The Airport's approved Capital Improvement Program includes the Terminal Building Heat Pumps Replacement Project. These heat pumps are the primary cooling and heating supply to the Terminal Building's concourse, and the airlines' holdroom and gate areas.  The current heat pumps were installed during the Terminal Building renovation project in 1991.  These pumps use an R22 refrigerant that is no longer manufactured and repair costs to keep them operating have been steadily increasing, with parts becoming difficult to obtain. During the last year, two units have been replaced due to catastrophic failure. This project will replace the remaining 10 heat pumps with new energy efficient heat pumps that use an environmentally approved R410A refrigerant. The project was advertised in The Billings Times on April 4, 11, and 18, 2013, and was posted on the City's Website. On Tuesday, April 23, 2013, the following bids for this project were received.
 

CONTRACTOR	BID
Accent Air & Mechanical	$76,900
Stevens Brothers Mechanical	$96,500

The City Council may:

• Approve the contract for the Terminal Building's Heat Pumps Replacement Project; or
• Decline to approve a contract for the project, reject all bids, and delay the Terminal Building Heat Pumps Replacement Project.

The total cost of this project is $76,900. Funding for this project is available in the Airport's capital account.

Staff recommends the City Council approve a contract for the Terminal Building Heat Pumps Replacement Project with the low bidder, Accent Air & Mechanical, for the amount of $76,900.