Agenda Item
iv. Spend Limit Increase ~ Cooperative Agreement Contract ~ OMNIA/Daikin for Martin Luther King, Jr. High School (Not to Exceed $1,750,000)
Summary: Presented by: Mr. Erick Hofstetter, Chief Operating Officer, Division of Operations
Request: It is requested that the DeKalb County Board of Education approve an increase in the spending limit of the OMNIA/Daikin contract to cover additional unforeseen costs associated with the Martin Luther King Jr. HS - Variant Refrigerant Volume Unit (VRF) system replacement of units in the new wing at an amount not to exceed $1,750,000.
Why: Approval of this request is to address unforeseen issues that arose during the Board (previously) approved project at MLK. The Variable Refrigerant Volume (VRV) system at Martin Luther King Jr. High School has been identified as failing and unable to effectively meet the school’s heating, ventilation, and air conditioning (HVAC) needs. This issue directly impacts the comfort, health, and productivity of students, staff, and faculty and requires immediate attention to ensure the facility operates at optimal standards.
Details: The Department of Operations has made extensive efforts to maintain the Variable Refrigerant Volume (VRV) system at Martin Luther King Jr. High School since its installation. However, the system has now reached a state of complete failure, necessitating the use of temporary spot coolers to provide conditioned air for the school. On March 10, 2025, the Board approved an initial contract amount of $2,000,000 to address the failing HVAC system at MLK HS. The OMNIA/Daikin contract procured the necessary equipment to address this critical issue, and a contracted HVAC vendor was engaged to manage the installation. This strategic approach ensured a timely and effective resolution to restore reliable climate control at the facility. Due to unforeseen issues, an increase in the spend limit of $1,750,000 is required to complete the replacement of the failing units. This will bring the total cost of the project to $3,750,000. Details on the Scope of Add-On Work are included in the attached Daikin quote.
*The additional $197,500 included in the spend limit increase of $1,750,000 is to cover any other issues that may arise during the additional scope.*
Financial impact: The total budget for the Contract Spend Limit Increase will be allocated from the Facilities Deferred Maintenance Budget, Cost
Code (100.2600.543000.00011.7520.9990.8013.040.0000) not to exceed $1,750,000.
Contact: Mr. Erick Hofstetter, Chief Operating Officer, Division of Operations, 678-676-1376
Mr. Bobby Moncrief, Director of Facilities, Division of Operations, 678-676-1478
Effective: Upon Board Approval
Status: Pending Approval by the Office of Legal Affairs