BOARD MEETING DATE: May 1, 2009
AGENDA NO. 11

PROPOSAL:

Execute Contract to Replace Cooling Tower #3 and Reallocate Funds

SYNOPSIS:

On February 6, 2009, the Board approved a contract with C.J.S. Industrial Maintenance to replace the building’s cooling tower #3. In working with the contractor, it was discovered that the particular cooling tower replacement selected as the low-cost bid did not meet one of the RFP technical specifications. This action is to execute a contract, still with C.J.S. Industrial Maintenance, but for a different cooling tower model option the company also bid in response to the RFP, which is the lowest-cost bid that meets specifications. The total replacement cost with this cooling tower model is not to exceed $96,580, which is $6,580 more than was budgeted. However, sufficient funding is available in the FY 2008-09 Budget and reallocation of funds for this purpose is requested.

COMMITTEE:

Administrative, April 10, 2009, Recommended for Approval

RECOMMENDED ACTIONS:

1. Authorize the Chairman to execute a contract with C.J.S. Industrial Maintenance, in an amount not to exceed $96,580, to replace cooling tower #3.
2. Reallocate $6,580 from the FY 2008-09 Budget District General-Capital Outlay “Unbudgeted Capital Outlay” line item to the Capital Outlay “Cooling Tower #3” line item, for a total allocation of $96,580.
    

Barry R. Wallerstein, D.Env.
Executive Officer

Background

n the FY 2008-09 Budget, the Board approved funding for the much-needed replacement of the building’s third cooling tower, and in September 2008, the Board authorized release of RFP #P2009-03 to replace it. On February 6, 2009, the Board approved award of a contract with C.J.S. Industrial Maintenance in an amount not to exceed $79,950. Subsequently, it was discovered that the lower-cost cooling tower model, which was one of two model options proposed by C.J.S. Industrial Maintenance, did not meet one of the technical specifications included in the RFP. The second cooling tower model they proposed, which is the lowest-cost bid that does meet specifications, is being recommended for approval.
 

Outreach

In accordance with AQMD’s Procurement Policy and Procedure, a public notice advertising the RFP and inviting bids was published in the Los Angeles Times, the Orange County Register, the San Bernardino Sun, and Riverside County Press Enterprise newspapers to leverage the most cost-effective method of outreach to the entire South Coast Basin.

Additionally, potential bidders may have been notified utilizing AQMD’s own electronic listing of certified minority vendors. Notice of the RFP has been mailed to the Black and Latino Legislative Caucuses and various minority chambers of commerce and business associations, and placed on the Internet at AQMD’s Web site (http://www.aqmd.gov/). Information was also available on AQMD’s bidder’s 24-hour telephone message line (909) 396-2724.
 

Proposal Evaluation

Eleven proposals were mailed out and 21 contractors attended the September 19, 2008, mandatory bidders conference. Nine proposals were received when final bidding closed at 2:00 p.m., October 8, 2008, six of which were complete and met RFP requirements. The panel that evaluated proposals included three AQMD employees, a Building Services Manager, a Business Services Manager, and a senior Air Quality Engineer. Of these, one is Caucasian, and two are Hispanic; one female and two male.

The panel evaluated the six responsive proposals based on criteria specified in the RFP, which included compliance with technical specifications, cost, contractor qualifications, and client references. C.J.S. Industrial Maintenance, submitted the lowest-cost qualified bid and received excellent references for comparable services.
 

Resource Impacts

Sufficient funds are available in the approved FY 2008-09 Budget. However, since $90,000 was originally budgeted for cooling tower replacement, staff requests $6,580 be reallocated from District General-Capital Outlay “Unbudgeted Capital Outlay” line item to Capital Outlay “Cooling Tower #3” line item, for a total allocation of $96,580.
 

Attachment

Bidder’s List (DOC, 41k)