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HomeMy WebLinkAbout2025-09-23; City Council; 06; Accept Bids, Award Construction Contract to Los Angeles Air Conditioning, Inc. for the Police & Fire Headquarters Central Plant Repair Project and Authorize Additional ApCA Review TL Meeting Date: Sept. 23, 2025 To: Mayor and City Council From: Geoff Patnoe, City Manager Staff Contact: Brian Bacardi, Public Works Superintendent brian.bacardi@carlsbadca.gov, 442-339-2944 Subject: Accept Bids, Award Construction Contract to Los Angeles Air Conditioning, Inc. for the Police & Fire Headquarters Central Plant Repair Project and Authorize Additional Appropriation District: 2 Recommended Action Adopt a resolution accepting the bids, awarding a construction contract to Los Angeles Air Conditioning, Inc. in an amount not to exceed $471,920 for the Police & Fire Headquarters Central Plant Repair Project and authorizing an additional appropriation of $36,000 from the Infrastructure Repair and Replacement Fund. Executive Summary The central plant that serves the Police & Fire Headquarters, located at 2560 Orion Way, was built in 1986 and needs significant repairs to ensure reliable operation. The City Council adopted the plans, specifications and contract documents, and authorized the City Clerk to advertise bids for the Police & Fire Headquarters Central Plant Repair Project, Capital Improvement Program Project No. 4770. Staff request that the City Council accept the bids, award the construction contract to Los Angeles Air Conditioning, Inc., the lowest responsive and responsible bidder, in an amount not to exceed $471,920, and authorize additional appropriation in an amount not to exceed $36,000. Carlsbad Municipal Code Sections 3.28.080(C) and 3.28.080(I)(6), which cover purchasing in construction contracts, require the City Council’s approval for all formally bid contracts when the value exceeds $220,000, as this project does. Sept. 23, 2025 Item #6 Page 1 of 7 Docusign Envelope ID: 396023C4-079E-4C21-8A0A-8F64BD27D3D0 Explanation & Analysis The Police & Fire Headquarters Central Plant Repair Project includes the following: • Replacement of the existing 100-ton chiller – a large-scale refrigeration unit – with two 50-ton chillers • Replacement of the original electrical distribution panel serving the central plant • Concrete modifications increasing the size of the pad to accommodate the new chillers • Installation of a grate drain system to address chronic flooding issues The City Council adopted the project plans, specifications and contract documents and authorized the City Clerk to advertise them for construction bids June 10, 2025 (Resolution No. 2025-124). On July 15, 2025, the city received six bids for constructing the project. Staff evaluated the bids and found that Los Angeles Air Conditioning, Inc., submitted the lowest responsive bid in an amount of $471,920. Staff also determined that Los Angeles Air Conditioning is a responsible bidder as it has completed similar projects demonstrating its capability and qualifications to perform the specified work. The construction contract contains general performance standards and references technical specifications, which if not met, allow the city to withhold payment. The contract also includes a one-year warranty period from the notice of completion. Staff are requesting that the City Council adopt a resolution accepting the bids, awarding a construction contract to Los Angeles Air Conditioning, Inc. in an amount not to exceed $471,920 and authorizing additional appropriation of $36,000 from the Infrastructure Repair and Replacement Fund. Fiscal Analysis As part of Resolution No. 2025-124, the City Council appropriated $573,330 from the Infrastructure Repair and Replacement Fund for the Police & Fire Headquarters Central Plant Repair Project. The cost of the agreement for the temporary rental chiller and equipment that will be necessary to condition the building during construction and the amount of the lowest bid are higher than previously estimated, so staff are requesting that the City Council authorize an additional appropriation of $36,000 from the Infrastructure Repair and Replacement Fund. Police & Fire Headquarters Central Plant Repair Project Capital Improvement Program Project No. 4770 Total appropriation to date $573,330 Total expenditures and encumbrances to date -$90,000 Total available balance $483,330 Construction contract – Los Angeles Air Conditioning, Inc. -$471,920 Construction contingency -$47,000 Total estimated construction costs -$518,920 Remaining balance -$35,590 Additional appropriation requested (rounded) $36,000 Sept. 23, 2025 Item #6 Page 2 of 7 Docusign Envelope ID: 396023C4-079E-4C21-8A0A-8F64BD27D3D0 Carlsbad Municipal Code Section 3.28.040(C)(5) authorizes the City Manager or designee to approve change orders in an amount equal to the contingency set at the time of project award, which for this project is $47,000. Next Steps Once the City Council accepts the bids and awards the construction contract to Los Angeles Air Conditioning, Inc., staff will issue a purchase order, schedule a pre-construction meeting with the contractor to determine the amount of time that will be required to procure the project equipment. Staff will issue a notice to proceed to construct the project based on the anticipated procurement period. The duration of the construction is estimated to be approximately 60 working days. Construction is expected to start in fall 2025 and be completed by early 2026. A notice of completion to release bonds issued for the project will be recorded once the project is complete. Environmental Evaluation The proposed action for replacement of an existing 100-ton chiller at the Police & Fire Headquarters central plant is categorically exempt from environmental review under California Environmental Quality Act, or CEQA, Guidelines Section 15301 because it involves the maintenance, repair or minor alteration of existing facilities with negligible or no expansion of the existing or former use. No exceptions to the categorical exemption as set forth in CEQA Guidelines Section 15300.2 or Carlsbad Municipal Code Section 19.04.070(C) apply. Exhibits 1. City Council resolution 2. Location map Sept. 23, 2025 Item #6 Page 3 of 7 Docusign Envelope ID: 396023C4-079E-4C21-8A0A-8F64BD27D3D0 Exhibit 1 RESOLUTION NO. 2025-212 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, ACCEPTING THE BIDS, AWARDING A CONSTRUCTION CONTRACT TO LOS ANGELES AIR CONDITIONING, INC. IN AN AMOUNT NOT TO EXCEED $471,920 FOR THE POLICE & FIRE HEADQUARTERS CENTRAL PLANT REPAIR PROJECT AND AUTHORIZING AN ADDITIONAL APPROPRIATION OF $36,000 FROM THE INFRASTRUCTURE REPAIR AND REPLACEMENT FUND WHEREAS, the City Council of the City of Carlsbad, California has determined it necessary, desirable and in the public interest to construct the Police & Fire Headquarters Central Plant Repair Project, Capital Improvement Program, or CIP, Project No. 4770, or Project; and WHEREAS, on June 10, 2025, the City Council adopted Resolution No. 2025-124, adopting the plans, specifications and contract documents for the Project and authorizing the City Clerk to advertise the construction documents for bidding; and WHEREAS, on July 15, 2025, staff received six bids for construction of the Project; and WHEREAS, staff reviewed the bids and found Los Angeles Air Conditioning, Inc. to be a responsible bidder with the lowest responsive bid in an amount not to exceed $471,920; and WHEREAS, the Carlsbad Municipal Code, or CMC, Sections 3.28.080(C) and 3.28.080(I)(6) require the City Council to award all formally bid contracts when the value exceeds $220,000, and therefore, the Project is subject to this requirement; and WHEREAS, CMC Section 3.28.040(C)(5) authorizes the City Manager or designee to approve change orders in an amount equal to the contingency set at the time of Project award, which is $47,000; and WHEREAS, because the anticipated project costs exceed previous estimates, staff are requesting the City Council authorize additional appropriation in an amount of $36,000 from the Infrastructure Repair and Replacement Fund. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1.That the above recitations are true and correct. 2.That the City Council has determined that the proposed action for replacement of an existing 100-ton chiller at the Police & Fire Headquarters central plant is categorically exempt from environmental review under the California Environmental Quality Act, or Sept. 23, 2025 Item #6 Page 4 of 7 Docusign Envelope ID: 396023C4-079E-4C21-8A0A-8F64BD27D3D0 CEQA, Guidelines Section 15301 because it involves the maintenance, repair or minor alteration of existing facilities with negligible or no expansion of the existing or former use. No exceptions to the categorical exemption as set forth in CEQA Guidelines Section 15300.2 or Carlsbad Municipal Code Section 19.04.070(C) apply. 3.That the bid submitted by Los Angeles Air Conditioning, Inc. in an amount not to exceed $471,920 for construction of the Police & Fire Headquarters Central Plant Repair Project, CIP Project No. 4770, is accepted, and the Mayor is hereby authorized to execute a contract with Los Angeles Air Conditioning, Inc., subject to the contract’s review and approval as to form by the City Attorney’s Office. 4.That the City Manager or designee is authorized to approve construction change orders for the Police & Fire Headquarters Central Plant Repair Project, CIP Project No. 4770, up to an amount not to exceed $47,000. 5.That the City Manager or designee is authorized to appropriate an additional $36,000 from the Infrastructure Repair and Replacement Fund to fund the Project. 6.That the City Manager or designee is authorized to sign all other documents necessary for regulatory compliance, to extend funding opportunities, or to otherwise implement and finalize the Project, subject to the review and approval as to form by the City Attorney’s Office. 7.That the award of this contract is contingent upon Los Angeles Air Conditioning, Inc. executing the required contract and submitting the required bonds and insurance policies, as described in the contract, within 20 calendar days after adoption of this Resolution. The City Manager may grant reasonable extensions of time to execute the contract and assemble the required bonds and insurance policies. Sept. 23, 2025 Item #6 Page 5 of 7 Docusign Envelope ID: 396023C4-079E-4C21-8A0A-8F64BD27D3D0 PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 23rd day of September, 2025, by the following vote, to wit: AYES: Blackburn, Bhat-Patel, Acosta, Burkholder, Shin. NAYS: None. ABSTAIN: None. ABSENT: None. ______________________________________ KEITH BLACKBURN, Mayor ______________________________________ SHERRY FREISINGER, City Clerk (SEAL) Sept. 23, 2025 Item #6 Page 6 of 7 Docusign Envelope ID: 396023C4-079E-4C21-8A0A-8F64BD27D3D0 Exhibit 2 Po l i c e & F i r e H e a d q u a r t e r s C e n t r a l P l a n t R e p a i r P r o j e c t N o . 4 7 7 0 25 6 0 O r i o n W a y Ex h i b i t 2 - L o c a t i o n M a p Sept. 23, 2025 Item #6 Page 7 of 7 Docusign Envelope ID: 396023C4-079E-4C21-8A0A-8F64BD27D3D0