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HomeMy WebLinkAbout12/17/2014 - STAFF REPORTS - 2.N. O�V PAM SAi .y a Y N f f C'd<fFORN�P CITY COUNCIL STAFF REPORT DATE: December 17, 2014 CONSENT AGENDA SUBJECT: APPROVE CONTRACT AWARD FOR ESCALATORS REPLACEMENT AT THE AIRPORT FROM: David H. Ready, City Manager BY: AIRPORT SUMMARY An action to award a contract replacing two escalators at the Palm Springs International Airport. RECOMMENDATION: 1. Approve the agreement with Kone, Inc. for all the materials, equipment, and labor associated with the replacement and installation of two escalators at the Airport's Bono Concourse in the amount of$548,914.24. 2. Authorize the City Manager to execute all necessary documents, and change order authority up to a ten (10) percent increase over the total project amount. STAFF ANALYSIS: When the Bono Concourse at Palm Springs International Airport was constructed in 1999, the completed project included two new escalators. The useful lives of these escalators are approaching the end of their useful life and staff is recommending replacing the units. The existing escalators were manufactured by Kone Inc., one of only a few firms nationwide that specialize in this type of equipment. This same manufacturer has been on an annual preventive service contract since the original installations; however, the rate of costly repair is accelerating. The Procurement & Contracting Manager, recommends purchasing the new equipment through the US Communities National Cooperative Purchasing Contract with Kone. Pursuant to Section 7.09.010 of the Municipal Code, the Council may authorize the ITEM NO. _O 1�--- City Council Staff Report December 17, 2014 - Page 2 APPROVE CONTRACT AWARD FOR ESCALATORS REPLACEMENT AT THE AIRPORT acquisition of supplies, equipment or services through a joint powers or other cooperative purchasing program with a public entity or association. By using this method, there is a guaranteed bid based pricing, quality assurance, warranties, specifications and a shortened lead time that will be achieved versus a lengthy engineering design and separate specification preparation process, followed by a city bidding process that is unlikely to result in a cost less than what can be achieved by utilizing the cooperative contract. Staff conducted due diligence on several escalators that have been procured and installed using this same approach at other airports and verified that the pricing is competitive with the industry. The attached document is a derivative from the US Communities National Cooperative Purchasing Contract. An important advantage to keeping with the current vendor's equipment is that several of the original escalator custom fabricated structural mounting components may be used for the new units saving time and cost in the installation. The lead time for the equipment will be five to six months and installation would occur during the summer months of 2015, minimizing any impacts on airport functionality. FISCAL IMPACT: This project was planned and budgeted, and funds will be available in account 416- 6501-56177. Thomas-%an, Executive Director, Airport David H. Ready, G!�t# ager 02