ITEM 3.6 Approve Facilities HVAC service agreement0 t�ce o
MINNESOTA V
DEPARTMENT INFORMATION
Request for
City Council Action
ORIGINATING DEPARTMENT:
REQUESTOR: MEETING DATE:
Public Works
Brad Belair March 11, 2013
PRESENTER(s):
REVIEWED BY: ITEM #:
Consent Agenda
3.6
AGENDA ITEM DETAILS
RECOMMENDATION:
Staff recommends the approval of a service agreement with Northland Refrigeration and Power Inc. to
provide HVAC service and preventative maintenance to City facilities.
ARE YOU SEEKING APPROVAL OF A CONTRACT?
IS A PUBLIC HEARING REQUIRED?
yes
No
BACKGROUNDIJUSTIFICATION:
The City currently contracts for the service and preventative maintenance of the HVAC systems at Prairie
Center, City Half, and the waste water facilities with Yale Mechanical. Because of the recent change of
use for Prairie Center and City Hall, staff recommended a modification to the service level and requested
proposals. The Public Works Sub -Committee reviewed proposals from Trane Building Services,
McDowell Company, and NRP (Northland Refrigeration and Power Inc.) and recommend entering into a
services agreement with NRP for HVAC service and repair. Terry Wilson of NRP provided the low quote
and also is familiar with our facilities as he was a subcontractor during construction of the Public Works
Facility and also provided HVAC service for the City through 2007.
SUPPORTING DOCUMENTS: X ATTACHED ❑NONE
• Proposal from NRP
• Services Agreement which was prepared by Finance Director Groen and reviewed by City
Attorney MacArthur
POSSIBLE MOTION
......... .............
Please word motion as you would like It to appear In the minutes.
Motion to approve the services agreement as presented with Northland Refrigeration and Power Inc.
for HVAC service and preventative maintenance.
BUDGET INFORMATION
FUNDING: BUDGETED: X YES
General Fund for Facilities Contracted Services
❑ NO
ACTION TAKEN
❑ APPROVED AS REQUESTED ❑ DENIED ❑ TABLED ❑ OTHER (LIST changes)
COMMENTS:
northland refrigeration
NAVY Apw and power inc.
8660 East Beatrice Drive
Clear take, MN 55313
(763) 482-2846
Name/Address
City of Otsego
8899 NE Nashua Ave
Otsego, MN 55330
attn. Brad Belair
Estimate
OTSEGO CITY HALL
Preventative Maintenance on all HVAC equipment to
include the following:
*Make up air units
*Infared heaters
*hoof top units
*Boilers and pumps
NOTE: filters and belts provided by owner
BID ON JOB (Cooling startup and checkout -May)
1
985.00
985.00
<BILLING IN MAY>
BID ON JOB (Fall startup and checkout -October)
1
985.00
985.00
<BILLING IN OCTOBER>
BID ON JOB test CO2/NO2 detectors at city hall for
6
135.00
810.00
garage exhaust) <BILLING IN OCTOBER>
BID ON JOB (Midseason operational check -August)
1
505.00
505.00
<BILLING IN AUGUST>
BID ON 108 (Midseason operational check -February)
1
505.00
505.00
<BILLING IN FEBRUARY>
Total ��
Page 1
northland refrigeration
and power inc.
8660 East Beatrice Drive
Clear Lake, MN 55319
(763) 482-2846
Name/Address
City of Otsego
8899 NE Nashua Ave
Otsego, MN 55330
attn. Brad Belair
Page 2
City of Otsego
8899 NE Nashua Ave
Otsego, MN 55330
attn. Brad Belair
City of Otsego
8899 NE Nashua Ave
Otsego, MN 55330
attn. Brad Belair
City of Otsego
8899 NE Nashua Ave
Otsego, MN 55330
attn. Brad Belair
SH Inorthland refrigeration
and power inc.
8660 East Beatrice Drive
Clear Lake, MN 55399
(763) 482-2846
Name/Address
City of Otsego
8899 NE Nashua Ave
Otsego, MN 55330
attn. Brad Belair
x �-
CITY OF OTSEGO, MINNESOTA SERVICES CONTRACT
AGREEMENT, made this 4th day of March, 2013, between the CITY OF
OTSEGO, a political subdivision ("CITY") and Northland Refrigeration and Power Inc.
("CONTRACTOR");
RECI'T'ALS
CITY has awarded to CONTRACTOR the job described below,
Description of Project:
The Contractor will provide preventative maintenance services on all
HVAC equipment located at the 1) Otsego City Hall, 2) Prairie Center and,
3) Otsego East and West Waste Water Treatment Facilities beginning on
April 1, 2013. The detailed description of services to be provided and
related fees for the various services are described in the Contractor's
proposal dated February 27, 2013 and referred to in those documents as
estimate nos, 292 --- 295 and 299. The estimate nos. refereed to above are
incorporated by reference and made a part of this contract,
1. Contract Performance, CONTRACTOR shall complete construction or
performance of the PROJECT in accordance with the Request for
Bids/Proposal hereto attached, which shall be a part of this agreement as is
fully set forth. Contractor shall also provide the City with a certificate of
insurance in an amount acceptable to City.
2. Compliance with Applicable Regulations. CONTRACTOR shall, pursuant to
performance, comply with all applicable rules, regulations, statutes or
ordinances of any other unit or agency of government, including but not
limited to those relating to non-discrimination in hiring or labor practices,
payment of all required withholding taxes, workers' compensation and
unemployment compensation insurance, liability insurance, OSHA or other
safety rules and regulations, construction practices, environmental practices,
wetland protection measures, vehicular safety and/or weight restrictions, refuse
disposal practices, and notices to employees, whether or not such rules,
regulations, statutes or ordinances are set forth or adopted by reference in the
Submission Requirements herein. Pursuant to Laws of Minnesota 1995,
Chapter 31, if CONTRACTOR shall fail to pay any subcontractor lured by
CONTRACTOR under this project within 10 days after CONTRACTOR
receives payment from CITY for work for which CONTRACTOR is liable to
any subcontractor, CONTRACTOR shall be liable to the subcontractor for
interest on the unpaid balance, at the rate of 1.5 per cent per month. Any
subcontractor aggrieved by CONTRACTOR`S failure to remit payment to the
subcontractor shall, for the purpose of enforcement, be considered a third -party
beneficiary of this contract. However, nothing in this contract shall be deemed
to impose upon CITY any duty to monitor, enforce or otherwise become
involved in payments from CONTRACTOR to any subcontractor.
3. Indemnification. CONTRACTOR shall fully indemnify and hold harmless
CITY from any liability arising out of CONTRACTOR's failure to observe
compliance with Paragraph 2 above or any other claim or cause of action arising
frons CONTRACTOR'S performance under this agreement, specifically
including, without limitation, liability arising out of the improper disposal or
storage of any hazardous waste by CONTRACTOR or any entity hired or used
by CONTRACTOR for such disposal.
4. Warranty of Workmanship and Timely Completion. In addition to any warranty
which might be a part of the Plans and Specifications/Proposal, CONTRACTOR
warrants that all work completed in connection with the PROJECT shall be done
in a workmanlike and timely manner in accordance with applicable industry
standards. Where materials are being furnished by CONTRACTOR,
CONTRACTOR warrants that all materials will be of good quality and suited
for the purpose for which they are intended.
5. Compliance with Statutory Requirements
A. Data Practices Compliance: Contractor will have access to data collected
or maintained by the City to the extent necessary to perform Contractor's obligations
under this contract. Contractor agrees to maintain all data obtained from the City in
the same manner as the City is required under the Minnesota Government Data
Practices Act, Minnesota Statutes Chapter 13. Contractor will not release or disclose
the contents of data classified as not public to any person except at the written
direction of the City. Contractor agrees to defend and indemnify the City from any
claim, liability, damage or loss asserted against the City as a result of Contractor's
failure to comply with the requirement of the Act or this contract. Upon termination
of this contract, Contractor agrees to return data to the City, as requested by the City.
B. Worker's Compensation Contractor shall, at the time of execution of this
contract, firrnish evidence satisfactory to the City that Contractor maintains or is
exempt from maintaining Worker's Compensation coverage, pursuant to Minnesota
Statutes Chapter 176.182.
C. Income Tax Withholding Prior to the time of final payment of any arnounts
owing to Contractor under this agreement, Contractor shall furnish a copy of Form
IC -134, certified by the Minnesota Department of Revenue, documenting that all
withholding tax requirements have been observed by Contractor, if appropriate.
D. Audit Pursuant to Minnesota Statutes Chapter 16C.05 (subd. 5), the books and
records of Contractor which are relevant to the services being performed under this
Contract shall be subject to inspection in accordance with said statute, for a period of
six years from the date of final payment hereunder.
6. Performance and Payment Security (Cheek One)
X Contractor is not required to post any performance and payment
security as a condition of this Contract by reason of the fact that the contract amount
is for less than $75,000.00, and City is not requiring performance security.
Contractor is required to post performance and payment security
acceptable to the City, even though the contract price is less than $75,000.00.
Contractor is required to post performance and payment security
because the contract price is more than $75,000.00.
Mole: Regardless of ~which option above is checked, if performance and
payment security is required, the security shall meet that standards outlined in
.ilinnesota Statutes Chapter 574.26
7. Notices. Any notice which is or should be required to be given to
CONTRACTOR shall be sufficient if addressed as follows, and deposited, postage
prepaid, in the regular United States Mail. Notice shall be deemed to have been
received on the third business day following the postmark;
Northland Refrigeration and Power Inc.
8660 East Beatrice Drive
Clear Lake, MN 55319
8. Termination and Payment
The Contract will be automatically renewed on April 1 each year unless either
party to the agreement provides a written notice of termination 30 days in advance
of the contract renewal date.
The contract may be terminated by CITY upon 7 days' notice in the event that
CONTRACTOR fails to comply with the terms of this agreement or fails to
timely complete maintenance as set forth in the schedules attached. In the event
of said termination, CITY will be obligated to pay CONTRACTOR for services
properly rendered prior to termination.
The City shall remit to the Contractor the fees for services as quoted in the
Contractor's proposal dated February 27, 2013 and referenced in the proposal
as estimate nos. 292 -- 295 and 299.
Full payment will be made assuming that Contractor• has filly complied with all of
the terms of this agreement, completing the project in a timely and compliant
manner
IN WITNESS WHEREOF, the parties have executed this Agreement the date above written.
CITY OF OTSEGO
By
Mayor
By
City Cleric
CONTRACTOR
in
Its