Full Text
City of Missoula, Montana Item to be Referred to City Council Committee Committee: Public Works Committee Item: One Year Extension of City Hall HVAC service agreement Date: Wednesday, May 27, 2009 Prepared by: Jack Stucky Initiated by: Jack Stucky Action Required: Approve and authorize the Mayor to sign a service agreement with Johnson Controls Inc. (JCI) of Missoula, Montana extending the Missoula, City Hall, HVAC service agreement for one year. This extension will be a 3 percent increase from the Fiscal Year 2009 HVAC service agreement rate. Please see the attached Service agreement. Recommended Motion: The committee recommends the City Council approve and authorize the Mayor to sign a service agreement with Johnson Controls Inc. (JCI) of Missoula, Montana extending the Missoula, City Hall, HVAC service agreement for one year. Timeline: Referral to committee: 6/1/09 Committee discussion: 6/3/09 Background and Alternatives Explored: This extension of HVAC services provided by Johnson Controls Inc. (JCI) is a reasonable increase of 3 percent, based on cost of living, labor, and general materials increases. All of the other City Contracts for HVAC services are increasing at least 3 percent. It is to the City of Missoula’s advantage to retain JCI for one year during the initial phases of the Energy Performance Contract. JCI has an excellent working knowledge of the City HVAC systems. This will be invaluable in selecting energy savings opportunities. Financial Implications: This will result in a 3 percent increase in the cost of HVAC maintenance and repairs based on the FY 2009 service agreement rates. The FY 2009 rate was $36,804. The proposed FY 2010 extension will result in a cost of $37,908. This is an increase of $1,104. The service level and service agreement language will not change. Attachments: Service Agreement