DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
Elevator Modernization & Escalator Replacement at the Alamodome
SUMMARY:
An ordinance authorizing a contract with KONE, Inc. to provide the City of San Antonio Convention & Sports Facilities Department with elevator modernization and escalator replacement with a handrail sterilization system at the Alamodome for a total cost of $3,727,786.00. Funds for this purchase are available through the Alamodome Improvements Project included in the FY 2021-2026 Capital Improvements Plan.
BACKGROUND INFORMATION:
Submitted for City Council consideration and action is an offer from KONE, Inc. to provide the Convention & Sports Facilities Department (CSF) with a contract for an elevator modernization project and escalator(s) replacement with a handrail sterilization system at the Alamodome for a total cost of $3,727,786.00. These items will be procured through KONE, Inc.’s cooperative agreement with US Communities/Omnia Partners.
The modernization of nine (9) elevators and the replacement of two (2) escalators at the Alamodome are needed to update the building’s aging elevator/escalator system which is over 25 years old and has met its end-of-life cycle. In FY 2020, funds in the amount of $4 million were budgeted for this project. A consulting engineering firm hired by CSF to review current elevators and escalators estimated the project cost at $3.7 million. Initially, a solicitation was issued by the Public Works Department and only one bid was received in March 2020 in the amount of $7.5 million which was over budget and not accepted by the City.
In FY 2021, the Convention & Sports Facilities Department sought cooperative quotes from four elevator/escalator companies that were awarded cooperative contracts by various cooperative entities. Of the four requested quotes, three provided responses to the City. The Department performed a vetting process of the three quotes received for lowest cost and best value. The cooperative quote received from KONE, Inc. provided the most comprehensive approach to replace the equipment as well as the lowest cost of all quotes received. CSF recommends award to KONE, Inc. for this project.
The modernization of the elevators and replacement of the escalators is part of four major improvement projects committed for Alamodome improvements in preparation for the NCAA Men’s Final Four Tournament in March 2025. Specific to this event, this project must be completed by January 2025. To meet the manufacturing timeline and completion date, CSF requests approval of this contract.
ISSUE:
This contract will provide the Convention & Sports Facilities Department with updated elevators and escalators. The elevator modernization project is needed to update existing and aging elevators at the Alamodome. Additionally, the replacement escalators will be installed with a handrail sterilization system to provide a safer and sterilized environment in support of COVID preparedness.
This project will be conducted in phases to minimize disruption of upcoming scheduled events at the Alamodome and events slated prior to the NCAA Men’s Final Four Tournament in March 2025.
This purchase is made in accordance with the U.S. Communities (Omnia Partners) cooperative Program passed on Ordinance 98797 dated 2/12/2004.
The Small Business Economic Development Advocacy (SBEDA) Ordinance requirements were waived due to the lack of small, minority, and/or women businesses available to provide these goods and services.
The recommended award is an exception to the Local Preference Program.
The Veteran-Owned Business Program does not apply to good/supplies contracts, so no preference was applied to this contract.
ALTERNATIVES:
Should the contract with KONE, Inc. not be approved, the City will lose its opportunity to replace the aged elevators and escalators in time for the NCAA Men’s Final Four Tournament in March 2025. The delay in replacing the elevators and escalators could also potentially increase costs due to market inflation.
FISCAL IMPACT:
This ordinance authorizing a contract with KONE, Inc. to provide the City of San Antonio Convention & Sports Facilities Department with elevator modernization and escalator replacement with a handrail sterilization system at the Alamodome for a total cost of $3,727,786.00. Funds for this purchase are available through the Alamodome Improvements Project included in the FY 2021-2026 Capital Improvements Plan.
RECOMMENDATION:
Staff recommends the approval of this purchase with KONE, Inc. to provide the Convention & Sports Facilities Department with an elevator modernization project and escalator replacement with a handrail sterilization system at the Alamodome for a total cost of $3,727,786.00.
This contract is procured via cooperative purchasing and a Contract Disclosure Form is not required.