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HomeMy WebLinkAboutItem 06.e Date: July 2, 2018 Item No. APPROVAL OF A CONTACT AMENDMENT WITH COOL AIR MECHANICAL, INC. ADDING REPLACEMENT OF LAKEVILLE AREA ARTS CENTER CONDENSING UNITS 2 AND 5 Proposed Action Staff recommends adoption of the following motion: Move to approve a contract amendment with Cool Air Mechanical, Inc. adding replacement of Lakeville Area Arts Center condensing units 2 and 5. Overview On May 21, 2018, the City Council approved a contract with Cool Air Mechanical, Inc. for the replacement condensing units 201, 202, and 203 at the Water Treatment Facility (WTF). Subsequently, the City solicited separate quotes for the replacement of condensing units 2 and 5 at the Lakeville Area Arts Center (LAAC). The replacement, based on age of the units, is timed to coincide with the LAAC landscaping project that will begin in mid-July. The cost of the WTF contract is $52,610.00. The two quotes received for the LAAC project were $32,672.00 and $36,842.00, with Cool Air Mechanical, Inc. providing the lowest cost for the replacement. This will bring the total cost of the contract to $85,282.00, below the City’s current threshold for seeking sealed bids. Budgeted amounts for both projects total $108,506.00. Amending the contract reduces administrative costs for both the City and the contractor and allows the extension of contract terms and conditions and insurance requirements to the LAAC project. Staff has reviewed the contract amendment and recommends its approval. Primary Issues to Consider • Is it necessary to replace the condensing units? Yes, the condensing units need to be removed as part of the LAAC landscaping project. Both units are 18 years old and have reached the end of their service life. This is an opportunity to replace the units without potential damage to the landscaping. Supporting Information • A copy of the proposed contract amendment is attached. Financial Impact: $32,672.00 Budgeted: Yes Source: 4014.6540 Related Documents (CIP, ERP, etc.): 2017 Adopted Budget Envision Lakeville Community Values: Good Value for Public Services Report Completed by: Neil Normandin, Interim Public Works Director 2 Error! Unknown document property name. FIRST AMENDMENT TO CONTRACT FOR SERVICES THIS FIRST AMENDMENT TO CONTRACT FOR SERVICES made this 2nd day of July 2018 (“Amendment”) by and between the CITY OF LAKEVILLE, a Minnesota municipal corporation ("City") and COOL AIR MECHANICAL, INC.., a Minnesota corporation ("Contractor"), collectively “the Parties.” WHEREAS, the City and Contractor entered into the Contract for Services dated May 21, 2018 (“Contract”); and WHEREAS, the City and Contractor desire to amend the Contract to include replacement of two HVAC condenser units at the Lakeville Area Arts Center. NOW, THEREFORE, the City and the Contractor agree as follows: 1. The Contract shall remain in full force and effect, except as amended by this Amendment. 2. AMENDMENT OF PARAGRAPH 1 OF THE CONTRACT. Paragraph 1 of the Contract is amended to read as follows: 1. SCOPE OF SERVICES. The scope of services is detailed in the Contract Documents but generally consists of Replacement of Condensing Units 201, 202 and 203 at Lakeville Water Treatment Facility and Replacement of Condensing Units 2 and 5 at the Lakeville Area Arts Center. The Contractor agrees to perform the services as detailed in the Contract Documents. 3. AMENDMENT OF PARAGRAPH 2 OF THE CONTRACT. Paragraph 2 of the Contract is amended to read as follows: 2. CONTRACT DOCUMENTS. The following documents shall be referred to as the “Contract Documents,” all of which shall be taken together as a whole as the contract between the parties as if they were set verbatim and in full herein: A. This document entitled “Contract for Services” B. Instructions to Contractor dated April 16, 2018; C. General and Technical Specifications dated April 16, 2018; D. Contractor’s Proposals for Condensing Units 201, 202, 2013 and Replacement and Arts Center Condensing Units Replacement, including the May 15, 2018 Scope of Work. 3 Error! Unknown document property name. If there is a conflict among the provisions of the Contract, the order in which they are listed above shall control in resolving any conflicts with Contract Document “A” having the first priority and Contract Document “D” having the last priority. Dated: ______________________, 2018 OWNER: CITY OF LAKEVILLE BY: ______________________________ Douglas P. Anderson, Mayor AND _____________________________ Charlene Friedges, City Clerk Dated: ______________________, 2018 CONTRACTOR: COOL AIR MECHANICAL, INC. By: ________________________________ ______________________ [print name] Its: ______________________ [title]