Agenda Item Wording:
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Approve Change Orders and Authorize Measure N Amendment Process - Approve change orders for the modernization of parking structures and Fire Station 52 elevators; and authorize City staff to initiate Measure N amendment process to increase project funds.
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Prepared by: Donny MacLennan, Building Maintenance Superintendent 713-4525; donny.maclennan@visalia.city Alvin Dias, Parks and Facilities Manager 713-4564; alvin.dias@visalia.city Jason Glick, Parks and Recreation Director 713-4042; jason.glick@visalia
Department Recommendation: Authorize staff to initiate the Measure N amendment process to appropriate an additional $519,638 for the modernization of elevators within both parking structures and Fire Station 52. If approved, staff will present the proposed changes to the Measure N Committee for comments and return to Council to conduct two public hearings. In addition, staff is requesting Council to approve three change orders totaling $199,306.
Summary:
Measure N serves as the funding source to repair buildings. These projects are typically roof repairs, HVAC replacements, and large miscellaneous repairs to City facilities. The City currently operates thirteen (13) elevators at various facilities. There are two (2) elevators within the West Acequia Parking Structure (located across from the Hospital), one (1) at the East Acequia Parking Structure (located across from City Hall East), and one (1) at Fire Station 52 (located at 2224 W. Monte Vista). Of these elevators only one elevator is currently operational at West Acequia Parking Structure. The other three (3) elevators have experienced operational failures and have been out of service for almost a year due to part manufacturing, repair personnel availability and the time involved in design.
On November 18, 2024, Council awarded a contract to TK Elevator for $804,013 to modernize the three elevators by doing a major overhaul on them. Over the last six months TKE has been manufacturing components for the elevators. Since the contract award, tariffs have been put in place by the Federal Government causing an increase in material costs by $10,000 (change order #1). In addition, it was discovered that the insolation inside the hydraulic tank of the south elevator at the West Acequia Parking Structure had separated and contaminated the hydraulic oil, destroying the hydraulic control valve. The cost for the removal and installation of new hydraulic tanks is $90,000 (change order #2)
Staff is also anticipating a third change order for the replacement and relocation of the elevator hydraulic line at Fire Station 52 for an estimated cost of $100,000 (potential change order #3). TK Elevator will need to install the new hydraulic ram to test the existing hydraulic line. It is hopeful that the line is functional, but if the line fails the pressure test, the City will need to install a new hydraulic line across the building from the machine room to the elevator.
TKE has also informed staff that the Fire, Life, Safety systems will need to be updated to meet the current building code. This update will be completed by another vendor who coordinates with TKE. Staff is also requesting a 10% construction contingency for any unforeseen issues that may arise.
Background Discussion:
The East Parking structure was built in 2001 (24 years old) and the West Parking Structure was built in 2007 (18 years old). Both the Parking Structures have been experiencing equipment failures, costly repairs, and many of the replacement parts have become obsolete. Staff have been working with TK Elevators for the past several years to keep the elevators functional and in compliance with the State of California regulations. This has led to costly repairs and the elevators to be down for long periods of time until replacement parts could be located. The non-functioning elevators have become more frequent as the elevators continue to age and have become especially noticeable at the West Acequia Parking Structure due to the high-volume use for Kaweah Health patients and staff.
There are two (2) elevators within the West Acequia Parking Structure and one (1) at the East Acequia Parking Structure. Of these elevators only one elevator is currently operational at West Acequia Parking Structure. The other two (2) elevators have experienced operational failures and have been out of service for several months.
Fire Station 52 was built in 1995 and is 30 years old. The elevator has been non-operational since April 2024 after failing the State required load test. During this time, TK Elevators discovered that the hydraulic ram that lifts and lowers the elevator cart was failing and would need to be replaced for the elevator to pass inspection and be operable for use. This is a costly repair due to the design of the system.
To get the three elevators operational (2 at parking structures + 1 at Station 52), Council awarded a contract to TK Elevator for $804,013 to modernize the three elevators by doing a major overhaul on them in November 2024. Over the last six months, TKE has been manufacturing components for the elevators. Since the contract award, material costs have been documented to have increased by $10,000 (change order #1). In addition, it was discovered that the insolation inside the hydraulic tank of the south elevator at the West Acequia Parking Structure had separated and contaminated the hydraulic oil, destroying the hydraulic control valve. During the original evaluation of the elevators the hydraulic tanks were in good condition. The cost for the removal and installation of new hydraulic tanks is $90,000 (change order #2)
Staff is also anticipating a third change order (change order #3) for the replacement and relocation of the elevator hydraulic line at Fire Station 52. The existing hydraulic line runs under the concrete bays and is directly buried in the soil. TK Elevator will need to install the new hydraulic ram to test the existing hydraulic line. It is hopeful that the line is functional, but if the line fails the pressure test, we will need to install a new hydraulic line across the building from the machine room to the elevator. The estimated cost for this change order is $100,000. These three change orders total $199,306.
In addition, TKE has informed staff that the Fire, Life, Safety systems will also need to be updated to meet the current building code. The System will need to be updated for the three non-operating elevators plus the one functional at the West Parking Structure. This work will need to be performed by another vendor who will coordinate with TKE. Staff is currently receiving quotes from our current vendor for the system upgrade. If the price is more than $100,000, staff will return to Council for the award. This does not need to be approved by the Measure N Committee, just the budget amendment.
Measure N Budget Amendment Process:
• Recommendation to City Council to make changes and present them to the Measure N Committee;
• Staff receives comments by Committee;
• Staff conducts two public hearings at regular Council Meetings to consider amendments.
Staff is requesting authorization to initiate the Measure N budget amendment process for the three change orders, Safety System upgrades, and a 10% construction contingency for any unforeseen issues that may arise totaling $519,638. Any remaining funds at the completion of the elevator modernization project would be disbursed back to the Measure N fund.
Fiscal Impact: During the 2024/25 Budget process, Council approved a $1.18 million capital project in the Measure N Fund for Building Maintenance. This project is used for roof repairs, HVAC replacements, and large miscellaneous repairs to City facilities.
The life expectancy of an elevator is typically twenty years. Based on the age of the elevators and ongoing issues, staff had included the elevator repairs in the budget to be performed in phases, starting with the two (2) elevators at the West Acequia Parking Structure in FY 24-25, and the one (1) elevator at the East Acequia Parking Structure to be completed in FY 25-26. Fire Station 52 was not originally included in the budget due to not having any major issues. To stay within the elevator budget, Station 52 was swapped with the second elevator in the West Parking Structure.
Staff is requesting to begin the Measure N amendment process to appropriate an additional $519,638 as shown in the table below.
Any remaining funds at the completion of the elevator modernization project would be disbursed back to the Measure N fund.
Prior Council Action:
June 17, 2024 - City Council approved the Budget which included the elevator project (CIP CP0250)
November 18, 2024 - the City Council approved the City Manager to enter into an agreement with TK Elevator Corporation for $804,013.00 for the modernization of elevators within both parking structures and Fire Station 52.
Other: None
Alternatives: Reject staff’s recommendation and direct staff to seek alternate funding and cost proposals.
Recommended Motion (and Alternative Motions if expected):
recommendation
I move to authorize City staff to:
1. Initiate Measure N amendment process to appropriate $519,638 for the modernization of elevators within both parking structures and Fire Station 52; and
2. Approve change orders 1 through 3 for TK Elevator in the amount of $199,306.
Environmental Assessment Status: N/A
CEQA Review: N/A
Deadline for Action: 8/4/2025
Attachments: TK Elevator Tariff Change Order #1, TK Elevator Hydraulic Tanks Change Order #2