Submitted By
Rob Sproule, Public Works Director
Reviewed By
Erin E. Baynes, Assistant to the Village Manager
Agenda Item Title
Title
A Resolution Approving an Independent Contractor Agreement with MG Mechanical Contracting, Incorporated to Install New Mechanical Equipment and Complete Repairs to Various Existing Mechanical System Equipment at the Public Works Center in an Amount Not to Exceed $235,250.00 and Authorizing its Execution
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Overview
Overview
The existing electric unit heaters at the Public Works Center (PWC) are original to the building’s 2007 infrastructure and have reached the end of their useful service life. There are also multiple sections of damaged ductwork throughout the building that need to be replaced. These items were identified for replacement in the Fiscal Year 2024 Capital Improvement Plan. Staff solicited bids for this work and the lowest responsive bidder was MG Mechanical Contracting, Incorporated.
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Recommendation
Recommendation
Adopt the Resolution.
Background
The Public Works Center is an all-electric building with numerous wall-mounted and ceiling-mounted electric unit heaters, several of which have become inoperable. These heaters are original to the building and due for replacement. Replacement of these unit heaters was identified in the Property Condition Assessment (PCA) completed at the PWC in 2023.
The scope of work for the base bid includes the replacement of eight (8) unit heaters. Alternate #3 includes a per-unit cost to replace additional unit heaters should sufficient funds become available. After a review of available funds, staff has determined that only the replacement of the cabinet unit heaters (CUH-A through D) and one electric unit heater (EUH-C) would be included in Alternative #3. The remaining unit heaters would either be replaced in 2025 or, should additional funds become available, added to this contract as an amendment.
There are also multiple sections of damaged or corroded ductwork throughout the building. The base bid includes the replacement of these damaged sections. The bid summary shows additional alternate bid items for the overall scope of work as identified by staff and the engineering team.
MG Mechanical Contracting, Incorporated submitted the most favorable bid. Staff recommends that the Village Board approves the Independent Contractor Agreement with MG Mechanical Contracting, Incorporated to complete the mechanical upgrades and repairs at the Public Works Center. MG Mechanical Contracting, Incorporated has confirmed its pricing and understanding of the scope of work and has been verified by Kluber, Inc., the Village’s Task Order engineering firm responsible for the design documents. Due to poor performance on past projects, Bee Liner Lean Services was disqualified from future bidding with the Village, however, they submitted a proposal nonetheless with inaccurate pricing for #3, indicating their misunderstanding of the scope of work. In addition, their pricing for Alternate #1 indicates further their lack of understanding of the scope of work. Staff does not recommend Bee Liner Lean Services for future work with the Village.
Fiscal Impact
The Fiscal Year 2024 Capital Improvement Plan, Building Improvement Fund (B.I.F.) Budget account no. 3012-43790-101-540673 includes $346,885.00 for MEPS and Fire Protection System Repairs at the Public Works Center, $9,350.00 of which was dedicated to the PWC Exterior Façade Repairs Project leaving an actual balance of $337,535.00.
To date, a total of $124,433.63 has been spent on the replacement of the AHU2 condensing unit ($73,3425.50), replacement of sprinkler pipe sections ($21,076.13), and engineering costs for the mechanical repairs ($30,015.00), leaving a balance of $213,101.37.
The total cost to complete the mechanical upgrades and repairs at the Public Works Center with MG Mechanical Contracting would not exceed $235,250.00. The difference of $22,148.63 would be covered by the $66,592.50 balance remaining in the B.I.F. from the North Fire Station HVAC/Boiler Replacement Project.
DEI Impact
This project is in alignment with Village Board Goal #2 Community Health & Safety, Priority 6: Ensure Healthy Work Environments for Village Workers.
Alternatives
The Board may delay action to gain additional information.
Previous Board Action
The approved funding for this project is part of the 2024 Capital Improvement Plan.
Citizen Advisory Commission Action
N/A
Anticipated Future Actions/Commitments
Staff will monitor the performance of the new mechanical equipment to ensure it is operating as efficiently as possible.
Intergovernmental Cooperation Opportunities
N/A