Title
Amend Ordinance S-46574 to Add Funds to Commercial and Residential Heating, Air Conditioning, and Evaporative Cooler Contracts (Ordinance S-51297)
Description
Request to authorize the City Manager, or his designee, to amend Ordinance S-46574 to add up to $300,000 in U.S. Department of Housing and Urban Development (HUD) funding without modifying the term end date, and to take all necessary actions and execute all documents for Adobe Insulation, Inc. dba Adobe Energy Management, to provide heating, air conditioning and evaporative cooler services at the Housing Department's scattered sites and public housing properties. Further request to authorize the City Controller to disburse all funds related to this item. There is no impact to the General Fund.
Report
Summary
On May 6, 2020, City Council approved Ordinance S-46574 to enter into an agreement with Adobe Insulation, Inc. dba Adobe Energy Management, Goliath Mechanical, LLC (who terminated their contract), and TLC Refrigeration & Air Conditioning, LLC (who are no longer in business), in an amount not to exceed $1.2 million to provide new units and repairs for heating, air conditioning, and evaporative coolers at the scattered site and housing properties owned by the Housing Department. The term of the agreement was on or about July 1, 2020, and ends on June 30, 2025.
The Housing Department is seeking approval for additional funding of $300,000 in funds to cover increased costs due to new mandatory Department of Energy (DOE) new efficiency requirements for Air Conditioning Systems needed for the scattered sites and other housing properties.
Contract Term
The contract term remains unchanged, ending on June 30, 2025.
Financial Impact
The new aggregate contract value will not exceed $1.5 million (including applicable taxes). This contract is funded with HUD funds. There is no impact to the General Fund.
Concurrence/Previous Council Action
City Council approved Ordinance S-46574 on May 6, 2020.
Department
Responsible Department
This item is submitted by Deputy City Manager Gina Montes and the Housing Department.