CONSENT - Robert Therres, Public Services Mgr./Asst. City Mgr.
Title
AUTHORIZATION TO PURCHASE AND INSTALL NEW BOILER AT CITY HALL TO EGAN, INC. IN THE AMOUNT OF $86,142
Background
When City Hall was built, it was furnished with two boilers to heat the building. Last winter, Boiler #1 developed a crack in its cast iron coil and started leaking. After reviewing quotes to repair or replace the boiler, and taking into consideration that this existing boiler was scheduled to be replaced in 5 years, it was decided to purchase a new higher efficiency boiler for City Hall. $90,000 is budgeted in the 2020 Capital Equipment Budget for this purchase
The City received the following quotes for a high efficiency boiler with the capacity to handle City Hall, Police Department and a finished third floor.
Vendor Quote Boiler Model
Egan $82,040 Riello Array 2000
Climate Maker $82,760 Aerco High Efficiency
Trane $122,827 Riello Array 2000
Based on past usage, it is estimated the new boiler will save the City approximately $6,700 in natural gas costs. Staff is also working on securing rebates up to $5,000 for the new high efficiency boiler.
After reviewing the quotes, staff recommends awarding the bid for the boiler and installation to Egan in the amount of $82,040, with an additional 5% contingency for any additional valve work that may need to be done once installation is under way. This brings the total cost to $86,142.
Recommendation
By motion, Authorize purchase and installation of a new boiler at City Hall in the amount of $86,142 to Egan, Inc.