HomeMy WebLinkAboutContract with Otis Elevator for Professional Building and Senior Center
Commission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: James Goehrung, Director of Facility Services
Chuck Winn, Assistant City Manager
SUBJECT: Award of contract for annual maintenance contract for elevator service at
the Alfred M. Stiff Professional Building and the Bozeman Senior Center.
MEETING DATE: September 14, 2009
AGENDA ITEM TYPE: Consent Agenda
RECOMMENDATION: Authorize the City Manager to sign a five-year service contract
with Otis Elevator for elevators at the Professional Building and the Senior Center. The price
per month at the Professional Building is $157.55, and $151.14 for the Senior Center.
BACKGROUND: Service contracts are standard agreements for maintenance of elevators.
The base line contracts are referred to as oil and grease contracts. The service providers make an
agreed number of visits per year, in this case quarterly visits, to check the general condition, and
operation of the elevator, and to make adjustments and lubricate critical moving parts.
Elevators are regulated by the state of Montana. Each year we are subject to an annual
inspection. A successful inspection results in the issuance of a certificate of operation for each
elevator. One of the requirements of the annual inspection is a pressure test on the system that
the service company also provides under this contract.
In addition to the service of the elevators, the companies also provide monitoring services so that
the elevator call buttons, the emergency assistance, or ADA assistance call buttons, are answered
24 hours a day, 7 days a week, so that the proper emergency service providers can be dispatched.
The best price break for a contract is a 5 year contract. The companies try to get enough service
agreements in place so that they can hire someone to provide local service. In this case, the
service provider has someone stationed in the Bozeman office.
The service contract for the Professional Building is up for renewal. The agreement negotiated
for the Professional Building resulted in a reduction from $275.48 per month to $157.55 per
month. This is a savings of $1,415.16 per year. The agreement for the Senior Center has two
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years remaining, but by packaging the agreement and extending the contract, the price will drop
from $195.71 per month, to $151.14 per month, a savings of $534.84 per year.
This agreement also includes some negotiated upgrades to the elevators at the Professional
Building and the Senior Center. The company has agreed to change out the main motor controls
on the elevators with what are called “soft start” motors.
Traditional motors when called on to respond cause a voltage spike, because the motors
immediately go to full on. Slow start motors meter in the increased demand for power, resulting
in reduced energy consumption, and less wear and tear on the motors and the system.
A major side benefit of this change is the voltage fluctuations we are experiencing at the
Professional Building. Operation of the elevator has caused the back-up systems on some
computer power sources to come on because of the voltage drop in the GIS offices.
The cost for the slow start motor controls and installation is $2,500.00 per building, for a total of
$5,000.00. The company has agreed to install the motors as part of the negotiated contract for no
additional cost.
FISCAL EFFECTS: The cost for the service agreements is included in the general fund
budget for Facilities. The cost savings from the motor improvements will offset the monthly
service fee for the first year at the Professional Building and the Senior Center.
The main benefit of this company providing the service is that both the elevators being serviced
are Otis elevators. The other benefit is that the account will be serviced by a technician out of
their Bozeman office. Should there be specialty calls or after hour calls, there will be no
additional travel costs. Also, in the event of an emergency call, local dispatch will expedite a
response.
ALTERNATIVES: As suggested by the City Commission.
Attachments: Contract
Report compiled on: September 1, 2009
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