Subject: MAINTENANCE OVERSIGHT FOR SAN JOSE FACILITIES
1. Report on Request for Proposal (RFP) and adoption of a resolution authorizing the Director of General Services to execute an agreement with the Aztec/MCE Corporation Group for San Jose Downtown Facilities Maintenance Oversight for a one year period from June 2, 2003 to June 1, 2004, at a total cost not to exceed $90,000 for the maintenance oversight of the HP Pavilion, the San Jose Ice Centre, the San Jose Repertory Theater, the Children's Discovery Museum, the Tech Museum of Innovation, and the Mexican Heritage Plaza.
2. Approval of three (3) additional one-year terms without further Council approval other than the appropriation of funding.
BACKGROUND
The City has contracted with various independent non-City organizations to perform the management, operation, and maintenance of the HP Pavilion, the San Jose Ice Centre, the Children's Discovery Museum, the San Jose Repertory Theater, the Tech Museum of Innovation, and the Mexican Heritage Plaza facilities. To protect the public investment, the General Services Department developed a maintenance overview program that audits the maintenance at the facilities. This program began with only the HP Pavilion in 1995. In 1999, the San Jose Ice Centre, Children's Discovery Museum, and the San Jose Repertory Theater were added to the list of facilities. Then in 2000, the Tech Museum of Innovation and the Mexican Heritage Plaza facilities were also added.
The maintenance standards required for each facility have been developed for all six facilities as part of a previous contract. Under this program, the City's consultant physically audits the maintenance practices being carried out by the operators and verifies them against the maintenance standards.
The maintenance oversight program will ensure that all major building equipment is being properly maintained. This will guarantee that all the building equipment for these facilities are working to its full lifetime capacity, prevent premature failure, and prevent any costs that the City may incur due to any unit replacements.
During the eight years that the City retained these consultant services, the City and the non-City organizations has benefited by maximizing life cycles of building systems, as well as increasing safety for staff and the public. Such examples include, assessment and repairs of the HP Pavilion roof leak, investigation of the HP Pavilion failure, and development of emergency procedures for unforeseen power outages.
The purpose of this agenda item is to obtain Council
authorization to initiate a new contract to continue the oversight program.
The scope of this contract has multiple objectives. In the first part of the service, the contractor will, on an ongoing basis, physically monitor and inspect the services being provided on-site to ensure that the maintenance program is being provided according to the standards developed. The consultant will inspect each building on a quarterly basis and audit the preventive maintenance services being provided. The maintenance practices will be documented and compared to existing standards. Any variances from required standards will be documented and
the consultant will make recommendations to change any maintenance practices or standards that will maximize the life expectancy of the building components. The consultant will, in the quarterly reports, advise building operators and City management of maintenance issues and make recommendations to resolve them. The consultant will also advise staff on technical matters involving premature failures of building components.
Additionally, the consultant may be used for services in facilities not currently specified in the ongoing portion of the contract. These services include defining the preventive maintenance program that should exist in a City facility and then comparing that standard to the existing maintenance that is being provided. The contractor may also be needed to provide advice to the City administration regarding the capital improvement projects being requested by the facility management.
An RFP was mailed to three (3) vendors on February 3, 2003. A Pre-proposal Meeting was held on February 21, 2003, which was attended by two (2) vendors. On March 17, 2003, proposals were received from Valley Facilities Management Corporation and Aztec Consultants/MCE Corporation. An evaluation panel, comprised of staff from General Services, Convention, Arts and Entertainment and the San Jose Arena Authority, evaluated the proposals. The interviews were conducted on March 27, 2003.
The table below shows ratings and the evaluation panel ranking.
|
FINAL CRITERIA |
POINT VALUE |
AZTEC/MCE |
VFMC |
|
Quality of proposed service. |
20 |
18 |
14 |
|
Capabilities and expertise of the Contractor. |
20 |
18 |
12 |
|
Capacity of the Contractor to perform the service. |
15 |
15 |
10 |
|
Responsibility of the Contractor. |
10 |
9 |
9 |
|
Past service record of the Contractor; References from other companies served by the Contractor. |
15 |
13 |
15 |
|
How well the proposals addressed the Department's needs. |
10 |
9 |
7 |
|
Cost to the City (5, 10) |
10 |
5 |
10 |
|
SUB-TOTAL |
100 |
87 |
77 |
Valley Facilities Management Corporation's proposal did not demonstrate that the proposer had sufficient capacities and capabilities to satisfactorily provide the services required. In addition, the proposer had limited maintenance management experience and very limited experience related to sports and entertainment buildings as mentioned in the RFP's desirable qualifications. This proposal was rated the lowest by the interview panel.
The Aztec/MCE Group's proposal demonstrated the company's extensive experience in maintenance management programs. In addition, they have extensive related experience with maintenance of sports and entertainment buildings, including the maintenance oversight of the HP Pavilion for the last eight years. The Aztec/MCE project team has staff with a broad range of disciplines including roofing and moisture control specialist, low temperature specialist, PM evaluator, architectural engineer and a full support of civil, mechanical, and electrical engineers.
Overall, the Aztec/MCE proposal was deemed to be the most advantageous proposal for the City, therefore the contract is awarded to Aztec/MCE Corporation.
This
memorandum has been coordinated with the City Attorney’s Office, the City
Manager's Budget Office, the Convention, Arts and Entertainment Department, and
San Jose Arena Authority.
This action is consistent with the Council approved Budget Strategy Memo, General Principle #4, "We must continue to emphasize prevention and expenditures that reduce costs to the City and our community."
The
City will expend $90,000 during fiscal year 2003-2004.
BUDGET REFERENCE
Fund: General Fund - 001
APPN: 0592
Budget
Amount: $13,392,928
Budget
Document: 2002-2003 Adopted Operating Budget - page 290, as amended on February
11, 2003, Ordinance Number 26833
Not a project.
JOSE OBREGON
Director of General Services