File #: 20-1337    Version: 1 Name:
Type: Informational Report Status: Passed
File created: 10/7/2020 In control: Aviation
On agenda: 10/20/2020 Final action: 10/20/2020
Title: Purchase of One (1) Riello AR1500 High Efficiency Condensing, Natural Gas Fired Boiler, Authorization to Enter into Purchase Agreement, Establish Fixed Asset Line for Arcata-Eureka Airport ACV, and Approve the Attached Request for Budget Transfer/Adjustment
Attachments: 1. Staff Report, 2. CR Combustion Inc. Quote, 3. Budget Adjustment Form to Establish Fixed Asset Line

 

To:                                                               Board of Supervisors

 

From:                                          Aviation                                          

 

Agenda Section:                     Consent                                                               

 

SUBJECT:

title

Purchase of One (1) Riello AR1500 High Efficiency Condensing, Natural Gas Fired Boiler, Authorization to Enter into Purchase Agreement, Establish Fixed Asset Line for Arcata-Eureka Airport ACV, and Approve the Attached Request for Budget Transfer/Adjustment

end

 

RECOMMENDATION(S):

Recommendation

That the Board of Supervisors:

1.                     Authorize the purchase of one (1) Riello AR 1500 high efficiency condensing, natural gas fired boiler;

2.                     Authorize the Purchasing Agent to enter into a purchase agreement with CR Combustion, Inc.;

3.                     Request the Auditor-Controller to establish fixed asset line 8998 - Boiler in Fund 3530, BU 381 - Arcata-Eureka Airport ACV; and

4.                      Approved the attached Request for Budget Transfer/Adjustment to fund the newly established Fixed Asset line as stated in number 3 above.

 

Body

SOURCE OF FUNDING                     

Airport Enterprise Fund (3530)

 

DISCUSSION:

The Humboldt County-Department of Aviation, is requesting authorization to enter into a purchase agreement for one (1) Riello AR 1500 high efficiency condensing, natural gas fired boiler.  The boiler will replace the current boiler at ACV which is progressively failing.  The current boiler shuts down every evening and fails to restart each morning.  If staff are able to get the current boiler restarted, there is a leak that continues to worsen by the day, which will lead to complete failure of the system in the coming weeks.  The current boiler is consuming an estimated 1,000 gallons of water per day, which is much higher than water consumption under normal operating conditions and causing undue environmental and financial impacts.  The Humboldt County Department of Aviation received one (1) quote from CR Combustion, Inc.  The Department of Aviation intends to sole source the equipment.  The Department of Aviation is intending to sole source the equipment due to time constraints to attempt to complete the project before the current boiler completely fails and due to geographic limitations.  The vendor that would perform the installation is the only vendor in the region that provides this type of work. The total quoted sales price includes installation, taxes, and fees is $59,154.50.

 

FINANCIAL IMPACT:

The Department of Aviation has experienced a reduced demand for fuel. A transfer of $60,000 from 2651 - Fuel Purchase for Resale to establish a fixed asset line, 8998 - Boiler, is requested in the attached Appropriation Transfer and therefore there will be no impact to the county General Fund.

 

STRATEGIC FRAMEWORK:

This action supports your Board’s Strategic Framework by managing our resources to ensure sustainability of services

 

OTHER AGENCY INVOLVEMENT:                     

None

 

ALTERNATIVES TO STAFF RECOMMENDATIONS:                     

The Board could deny the purchase.  This is not recommended because the current equipment is no longer functioning.  This will cause an uncomfortable environment for the traveling public and uncomfortable working environment for County staff and the businesses and tenants in the terminal.

 

ATTACHMENTS:                     

1.                     CR Combustion, Inc. Quote

2.                     Request for Budget Transfer/Adjustment

 

PREVIOUS ACTION/REFERRAL:

Board Order No.: N/A

Meeting of: N/A

File No.: N/A