Fiscal Note
The proposed resolution authorizes a sole source contract with IKM Building Solutions for labor to replace three ventilation fans at a cost of $224,700 ($74,900 each) and a sole source purchase order with Vyron Corporation for the three fans at a cost of $212,000 ($70,667 each) for the Monona Terrace tunnel. The total cost is $456,700, including $20,000 contingency for potential unforeseen issues. Funding is available in the 2024 Traffic Engineering Adopted Capital Budget (Munis #12730). No additional appropriation is required.
Title
Authorizing a non-competitive service contract with IKM Building Solutions, Inc. and a non-competitive purchase of equipment from Vyron Corporation for replacement of three ventilation fans associated with the Monona Terrace tunnel fire alarm system. (District 4)
Body
WHEREAS, the Monona Terrace tunnel has four ventilation fans associated with its fire alarm system that evacuate smoke in the event of a fire; and
WHEREAS, the four (4) fans were installed in 1997 and are in need of repairs (3) or replacement (1); and
WHEREAS, a previous contract with IKM Building Solutions in 2023 resulted in the installation of (1) replacement fan and the project team was then able to confirm scope for the remaining (3) fans; and
WHEREAS, it was determined that the remaining (3) fans are unrepairable and will need to be replaced.
WHEREAS, the City will purchase the (3) replacement fans directly from Vyron Corporation and hand it over to IKM Building Solutions for installation. IKM Building Solutions contract would include removal of the old fans, installation of the new fans, fabrication and installation of new ductwork connections, supports, isolators and miscellaneous work required to complete the installation; and
WHEREAS, the cost for the purchase order with Vyron Corporation would be $212,000.
WHEREAS, Engineering Facilities Management has reviewed available products and suppliers and identified Vyron Corporation’s ventilation fans as the best option for the replacement for the reasons explained in the attached Noncompetitive Selection Request Form; and
WHEREAS, MGO 4.26(2) requires goods to be purchased using a competitive process approved by the Finance Director, and under the Finance Director’s Purchasing Guidelines, Common Council approval is required to purchase goods of $50,000 or more without a competitive process; and
WHEREAS, the cost for the contract with IKM Building Solutions would be $224,700.
WHEREAS, for the reasons stated in the attached Noncompetitive Selection Request Form, the proposed contract with IKM Building Solutions meets the exception to the bidding process in section 4.26(4)(a)7. which states “A particular consultant has provided services to the City on a similar or continuing project in the recent past, and it would be economical to the City on the basis of time and money to retain the same consultant”;
WHEREAS, under sec. 4.26(4)(b), of the Madison General Ordinances if the aggregate amount of the fee for services will be $50,000 or more and the contract was not subject to a competitive bidding process, the contract shall meet one of the other requirements of sec. 4.26(4)(a) and be approved by the Common Council;
NOW, THEREFORE, BE IT RESOLVED, that the Mayor and City Clerk are authorized to execute a service contract not to exceed $224,700 with IKM Building Solutions, and
BE IT FURTHER RESOLVED, that the Common Council hereby authorizes the purchase of equipment from Vyron Corporation in the amount of $212,000, and
BE IT FINALLY RESOLVED, that upon request by IKM Building Solutions and/or Vyron Corporation for additional labor or equipment costs, and approval of said request by the City Engineer, the Common Council authorizes the Finance Director to approve Purchase Order Change Orders and/or the Mayor and City Clerk to sign contract amendments up to a maximum combined total of $20,000.