Background:
The Board will consider awarding a contract for procurement of long lead HVAC Materials to Norman S. Wright Mechanical Equipment Corporation. As a result of ongoing supply chain disruption and significant surge in demand for HVAC projects resulting from the Covid-19 pandemic, lead times for HVAC equipment have expanded to unprecedented levels.
Ordering equipment directly via a Joint Purchasing Agreement will allow the District to begin the procurement period ahead of the bid and execution of contract documents for the HVAC Phase 2 project, saving up to one month of procurement time. District counsel has reviewed and approved the proposed form of contract . The District's Measure T Bond Program manager, Greystone West, has reviewed the contract for conformance with budget.
Fiscal Implication:
The cost of direct material procurement is Two-Million Three-Hundred-Eight-Thousand Eight-Hundred Eighty-Four Dollars ($2,308,884.00). The balance of labor and materials with standard lead times will still be bid through traditional methods on March 29th.
Recommended Action:
It is recommended that the Board of Trustees award the Joint Purchasing Agreement to Norman S. Wright Mechanical Equipment Corporation for procurement of long lead HVAC equipment in the amount of $2,308,884.00