Posting Language
Title
Authorize five contracts for variable refrigerant flow and chiller systems for City HVAC systems for all City departments with Daikin Applied Americans Inc. d/b/a Daikin Applied; Trane U.S. Inc. d/b/a Trane; Tyco Technology GMBH d/b/a Johnson Controls Building Solutions, LLC; Texas Airsystems LLC d/b/a Texas Airsystems; and Carrier Corporation d/b/a Spot Coolers, a Division of Carrier Corporation for an initial term of two years with up to three one-year extension options in an amount not to exceed $69,125,000, divided among the contractors. Funding: $5,760,417 is available in the Operating Budgets of various City departments. Funding for the remaining contract term is contingent upon available funding in future budgets.
Body
Lead Department
Austin Financial Services.
Client Department(s)
All City Departments.
Fiscal Note
Funding in the amount of $5,760,417 is available in the Fiscal Year 2025-2026 Operating Budgets of various City departments.
Funding for the remaining contract term is contingent upon available funding in future budgets.
Procurement Language:
Multiple cooperative purchase programs were reviewed for these goods. Austin Financial Services, Austin Energy, Austin Facility Management, and Austin Convention Center have determined these cooperative purchase programs best meet the needs of the department to provide the goods required for the City.
MBE/WBE:
This solicitation was reviewed for subcontracting opportunities in accordance with City Code Chapter 2-9B (Minority-Owned and Women-Owned Business Enterprise Procurement Program). For the goods and services required for this solicitation, there were no subcontracting opportunities therefore, no subcontracting goals were established.
For More Information:
Direct questions regarding this Recommendation for Council Action to the Austin Financial Services - Central Procurement at: FSDCentralProcurementRCAs@austintexas.gov or 512-974-2500. Respondents to the solicitation and their Agents should direct all questions to the Authorized Contact Person identified in the solicitation.
Additional Backup Information:
These contracts will provide preventative maintenance, repairs, inspection and installation services for variable refrigerant flow and chiller systems on an as-needed basis for City departments. Services will include monthly or quarterly preventative maintenance, annual inspections, unscheduled repairs, and the installation of replacement parts or similar systems. Variable refrigerant flow and chiller systems are components of the heating, ventilation and air conditioning infrastructure used to regulate indoor temperatures and maintain proper air circulation.
Contractors authorized to perform the services from the recommended cooperatives:
OMNIA:
• Carrier Corporation d/b/a Spot Coolers, A Division of Carrier Corporation -Preventive maintenance, service, and warranty support for Carrier and Toshiba equipment.
• Daikin Applied Americans Inc. d/b/a Daikin Applied -Parts, preventive maintenance, service, and warranty support for Daikin equipment.
• Trane U.S. Inc. d/b/a Trane -Parts, preventive maintenance, service, and warranty support for Trane and Mitsubishi equipment.
Sourcewell:
• Tyco Technology GMBH d/b/a Johnson Controls Building Solutions, LLC- Preventive maintenance, service, and warranty support for York equipment.
BuyBoard
• Texas AirSystems LLC d/b/a Texas Airsystems -Parts, preventive maintenance, service, and warranty support for LG equipment.
These contracts replace existing contracts which will expire on August 12 and August 30, 2026. Three of the recommended contractors are the current providers for these goods and services. The requested authorization is based on historical spending and departmental estimates of future needs.
The Texas Association of School Boards, Inc. (BuyBoard), Sourcewell and Omnia are cooperative purchasing associations recognized under Texas procurement statutes. Cooperative associations, themselves or using a lead government, competitively solicit and award contracts that are eligible for use by other qualified state and local governments. Due to their substantial volumes, larger than any one government could achieve independently, cooperative contracts routinely include superior terms, conditions, and pricing. Use of cooperative contracts also results in lower administrative costs and time savings.
If these contracts are not approved it will limit the City’s ability to adequately maintain, repair, and replace variable refrigerant flow and chiller systems. City facilities will experience inadequate heating or cooling, reduced ventilation, and unsafe indoor conditions. Which will disrupt daily operations and limit the City’s ability to provide essential public services in a safe and reliable manner.
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Contract Details: |
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Contract Term |
Length of Term |
Contract Authorization |
|
Initial Term |
2 years |
$27,635,000 |
|
Optional Extension 1 |
1 year |
$13,825,000 |
|
Optional Extension 2 |
1 year |
$13,830,000 |
|
Optional Extension 3 |
1 year |
$13,835,000 |
|
Total |
5 years |
$69,125,000 |