DATE: November 8, 2016
SUBJECT:
Title
RESOLUTION SELECTING AND AUTHORIZING AN AGREEMENT WITH ABM BUILDING SERVICES, LLC FOR HVAC SYSTEMS FULL SERVICE AND REPAIR AT VARIOUS DISTRICT FACILITIES FROM FEBRUARY 1, 2017 THROUGH DECEMBER 31, 2019, FOR AN AMOUNT NOT TO EXCEED $451,607.56
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EXECUTIVE SUMMARY:
The District contracts for HVAC maintenance and repair services for cost effectiveness and specialized expertise at various District facilities. This agreement provides for full service HVAC maintenance. The current agreement with ABM Building Services, LLC (ABM) expires January 31, 2017.
Pursuant to BPC Policy 110, Section II. C, Request for Proposals (RFP) No. 16-22AC was issued June 22, 2016. The District received four (4) responsive proposals and interviewed four (4) HVAC service providers. A decision analysis was conducted by staff, which rated service providers according to standard weighted criteria as listed in the RFP. Johnson Controls received the highest score in the decision analysis, but was not deemed the best value to provide HVAC maintenance and repair services. Staff recommends the Board select and authorize an agreement with ABM Building Services, LLC, to provide HVAC systems full service and repair services from February 1, 2017 through December 31, 2019 in an amount not to exceed $451,607.56.
RECOMMENDATION:
Recommendation
Adopt a Resolution selecting and authorizing an agreement with ABM Building Services, LLC for HVAC systems full service and repair at various District facilities from February 1, 2017 through December 31, 2019, for an amount not to exceed $451,607.56.
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FISCAL IMPACT:
Funds for the first year of his expenditure are included in the approved FY 16/17 budget within the General Services’ Facilities Maintenance - Outside Services account. Funds required for future fiscal years will be budgeted in the appropriate fiscal year; subject to Board approval upon adoption of each fiscal year’s budget.
Compass Strategic Goals:
This agreement provides for the continuous maintenance of District HVAC systems, ensuring a safe and comfortable work environment.
This agenda item supports the following Strategic Goal(s).
• A Port that is a safe place to visit, work and play.
DISCUSSION:
The District contracts for maintenance and repair services of the heating, ventilation and air conditioning (HVAC) at various locations primarily due to the cost effectiveness of providing large-scale equipment repairs and system requirements which requires specialized expertise. The current HVAC agreement with ABM Building Services LLC, (ABM) expires January 31, 2017.
RFP 16-22AC was solicited through Planet Bids on June 22, 2016. Electronic solicitation notifications went to 26 potential service providers, and 24 service providers downloaded the bid package.
On July 25, 2016, the District received four (4) bids. The bids were evaluated and it was determined that all bids received were responsive and accepted the oral interview offer. Staff convened a panel consisting of employees from General Services, Human Resources with Procurement staff facilitating, who evaluated the four (4) proposals based on the standard criteria listed in the RFP.
Decision Analysis Matrix
A decision analysis (DA) was conducted by staff following the presentation and oral interviews. Each service provider was rated according to standard weighted criteria as listed within the RFP. The following is a summary of the four (4) service providers’ proposals and interviews. Service providers are listed in order of the total score assigned, beginning with the service provider receiving the highest total score.
Johnson Controls (394 points)
Johnson Controls (Johnson) is located in San Diego. Johnson’s experience includes providing similar services to the City of Oceanside, The Scripps Research Institute, and Naval Medical Center San Diego. Johnson has an average 16 years of experience among their staff. Johnson offered a proactive and tailored approach to District’s project and included bundled energy solutions. Johnson submitted a complete fee schedule and was asked to submit their best and final offer: $576,912.00.
ABM Mechanical (383 points)
ABM Mechanical (ABM) is located in San Diego. ABM’s experience includes providing HVAC services to District assets for the past 6 years, the City of Temecula, the United States Marine Corps, the United States Navy, and the City of San Diego. ABM has a combined 50+ years of experience among their staff and provides an abundant level of in-house resources. The proposal submitted by ABM reflected their understanding of the District’s HVAC needs and included the use of smart and leading technology, prompt responses, and extensive customer service. ABM demonstrated a well thought out execution and approach to the project. ABM submitted a complete fee schedule and was asked to submit their best and final offer: $462,367.80.
Pacific Rim Mechanical Contractors (319 points)
Pacific Rim Mechanical (Pac Rim) is located in San Diego. Pac Rim’s experience includes providing similar services to the San Diego Regional Airport Authority for over 15 years. Pac Rim’s management staff average 19 years’ of HVAC experience. Pac Rim offered smart phone technology, and proposed four (4) technicians for the District’s project. Pac Rim submitted a complete fee schedule: $776,833.00.
Trane Building Services (271 points)
Trane Building Services (Trane) is located in San Diego. Trane’s experience includes previously managing the District’s HVAC agreement in 1998, providing similar services to the San Diego County Water Authority, Pala Casino & Resort, and Sea World. While Trane had previous experience with District assets, the panel believed Trane’s experience to be dated. Trane’s approach to the project was generic, focused on repair and not preventive maintenance and was not tailored to meet the District’s needs. Trane has experience operating and servicing other control systems and proposed five (5) technicians for the District’s project. Trane submitted a complete fee schedule: $654,852.00.
The following is a list of the proposed costs, with accurate totals as calculated by District staff:
• ABM Building Services $462,367.80
• Johnson Controls $576,912.00
• Trane Building Services $654,852.00
• Pacific Rim Mechanical Contractors $776.833.00
The DA panel recommended the Appointing Authority (AA) select Johnson Controls for HVAC maintenance and repair services. The AA reviewed the DA matrix and noted the following:
• Despite a cost-differential in excess of $114,500, ABM and Johnson Controls both received a rating of ten (10) in the category of Cost/Pricing.
• If Johnson Controls received a rating of eight (8) or less in the category of Cost/Pricing, their overall ranking would have dropped to second.
• The difference in the Grand Total between the top two proposals was less than three percentage points (statistically insignificant).
After careful consideration, the Appointing Authority concluded that ABM provided the best value.
Staff recommends the Board select and authorize an agreement with ABM Building Services, LLC., for HVAC systems full service and repair at various District facilities from February 1, 2017 through December 31, 2019, in an amount not to exceed $451,607.56
District staff reduced ABM’s best and final offer by $10,760.24 as a result of the current agreement and the proposed fee schedule overlapping one month of services (January 2017): $462,367.80 - $10,760.24 = $451,607.56.
General Counsel’s Comments:
The Office of the General Counsel has reviewed the issues set forth in this agenda and found no legal concerns as presented and has reviewed and approved the agreement as to form and legality.
Environmental Review:
The proposed Board action selecting and authorizing an agreement with ABM Building Services, LLC for HVAC Systems full service and repair at various District facilities is Categorically Exempt pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15301 (Class 1 - Existing Facilities) and Section 3.a (4) of the District’s Guidelines for Compliance with CEQA because the project in question will involve no expansion of use beyond that previously existing. No further action under CEQA is required.
In addition, the proposed Board action allows for the District to implement its obligations under the Port Act and/or other laws. The Port Act was enacted by the California Legislature and is consistent with the Public Trust Doctrine. Consequently, the Board action is consistent with the Public Trust Doctrine.
Finally, the proposed Board action is considered “excluded development” pursuant to Section 8.a (Existing Facilities) of the District’s Coastal Development Permit Regulations; therefore, issuance of a Coastal Development Permit is not required.
Equal Opportunity Program:
Due to limited subcontracting opportunities, no SBE goal was established for this agreement.
PREPARED BY:
Sharalynne Nichols
Acting Business Manager, General Services
Attachment A: Agreement 228-2016AC with ABM Building Services, LLC for HVAC Full Service and Repair