TO: ADAM PIRRIE, CITY MANAGER
FROM: JEREMY SWAN, COMMUNITY SERVICES DIRECTOR
DATE: FEBRUARY 27, 2024
Reviewed by:
City Manager: AP
SUBJECT:
Title
AUTHORIZATION TO ENTER INTO AN AGREEMENT WITH FIRST CLASS HEATING AND AIR CONDITIONING, INC. FOR EMERGENCY BOILER REPLACEMENT SERVICES AT THE CLAREMONT POLICE DEPARTMENT (FUNDING SOURCE: EQUIPMENT AND FACILITY REVOLVING RESERVE)
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SUMMARY
The Claremont Police Department facility was built in 1974. The building’s boiler is likely the original unit installed and has been repaired several times over the years. Due to its age, repairs are difficult to make and costly. On January 31, 2024, the boiler failed, leaving the Police Department without heat.
First Class Heating and Air Conditioning, Inc., the City’s heating, ventilation, and air conditioning (HVAC) contractor, could not find the necessary parts to fix the old unit, making replacement the only option. The cost to replace the old unit is $43,350.37, which includes materials, labor, and disposal of the old unit. Staff recommends entering into an agreement with First Class Heating and Air Conditioning, Inc. for $43,350.37 for emergency boiler replacement services.
RECOMMENDATION
Recommended Action
Staff recommends the City Council:
A. Authorize the City Manager to enter into an agreement with First Class Heating and Air Conditioning, Inc. in the amount of $43,350.37 for emergency boiler replacement services; and
B. Appropriate $43,350.37 from the Equipment and Facility Revolving Reserve to fully fund the emergency boiler replacement.
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ALTERNATIVE TO RECOMMENDATION
In addition to the recommendation, there is the following alternative:
• Request additional information from staff.
FINANCIAL REVIEW
First Class Heating and Air Conditioning, Inc., the City’s current provider of HVAC services, provided a cost of $43,350.37 to replace the boiler at the Police Department. First Class sourced the required equipment and provided the labor for the removal and installation of the new boiler. Staff recommends funding for the emergency boiler replacement be appropriated from the Equipment and Facility Revolving Reserve. The reserve has a current balance of $581,830, sufficient to fund the replacement of the boiler at the Police Department.
Claremont Municipal Code (CMC) Section 3.15.090 allows the City to use alternative purchasing procedures in certain situations. In the case of the PD boiler, the City Manager determined that its replacement as quickly as possible was in the best interest of the City, consistent with CMC Section 3.15.090 (H).
The staff cost to prepare this report is estimated at $600 and is included in the operating budget of the Community Services Department.
ANALYSIS
The Claremont Police Department facility was built in 1974. The building is equipped with a boiler heating system. Boilers heat water, then distribute warm air to the rooms within the building. The existing boiler is likely the original boiler that has been in place since the building was constructed. Over the years, repairs have been made to the existing boiler system. Repairs have become difficult over the past few years due to increasing difficulty in locating necessary parts, and the repairs are often costly.
On January 31, 2024, the boiler began leaking carbon monoxide. Due to the age of the system, the required parts could not be found. First Class found a replacement unit that is new and more efficient. The cost for First Class to replace the old unit is $43,350.37, which includes the new unit, labor, and disposal. First Class completed replacement of the boiler on February 13, 2024.
The City’s Purchasing, Bidding, and Contracting Policy allows the City Manager to determine that it is in the best interest of the City to use alternative purchasing procedures. At the City Manager’s direction, First Class was authorized to complete the necessary work. Without shortening the bid process and beginning work immediately, the Police Department would have been without heat for several weeks.
As standard practice, all purchases over $25,000 are brought before the City Council for consideration. With City Council approval, the City can render payment to the contractor for the emergency replacement of the boiler system at the Police Department.
RELATIONSHIP TO CITY PLANNING DOCUMENTS
Staff has evaluated the agenda item in relationship to the City’s strategic and visioning documents and finds that it applies to the following City Planning Documents: Council Priorities, Sustainable City Plan, Economic Sustainability Plan, General Plan, and the 2022-24 Budget.
CEQA REVIEW
This item is not subject to environmental review under the California Environmental Quality Act (CEQA).
PUBLIC NOTICE PROCESS
The agenda and staff report for this item have been posted on the City website and distributed to interested parties. If you desire a copy, please contact the City Clerk’s Office.
Submitted by: Prepared by:
Jeremy Swan Cari Dillman
Community Services Director Community Services Manager