Discussion and possible action on any and all matters regarding authorization to purchase a pre-engineered building that will replace the existing inadequate facility and house Fleet Services shop functions. (Eulogio Vera, Director of Public Works) 

Staff seeks approval for the purchase of a pre-engineered building that will house Fleet Services shop functions.  For FY 2021, the City of San Luis adopted a $450,000 Capital Project for execution of the first phase of a new Fleet Services Building, to replace the existing inadequate facility.  The adopted FY 2021 phase is planned for funding from the following GL Accounts:

• 100-999-90015: $292,500
• 300-302-90015: $56,250
• 310-311-90015: $56,250
• 320-321-90015: $45,000

Design of the new facility by Thompson Design architects is nearly complete, and the Public Works Department has been working with their architects to develop a funding and execution strategy for FYs 2021 and FY 2022.  A key phase that can initiated this year is purchase of the pre-engineered metal building (PEMB) that will house Fleet Services shop functions.  The Public Works Department has secured three quotes for the building: Bunger Steel ($103,208), Rhino Steel Building Systems ($109,804), and Varco Pruden Buildings ($169,897).  Both the Rhino and Vardo Pruden proposals failed to include the cost of required insulation; however the costs depicted here are inclusive of insulation costs to ensure a proper cost comparison.

We are requesting Council approval to contract with the low quote (Bunger Steel) in the amount of $103,208.00, with the understanding that final delivery of the PEMB is estimated to occur in late July, 2021.  At a future date, we will be presenting to the Council for approval the scope and cost of future phases of the new Fleet Services Building that will encompass contract completion of shop, storage, and administrative areas, as well as any new shop equipment that may be needed for long-term outfitting of the new building. 

Since the pre-engineed metal building will take and estimated 3 months and staff would like to use funds from this fiscal year to order, staff requests that City Council waive formal bidding purchasing procedure as is allowed under City Code-Purchasing Section 36.01(Ha).