Title
Resolution to Approve a Professional Services Agreement between the City and DiClemente Siegel Design Inc. for Work Related to the Larcom City Hall Primary Chiller Replacement Project ($42,100.00)
Memorandum
Attached for your review and approval is a resolution to approve a Professional Services Agreement between the City and DiClemente Siegel Design Inc. (DSD), Southfield, Michigan, in the amount of $42,100.00, for engineering services related to the replacement of the primary chiller at Larcom City Hall.
This overall project consists of removing and replacing the old chiller unit system that provides cooled air to the Larcom City Hall building with a new, reliable, and energy efficient unit. Depending on the replacement technology selected, the installation may also include some building modifications.
The existing chiller system is well beyond its useful life with some system components being original to the building and over 50 years old. Replacement parts for many of the old system components are difficult to obtain or completely unavailable. A smaller, secondary chiller unit was installed in 2014 and has provided cooled air to help reduce the impact of any outages when the old chiller was out of service. This secondary unit was not designed to handle the full cooling load of the building.
To address the energy efficiency goals of the City, approved by City Council in 2017, DSD will provide a thorough evaluation of current chiller technologies and make a recommendation on which technology best fits this project and the goals of the City. Upon selection of the chiller technology, DSD will then provide complete design and technical specifications for bidding by the City and provide construction administration for the project after a contractor award.
An RFP was issued on February 6, 2018 for engineering services for this project and DSD was the sole responder. The City has used DSD in the past and found them to be both competitive in their pricing and competent in their field. The resolution includes a recommended 20% project contingency of $8,420.00 to cover potential contract change orders to be approved by the City Administrator if necessary. The recommended contingency is higher than normal because the chiller technology being designed will not be selected until after a thorough evaluation is completed. There may be significant changes in design needs based upon the selected replacement technology.
The Primary Chiller Replacement project was included in the City’s Capital Improvement Plan and funding is available in the approved Capital Budget.
DiClemente Siegel Design Inc. complies with the requirements of the City’s living wage and non-discrimination ordinances.
Staff
Prepared by: Matthew J. Kulhanek, Fleet & Facility Manager
Reviewed by: Craig Hupy, Public Services Area Administrator
Approved by: Howard S. Lazarus, City Administrator
Body
Whereas, The City needs to replace an outdated chiller cooling system at Larcom City Hall;
Whereas, A thorough evaluation of available chiller technologies will need to be accomplished to meet the energy efficiency goals approved by City Council in 2017;
Whereas, The proposed project was included in the City’s Capital improvements Plan and funding is available in the approved Capital Budget;
Whereas, DiClemente Siegel Design Inc., Southfield, Michigan has submitted a proposal for work related to the technology evaluation, design, bidding and construction administration for the City Hall Primary Chiller Replacement project, for a fee of $42,100.00; and
Whereas, DiClemente Siegel Design Inc. complies with the requirements of the City’s Living Wage and Non-Discrimination Ordinances;
RESOLVED, The City Council approve the Professional Services Agreement with DiClemente Siegel Design Inc. in the amount of $42,100.00 for work related to the technology evaluation, design, bidding and construction administration for the proposed Primary Chiller Replacement project at Larcom City Hall and authorize an engineering contingency of $8,420.00 to cover potential contract change orders;
RESOLVED, That the Mayor and City Clerk be authorized and directed to sign the Professional Services Agreement upon approval as to form by the City Attorney, and upon approval as to substance by the City Administrator; and
RESOLVED, That the City Administrator be directed to take the necessary administrative actions to implement this resolution including the approval and execution of change orders within the approved project budget.