preventative Maintenance Services
February 07, 2023
Page 1 of 3
DATE: February 07, 2023
TO: Honorable Mayor and City Council
FROM: Paul Cranmer, Public Works Services Director
By: Dave McVey, Acting General Services Superintendent
SUBJECT: CONTRACT WITH SHELDON MECHANICAL CORPORATION FOR
HVAC PREVENTATIVE MAINTENANCE AND REPAIR SERVICES AT
VARIOUS CITY FACILITIES IN THE AMOUNT OF $295,870.
CEQA: Not a Project
Recommendation: Approve
SUMMARY
The Public Works Services Department (“PWSD”) is responsible for the daily operation
and maintenance of heating, ventilation, and air conditioning systems (“HVAC”) for all City
facilities. The City utilizes a contractor to perform detailed HVAC preventative
maintenance work and extraordinary system repairs. To ensure the City is receiving the
most competitive prices and quality service for this work, a formal bid was conducted, and
Sheldon Mechanical Corporation submitted the lowest responsive bid.
It is recommended that the City Council approve, authorize, and direct the City Manager
to execute a contract with Sheldon Mechanical Corporation for HVAC preventative
maintenance and repair services at various City facilities in the amount of $295,870, with
the option of three one-year extensions.
BACKGROUND
The Public Works Services Department is responsible for the day-to-day operation and
maintenance of HVAC systems at City facilities. The City utilizes a contractor to perform
preventative maintenance and extraordinary system repairs. The monthly preventative
maintenance tasks are outlined in the specifications of the contract, while extraordinary
repairs are conducted on an as-needed basis when equipment failures occur. The
preventive maintenance schedule is intended to minimize the occurrence of unscheduled
extraordinary repairs, which ensures that equipment functions properly and prolongs
equipment life.
Contract for HVAC Preventative Maintenance Services
February 07, 2023
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DISCUSSION
The monthly HVAC preventative maintenance schedule includes service on the following
types of equipment:
• Cooling towers
• Small HVAC package roof top units under 10 tons
• Large HVAC package roof top units over 10 tons
• Boilers and chillers
• Dedicated computer server room air conditioners
• Chilled water pumps
• Variable speed drives
A Notice Inviting Bids was published in the City’s adjudicated newspaper and bid
packages were distributed to contractors that perform HVAC preventative maintenance
services. The City Clerk publicly opened five sealed bids on January 17, 2023, with the
following results:
Rank Bidder Location Bid
1. Sheldon Mechanical Corporation Santa Clarita, CA $ 295,870
2. Pacific West Industries, Inc. Anaheim, CA $ 358,169
3. South Coast Facility Services Anaheim, CA $ 397,832
4. Control Air Enterprises, LLC Anaheim, CA $ 510,598
5. ABM Building Solutions, LLC Anaheim, CA $ 576,128
The bid documents were reviewed for content and the contractors’ background and recent
projects were investigated for competency. Sheldon Mechanical Corporation was
determined to be the lowest responsive bidder and can provide HVAC preventative
maintenance services. Sheldon Mechanical Corporation is currently the City’s HVAC
maintenance contractor and has provided excellent service. Sheldon Mechanical
Corporation’s knowledge of City sites and equipment allows them to complete
maintenance and service work in a highly efficient manner. Additionally, Sheldon
Mechanical Corporation has successfully provided similar services for several municipal
agencies in the San Gabriel Valley.
ENVIRONMENTAL IMPACT
The proposed action does not constitute a project under the California Environmental
Quality Act (“CEQA”), and it can be seen with certainty that it will have no impact on the
environment. Thus, this matter is exempt under CEQA.
Contract for HVAC Preventative Maintenance Services
February 07, 2023
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FISCAL IMPACT
Funds are budgeted in each Department’s contract services account in the Fiscal Year
2022-23 Operating Budget. The current contract for annual HVAC preventative
maintenance and extraordinary repairs is $151,046. To date, the City has spent
approximately $150,000 for these services. The total contract cost will be set at a not-to-
exceed amount of $295,870 and reflects a market increase in labor and material costs, a
broader scope of work, and additional emergency calls for labor and installation of parts.
All work performed is on a time and materials basis and the contractor is only paid for
work performed.
RECOMMENDATION
It is recommended that the City Council determine that this action does not constitute a
project and is, therefore, exempt under the California Environmental Quality Act; and
approve, authorize, and direct the City Manager to execute a contract with Sheldon
Mechanical Corporation for HVAC preventative maintenance and repair services at
various City facilities in the amount of $295,870, with the option of three one-year
extensions.
Attachment: Proposed Contract
CITY OF ARCADIA
HVAC PREVENTATIVE MAINTENANCE AND SERVICE
CONTRACT FOR VARIOUS CITY FACILITIES
2022/2023
BETWEEN
CITY OF ARCADIA
AND
SHELDON MECHANICAL CORPORATION
CONTRACT
Contract - 1
CONTRACT FOR THE
CITY OF ARCADIA
This CONTRACT, No. ________ is made and entered into this ____ day of ___________, 2023,
by and between City of Arcadia, sometimes hereinafter called “City,” and Sheldon Mechanical
Corporation, sometimes hereinafter called “Contractor.”
WITNESSETH: That the parties hereto have mutually covenanted and agreed, and by these
presents do covenant and agree with each other as follows:
A. SCOPE OF WORK. The Contractor shall perform all Work within the time stipulated in the
Contract, and shall provide all labor, materials, equipment, tools, utility services, and
transportation to complete all of the Work required in strict compliance with the Contract
Documents as specified in Article 5, below, for the following Project:
HVAC PREVENTATIVE MAINTENANCE AND SERVICE CONTRACT FOR VARIOUS CITY
FACILITIES 2022/2023
The Contractor and its surety shall be liable to the City for any damages arising as a result of
the Contractor’s failure to comply with this obligation.
B. TIME FOR COMPLETION. Time is of the essence in the performance of the Work. The Work
shall be commenced on the date stated in the City’s Notice to Proceed. The Contractor shall
complete all Work required by the Contract Documents within 30 calendar days from the
commencement date stated in the Notice to Proceed. By its signature hereunder, Contractor
agrees the time for completion set forth above is adequate and reasonable to complete the Work.
C. CONTRACT PRICE. The City shall pay to the Contractor as full compensation for the
performance of the Contract, subject to any additions or deductions as provided in the Contract
Documents, and including all applicable taxes and costs, the sum of TWO HUNDRED NINETY-
FIVE THOUSAND, EIGHT HUNDRED SEVENTY DOLLARS AND NO CENTS ($295,870.00).
Payment shall be made as set forth in the General Conditions.
D. LIQUIDATED DAMAGES. In accordance with Government Code section 53069.85, it is
agreed that the Contractor will pay the City the sum set forth in Special Conditions, Article 1.11
for each and every calendar day of delay beyond the time prescribed in the Contract Documents
for finishing the Work, as Liquidated Damages and not as a penalty or forfeiture. In the event this
is not paid, the Contractor agrees the City may deduct that amount from any money due or that
may become due the Contractor under the Contract. This Article does not exclude recovery of
other damages specified in the Contract Documents.
E. COMPONENT PARTS OF THE CONTRACT. The “Contract Documents” include the
following:
Notice Inviting Bids
Instructions to Bidders
Bid Form
Bid Bond
Designation of Subcontractors
Information Required of Bidders
Non-Collusion Declaration Form
Iran Contracting Act Certification
Public Works Contractor Registration Certification
Contract - 2
Performance Bond
Payment (Labor and Materials) Bond
General Conditions
Special Conditions
Technical Specifications
Addenda
Plans and Drawings
Standard Specifications for Public Works Construction “Greenbook”, latest edition, Except
Sections 1-9
Applicable Local Agency Standards and Specifications, as last revised
Approved and fully executed change orders
Any other documents contained in or incorporated into the Contract
The Contractor shall complete the Work in strict accordance with all of the Contract Documents.
All of the Contract Documents are intended to be complementary. Work required by one of the
Contract Documents and not by others shall be done as if required by all. This Contract shall
supersede any prior agreement of the parties.
F. PROVISIONS REQUIRED BY LAW AND CONTRACTOR COMPLIANCE. Each and every
provision of law required to be included in these Contract Documents shall be deemed to be
included in these Contract Documents. The Contractor shall comply with all requirements of
applicable federal, state and local laws, rules and regulations, including, but not limited to, the
provisions of the California Labor Code and California Public Contract Code which are applicable
to this Work.
G. INDEMNIFICATION. Contractor shall provide indemnification and defense as set forth in the
General Conditions.
H. PREVAILING WAGES. Contractor shall be required to pay the prevailing rate of wages in
accordance with the Labor Code which such rates shall be made available at the City’s
Administrative Office or may be obtained online at dir.ca.gov and which must be posted at the job
site.
[REMAINDER OF PAGE LEFT INTENTIONALLY BLANK]
Contract - 3
IN WITNESS WHEREOF, this Contract has been duly executed by the above-named parties, on
the day and year above written.
CITY OF ARCADIA
By:
Dominic Lazzaretto
City Manager
SHELDON MECHANICAL
CORPORATION
By:
Signature
Print Name and Title
Attest:
By:
City Clerk
By:
Signature
Print Name and Title
Approved as to Form:
Michael J. Maurer
City Attorney