HomeMy WebLinkAbout5.F.4. Replacement of Community Center Chiller
5.F~.
City of Shako pee
MEMORANDUM
UPDATED
TO: Mayor and City Council
Mark McNeill, City Administrator
FROM: Kris Wilson, Assistant City Administrator
Duane Toenyan, Facilities Maintenance Supervisor
SUBJECT: Replacement of Community Center Chiller
DATE: ,,^...prill, 2010 April 5, 2010
Introduction
The Council is asked to consider authorizing replacement of the Community Center chiller.
Background
Replacement of the chiller that air conditions the Community Center building is the one planned
expense from the Building Fund for 2010.
The existing chiller is original to the building, however, the 4 compressors within the chiller
were replaced in 2006. The 4 compressors that were installed in 2006 were reconditioned units
rather than new units and began to have problems as soon as the warranty expired. We have
spent significant amounts of staff time and repair bills trying to keep the chiller and its
compressors running, but as of the end of the cooling season last fall, the chiller was continuing
to have maintenance issues and was operating with only 2 of its 4 compressors.
It is highly questionable that the existing chiller can make it through another summer, and with a
six to eight week order period for a new chiller, waiting for the current unit to fail entirely would
be very risky.
Working with an energy auditor provided to us by SPUC, we have determined that we can
downsize from the current 120-ton unit to a smaller, more energy-efficient 90-ton chiller, while
still meeting the needs of the building and its occupants.
Staff has obtained three quotes for the project, with the lowest quote being for $64,500 from
Associated Mechanical here in Shakopee. This price includes purchase and installation of the
new unit as well as proper disposal of the existing unit. The one remaining cost for this project is
the installation of a basic automated controls package to help us operate the system efficiently.
This will need to be installed separately by Owens Companies because they are the authorized
dealer for Delta controls in Minnesota. The cost to purchase and install the controls is $5.150.
Weare still '.YorJrJ.ng to finalize the price of this component and will seek se-parate authorization
for that purchase at the next Council meeting. In the meantime, it is important to place the order
for the actual chiller because of the length of time it '."",ill take to arrh'e.
Budget Impact
This item is to be funded out of the Building Fund. The original estimate for this project was
$100,000, but by going with a smaller unit than what is currently in place we are able to
significantly reduce the cost to approximately $70.000 $61,500. It will also save us money on
operating costs and repair bills compared to the current unit. Staff is currently exploring the
possibility of receiving an energy-efficiency rebate from Shakopee Public Utilities but it is
unclear as to whether this project would qualify.
Relationship to Visioning. This is a housekeeping item.
Requested Action. If the Council concurs, it should offer a motion to authorize staffto proceed
with replacement of the Community Center chiller by Associated Mechanical at a cost not to
exceed $65,000 and Delta automated controls from Owens Companies at a cost not to exceed
$5,500.