Title
Chief Administrative Office, Facilities Division, recommending the Board:
1) Authorize the Purchasing Agent to sign Amendment II to Agreement for Services 6736 with Mesa Energy Systems, Inc. to increase compensation by $250,000 for an amended not-to-exceed of $475,000 to provide on-call and emergency maintenance and repair services for heating, ventilating, and air conditioning equipment located at various County operated locations; and
2) Make findings pursuant to Article II, Section 210b(6) of the El Dorado County Charter and 3.13.030 Section C of County Ordinance 5116 that the ongoing aggregate of the work performed under this Agreement is temporary or occasional in nature and the work to be performed is not sufficient to warrant the addition of permanent staff.
FUNDING: Accumulative Capital Outlay Fund (20%) and General Fund (80%).
Body
DISCUSSION / BACKGROUND
On July 13, 2022, the Purchasing Agent executed Agreement for Services No. 6736 with Mesa Energy Systems, Inc. to provide on-call and emergency maintenance and repair services for heating, ventilating, and air conditioning (HVAC) equipment located at various County operated locations. The agreement was established for one year with a not-to-exceed cost of $75,000.
On January 24, 2023, the Purchasing Agent executed Amendment I, authorizing an increase to compensation by $150,000 for an amended not-to-exceed of $225,000 and to increasing the term an additional year.
While the County has made significant strides in HVAC capital improvements at its most utilized locations, there are still several locations that are problematic with risk of failure. This incredibly heavy winter has necessitated an increase in emergency services. Mesa Energy Systems has been providing the Division with significant support thus far over the contract term and has successfully assisted in numerous emergency and highly complicated problems.
The current agreement's funding has nearly been exhausted, and an amendment is necessary to increase compensation so that support remains available. Should the amendment be approved the revised not-to-exceed amount will be $475,000. Changes also include ancillary updates to Article XXVI, Indemnity.
Mesa Energy Systems has been the County’s primary contractor for emergency HVAC repairs over the past several years and have provided excellent support and value. Mesa has the most experience with the County’s complex and antiquated systems and they have been instrumental in helping the Division avoid complete HVAC failures. Additionally, they are unique in that they can address every brand of HVAC equipment the County utilizes (even those that are now obsolete). The County would most likely need multiple contractors to address the County’s HVAC needs, which would result in lost economy of scale cost savings.
Due to the fact these services are primarily utilized in urgent or highly complicated situations on a temporary or occasional nature it is further recommended the Board Make findings pursuant to Article II, Section 210b(6) of the El Dorado County Charter and section 3.13.030, C of County Ordinance 5116 that the ongoing aggregate of the work performed under this Agreement is not sufficient to warrant the addition of permanent staff.
ALTERNATIVES
The Board could decline this amendment and the Division will be limited in responding to HVAC issues.
PRIOR BOARD ACTION
01/24/2023 - Legistar 22-2292 - Amendment I with Mesa Energy Systems
OTHER DEPARTMENT / AGENCY INVOLVEMENT
Procurement & Contracts
County Counsel
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
Funding is available in both the Accumulative Capital Outlay Fund and the Division's Operating Budget (General Fund) for Fiscal Year 2022-23 and shall be budgeted in the future Fiscal Years. There is no change to Net County Cost.
CLERK OF THE BOARD FOLLOW UP ACTIONS
N/A
STRATEGIC PLAN COMPONENT
Infrastructure
Public Safety
CONTACT
Chuck Harrell
Facilities Division Manager