2022/07/27 Council Agenda Packet

E EVERETT Project title. An Ordinance Closing a Special Improvement Project Entitled "Everett Municipal Building — Elevator Modernizations", Fund 342, Program 030, as Established by Ordinance No. 3757-20 City Council Agenda Item Cover Sheet Council Bill # CB 2207-29 Agenda dates requested: Briefing Proposed action 7/20/2022 Proposed action 7/27/2022 Consent Action 8/03/2022 Ordinance X Public hearing Yes X No Budget amendment: Yes X No PowerPoint presentation: Yes X No Attachments: Closing Ordinance Department(s) involved: Parks & Facilities Contact person: Bob Leonard Phone number: (425) 257-8335 Email: bleonard@everettwa.gov Initialed by: 2ML Department head Administration Council President Project: Everett Municipal Building— Elevator Modernizations Partner/Supplier: Washington State Dept. of Enterprise Services / McKinstry Location: 2930 Wetmore Avenue Preceding action: Funding Ordinance — 5/27/2020- No. 3757-20 Fund: Fund 342, Program 030 (CIP-1) Fiscal summary statement: On May 27,2020 City Council adopted a funding Ordinance to fund the engineering design (Investment Grade Audit) for the Everett Municipal Building — Elevator Modernizations in the amount of $30,000. The source of funds for the project is CIP-1. The project was included in the City's 2020 Budget and CIP-1 finance model. The 2020 budget estimate was $1,200,000. The Investment Grade Audit resulted in a total maximum project cost of $1,858,086 and based on the estimated annual utility savings this project does not qualify for energy savings grants. The cost of the engineering design is $23,193. The remaining amount of $6,807 will be transferred back to CIP-1. Project summary statement: On March 4,2020 Council authorized an Interagency Agreement with the Washington State Department of Enterprise Services (DES) for an Energy Savings Performance Contracting Program (ESPC). The ESPC will provide an efficient and effective delivery of energy related projects with DES providing project management services. The cost of these services is calculated based on the total project value. A preliminary energy savings audit for the Everett Municipal Building — Elevator Modernization Project was submitted to the Department of Enterprise Services and the City (Facilities) by McKinstry, a DES approved Energy Services Company. After reviewing the McKinstry proposal DES and Facilities recommend proceeding with the engineering design phase of the project. The funding Ordinance allowed for the engineering design (Investment Grade Audit) for the project. The purpose of the Investment Grade Audit was to deliver a maximum allowable project cost, description of how the energy savings will be guaranteed, and a schedule for project completion. Based on the total maximum project cost of $1,858,086 staff recommends closing the funding Ordinance and pursuing this project by including it in the Everett Municipal Building — Public Works Tenant Improvement Project. Recommendation (exact action requested of Council): Adopt an Ordinance closing a special improvement project entitled "Everett Municipal Building — Elevator Modernizations", Fund 342, Program 030, as established by Ordinance No. 3757-20.