DATE: April 17, 2018
TO: Board of Supervisors
SUBMITTED BY: Robert W. Bash, Director of Internal Services/Chief Information Officer
SUBJECT: Agreement with Trane U.S. Inc. for Chiller Inspection, Maintenance, and
Repair Services, including modernization upgrades for the Centrifugal
Chillers at the Juvenile Justice Campus
RECOMMENDED ACTION(S):
TITLE
1. Make a finding that it is in the best interest of the County to waive the competitive bidding process under Administrative Policy No. 34 due to “unusual or extraordinary circumstances” to contract for chiller inspection, maintenance, and repair services, including modernization upgrades for the centrifugal chillers on the Juvenile Justice Campus; and
2. Approve and authorize the Chairman to execute an Agreement with Trane U.S. Inc. for chiller inspection, maintenance, and repair services including modernization upgrades for the centrifugal chillers at the Juvenile Justice Campus, effective upon execution, for a term not to exceed five consecutive years, which includes a three-year base term and two optional one-year extensions, total not to exceed $500,000.
REPORT
Approval of the recommended actions will allow the Internal Services Department (ISD) Facility Services Division to contract for inspection, maintenance, and repair services including modernization upgrades for the centrifugal chillers at the Juvenile Justice Campus (JJC) that have proprietary Trane U.S. Inc. (Trane) software. The item pertains to locations countywide.
ALTERNATIVE ACTION(S):
Should your Board not approve the recommended actions, the JJC chillers will continue to operate with outdated chiller controls, and any factory warranties issued by Trane will be invalidated. These factory warranties cover eight chillers installed countywide.
SUSPENSION OF COMPETITION/SOLE SOURCE CONTRACT:
The Department requests that your Board waive the competitive bidding process consistent with Administrative Policy No. 34 for unusual or extraordinary circumstances for the provision of maintenance and services from Trane. As the manufacturer of the Trane chillers, Trane utilizes proprietary knowledge, materials, tools, and training to service this equipment. A Trane Service Agreement is required for any factory warranty to be honored. ISD - Purchasing concurs with the Department’s recommended action to waive the competitive bidding process.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended action. Appropriations for one-time and annual cost of maintenance and services for the centrifugal chillers are included in the FY 2017-18 Internal Services Department - Facility Services Org 8935 Adopted Budget and will be charged back to County departments served by the chillers on a pro-rated basis. Future costs associated with this agreement will be requested in future budgets.
DISCUSSION:
Trane is the provider of inspection, maintenance, and repair services for County chillers, uses proprietary software in the computer-controlled systems, and uses specialized equipment to service. The Trane scheduled maintenance program is designed to reduce unexpected breakdowns, reduce downtime, lower equipment repair and maintenance costs, reduce energy consumption, and extend the useful life of the equipment. A Trane Service agreement is required for any factory warranty to be honored. The recommended agreement includes annual service costs for eight chillers located at the JJC, Main Jail, South jail, and Plaza, that are currently under factory warranty. Also included are one-time costs for identified repairs and upgrades at the JJC location, including the replacement of the fan belts and basin flanges on all three cooling towers, and the upgrade of two older chiller control processor and operator interfaces to the newer “Tracer AdaptiView” display and control system. A third chiller at the JJC location is currently equipped with the AdaptiView control system and has been able to detect internal mechanical issues before they become costly repairs.
The recommended action approves and authorizes the Agreement with Trane US Inc. for a three-year base contract with two optional one-year extensions upon written approval of both parties for a total amount not to exceed $500,000.
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Agreement
Suspension of Competition
CAO ANALYST:
Juan Lopez