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Home My WebLink AboutX-B-01 Agreement Amendment #1 with Apex Facility Solutions, LLC City Council Memorandum To: Mayor Fasbender & City Councilmembers From: Chris Jenkins, Parks & Recreation Director Date: August 21, 2023 Item: Agreement Amendment #1 with Apex Facility Solutions, LLC Council Action Requested: Approve Amendment #1 for the Guaranteed Energy Savings Agreement with Apex Facility Solutions, LLC for the Refrigeration Plant Replacement, West Rink Roof Replacement, and Solar System Installation projects at the Hastings Civic Arena. Background Information: These projects have been identified as needed facility upgrades, and Council has provided their commitment to completing both of these projects in 2024. The refrigeration plant replacement requires up front design and engineering services to be completed, and the plants motor control center also needs to be ordered well in advance of the project due to long lead times for specialty equipment. The design and engineering have been completed and we are prepared to order the motor control center, and lock in a roofing contractor for a 2024 West Rink roof replacement with this amendment. Minnesota Statute 471.345 subd. 13 allows the City to enter into a Guaranteed Energy Savings Agreement such as what is proposed. Using this statute does require the City to publish our intent to enter into this agreement, which was completed in the June 22, 2023 edition of the Hastings Journal. This agreement must also guarantee energy savings over the 20-year life of the agreement, which it does. Entering this agreement with Apex allows them to act as our general contractor, solicit quotes from pre-qualified contractors for each individual component of the project, which city staff will review and approve as appropriate, and allows each of the major components of the project to be added by amendment. X-B-01 Financial Impact: The motor control centers are guaranteed at a cost of $258,929.00, and as long lead items (50-70 weeks), it is time to place the order. The West Rink roofing replacement project is guaranteed at a cost of $1,161,746.00 for a 2024 project. Advisory Commission Discussion: N/A Council Committee Discussion: Attachments: ▪Amendment #1 ▪Roofing bid tabulation ▪Refrigeration project bid tab for MCC breakout ▪Apex Facility Solutions, LLC agreement (fully executed) X-B-01 AmendmentApex Facility Solutions, LLC Client: City of Hastings Amendment No: 1 Project: Hastings Civic Arena Upgrades 8/16/2023 Apex Project No: 30323036 The Contract is Amended as Follows: This Amendment 1 modifiys the existing Agreement to add more detailed scope of work and costs for the roofing and MCC line itmes on the agreement. The following changes to the agreement are included in this Amenedment. 1. Replace the Agreement Exhibit A Scope of Work with the attached new Exhibit A. 2. Replace the Agreement Exhibit B Schedule of Payments with the attached new Exhibit B. 3. Section 10.0 Compensation and Payment: replace the Construction Work list with the following updated list. Construction Work Refrigeration System Motor Control Center (long lead item)$258,929.00 Refrigeration System TBD and added by Amendment Roof Replacment West Rink $1,161,746.00 Solar on West Rink TBD and added by Amendment Original Contract Value:$217,391.00Net Prior Amendments:$0.00Contract Value Prior to this Amendment:$217,391.00 This Amendment Add (Deduct):$1,420,675.00New Contract Value after Change Order:$1,638,066.00 NOT VALID UNTIL SIGNED BY THE CONTRACTOR AND CLIENT Apex Facility Solutions, LLC City of Hastings Contractor Client By (Signature)By (Signature) By (Printed)By (Printed) Date Date Attachments: Exhibit A Summary of Work Exhibit B Payments Schedule 3495 Northdale Blvd. NW, Suite 230, Coon Rapids, MN 55448 www.apex-co.us Page 1 X-B-01 EXHIBIT A SUMMARY OF WORK EXHIBIT A Page 1 of 6 Exhibit A – Summary of Work Definitions: CLIENT shall also be referred to as OWNER and/or HOST. CONTRACTOR shall also be referred to as APEX and/or DEVELOPER. Scope General: Scope of work shall be development and construction of the following major scopes of work: •Refrigeration Design •Long Lead Equipment Procurement •Replacement of Existing Refrigeration System •Replacement of West Rink Roof •Install Solar on the West Rink Roof Refrigeration Design: Refrigeration design shall include design required for the replacement of the existing refrigeration system located at Hastings Civic Arena with a new two rink industrial grade ammonia refrigeration system and identification and specification of any long lead equipment required to support a Summer 2024 installation schedule. Work Included: •Ice System engineering includes one industrial grade refrigeration system and waste heat recovery systems (subfloor heating, snow melt pit system). •Mechanical engineering including ventilation system for new ice equipment room, eyewash shower systems, connection to fire alarm system, and plumbing modifications as necessary. Apex Facility Solutions Location Cost Guaranteed Utility Savings Annual O&M Savings One Time O&M Savings Potential Incentives Net Cost Simple Payback Ice Arena $258,929 $0 $0 $200,000 $0 $58,929 N/A Ice Arena $217,391 $16,241 $7,000 $0 $0 $217,391 9.4 West Ice Sheet $1,161,746 $0 $0 $800,000 $0 $1,161,746 N/A Ice Arena $0 $0 $0 $0 $0 $0 N/A Ice Arena $0 $0 $0 $0 $0 $0 N/A $1,638,066 $16,241 $7,000 $1,000,000 $0 $1,438,066 18.8Totals Refigeration Design - Design of the ice rink refigeration system to size the MCC Roofing - Replace existing Roof with new built up roof, new drains, and parapits Other Scope Items Ice Arena Long Lead Items Work Description MCC - Purchasing of new Motor Control Center for the ice plant Refrigeration system - Replace existing R22 system with new refigeration system Solar System - Install new Solar PV System on the West Roof X-B-01 EXHIBIT A SUMMARY OF WORK EXHIBIT A Page 2 of 6 •Electrical engineering including new electrical feeder to new ice equipment motor control center if needed and to the new mechanical equipment, convenience receptacles, and lighting modifications in the new ice equipment room. •Architectural and structural design for enclosing the existing mechanical room for code compliant room, condenser supports, pipe penetrations, etc. •Demolition drawings for systems mentioned above. MCC: As part of the development of the ice arena refrigeration plant, two MCCs were necessary to provide the plant with power. One of the units would be located in the Ammonia refrigeration room to power the compressors and accessories in that room. The second would be in the pump room that would power the main rink pumps, and other aspects of the refrigeration plant. These electrical parts are critical to the function of the plant. X-B-01 EXHIBIT A SUMMARY OF WORK EXHIBIT A Page 3 of 6 Replacement of Refrigeration System: Replacement of the existing refrigeration system shall include replacement of the existing refrigeration system with a new two rink ammonia refrigeration system. The final cost of this work shall be added to the Agreement by Amendment after scope of work is rebid and final price is established. X-B-01 EXHIBIT A SUMMARY OF WORK EXHIBIT A Page 4 of 6 Replacement of West Rink Roof: Work under this scope item shall include replacement of the existing west rink flat roof with a new modified built-up roof, and new metal perimeter roofing with flashing. A new ladder would be installed from the lower roof for safe access to the higher roof. In addition to the new flat roof, perimeter edging will be installed to eliminate the flat roof water from going over the edge. With new sloped insulation and roof drainage, new interior roof drains will be installed to take the water away. The water will be discharged into an existing rain water system in the parking lot. Below is the scope of work for the roofing project: X-B-01 EXHIBIT A SUMMARY OF WORK EXHIBIT A Page 5 of 6 X-B-01 EXHIBIT A SUMMARY OF WORK EXHIBIT A Page 6 of 6 Solar on West Rink Roof: Work under this scope item shall include installation of new Solar PV system that will be tied into the building electrical system. The photo below represents the approximate location of the new system. Work shall be code compliant, and the final cost of this work shall be added to the Agreement by Amendment after scope of work is rebid and final price is established. X-B-01 EXHIBIT B PAYMENTS SCHEDULE EXHIBIT B Page 1 of 1 Exhibit B – Estimated Payments Schedules Item Jul-23 Aug-23 Sep-23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24 Mar-24 Apr-24 May-24 Jun-24 Jul-24 Aug-24 Sep-24 Oct-24 1 Design $223,826 $111,913 $111,913 2 Long Lead Equipment (MCC) $258,929 $129,465 $129,465 3 Roofing $1,161,746 $290,437 $290,437 $290,437 $290,437 4 Refrigeration TBD Install Install Install Install Install Install Install 5 Solar PV TBD Install Install Totals $1,644,501 $111,913 $111,913 $0 $129,465 $0 $0 $290,437 $0 $0 $0 $290,437 $419,901 $290,437 $0 $0 $0 Spring Roof Option X-B-01 Roofing Contractors Berwald Roofing Mc Phillips Bro Peterson Bro Palmber West Base Bid 1,121,689$ 1,076,677$ 1,017,680$ 1,081,056$ Ladder Add 16,592$ 16,930$ 15,395$ 15,689$ Sub Total 1,138,281$ 1,093,607$ 1,033,076$ 1,096,745$ Plumbing Contractors Commercial Plumbing Signature Mechanical Base Bid 129,607$ 128,670$ Selected Contractors Total Cost Peterson Bro 1,033,076$ Signature 128,670$ Total 1,161,746$ City of Hasting Roofing Project Bid Tab Confidential 8/17/2023 Page 1 X-B-01 Refrigeration Contractors Rink Tec International Gartner Refrigeration SCR Base Bid 2,677,574$ 2,734,850$ No Bid MCC - Breakout 258,929$ 264,467$ Alt - Temp Chiller 3 Months 104,628$ 152,383$ Sub Total 2,782,202$ 2,887,233$ Mechanical Contractors NAC Kraft Mechanical SCR Base Bid 215,235$ 188,330$ 220,526$ Electrical Contractors CAP Electric Phaser Electric Base Bid 85,496$ 121,070$ General Construction Guptil Construction 4 Others no Bid Base Bid 46,449$ -$ Concrete Construction Fritz Concrete KPW Concrete Base Bid 53,002$ 8,324$ Fencing Contractors Superior Fencing Dakota Unlimited Base Bid 9,664$ 11,784$ Selected Contractors Rink Tec International 2,782,202$ Kraft Mechanical 188,330$ CAP Electric 85,496$ Guptil Construction 46,449$ KPW Concrete 8,324$ Superior Fencing 9,664$ City of Hasting Refrigeration Project Bid Tab Confidential 8/17/2023 Page 1 X-B-01 X - B - 0 1 X - B - 0 1 X - B - 0 1 X - B - 0 1 X - B - 0 1 X - B - 0 1 X - B - 0 1 X - B - 0 1 X - B - 0 1 X - B - 0 1 X - B - 0 1 X - B - 0 1 X - B - 0 1 X - B - 0 1 X - B - 0 1