Consideration and Approval of Contract:  B2B Direct Sales, Inc. DBA The HVAC Company and the City of Flagstaff for the purchase of an HVAC unit for the Northern Arizona Center for Entrepreneurship and Technology (NACET) Incubator Property in the amount of $205,021.18.
 

1. Approve the Cooperative Purchase Contract through Equalis Group with Education Service Station 10 Contract #R10-1132E, between B2B Direct Sales, Inc. DBA The HVAC Company, and the City of Flagstaff to purchase a 20-ton Trane rooftop unit (RTU) SLHPF20EC air conditioning unit for NACET in the amount not exceed $205,021.18; and
2. Authorize the City Manager to execute the necessary documents.

Council approval of the cooperative agreement to purchase the 20-ton Trane unit in the amount of $205,201.18. This unit will replace an existing Heating,Ventilation and Air Conditioning (HVAC) apparatus which has met and exceeded its service life. Funds for this expenditure are included in the FY26 budget.

Project Name: NACET Incubator HVAC unit RTU B 20 ton replacement
Cost: $205,201.18
Account Number Budgeted: 052-07-213-0831-4-4435
FY Budgeted Amount: $365,000.00
Grant Funded:No
Funding Source: BBB - Economic Development

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1. Approve the purchase of 20-ton Trane HVAC unit from B2B Direct Sales, Inc. DBA The HVAC Company.
2. Not approve the purchase of a 20-ton Trane HVAC unit.

The Flagstaff Northern Arizona Center for Entrepreneurship and Technology (NACET) Campus is a high-traffic facility which requires reliable climate control to ensure comfort and safety for patrons and staff. The existing HVAC unit has reached the end of its serviceable life, resulting in frequent maintenance issues and increasing operational costs. Replacing it with a 20-ton Trane HVAC unit is essential to maintain optimal indoor conditions, reduce energy consumption, and minimize future repair expenses. To address the current HVAC issues, we propose the purchase and installation of a 20-ton Trane HVAC unit, known for its efficiency, durability, and high performance. Trane units are widely recognized for their reliability in demanding environments, which makes them a suitable choice for the NACET campus. The proposed unit will deliver consistent temperature control, improved energy efficiency, and reduced environmental impact, aligning with our commitment to sustainability. The total cost of the new Trane HVAC unit, including installation, is within budget and aligns with our projected capital expenditures for the year. By investing in this unit, we anticipate a reduction in energy costs due to improved efficiency, as well as a decrease in ongoing maintenance expenses. Additionally, the new system's reliability will help prevent unexpected disruptions to NACET services. The purchase will be funded through the approved facilities budget and procured via an existing agency purchasing agreement through the Education Service Center, Region 10, ensuring competitive pricing and compliance with procurement policies. Utilizing this into a cooperative contract will streamline the purchasing process, allowing us to proceed with installation promptly and ensure minimal disruption to NACET operations. This project was reviewed by the Facilities Advisory Committee (FAC) and evaluated alongside other proposed projects. It was identified as a high priority and approved for funding through the FY 2025–26 budgeting process.

Purchasing staff has reviewed the cooperative agency contract and has determined it to be a valid cooperative, current and within scope of work for this purchase. 

• High Performing Governance

Goal PF.2. - Provide sustainable and equitable public facilities, services, and infrastructure systems in an efficient and effective manner to serve all population areas and demographics.

BE-3: Reduce energy use in existing buildings.

• A review of the proposed unit by the Sustainability Team confirms a reduction in energy consumption and verifies that the unit will operate as an all-electric unit. The existing 20-ton unit, which is 18 years old, has a Seasonal Energy Efficiency Ratio (SEER) of 11.1. The proposed replacement is a 20-ton unit with a SEER rating of 17.8. This increase in SEER represents an approximate 60% improvement in energy efficiency.

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