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
Docusign Envelope ID: D125C0A4-9F8D-4081-AE55-8C6CA134A843
DEKALB COUNTY SCHOOL DISTRICT
COOPERATIVE AGREEMENT TO
OMNIA PARTNERS CONTRACT R200401 WITH
DAIKIN APPLIED AMERICAS, INC.
DCSD: DeKalb County School District
Address: Sam A. Moss Service Center
1780 Montreal Rd., Tucker, Georgia 30084
Phone No.: 678-676-1478
DCSD's Representative: Bobby Moncrief, Director of Facilities
Vendor: Daikin Applied Americas, Inc.
Address: 13600 Industrial Park Blvd.
Minneapolis, MN 55441
THIS COOPERATIVE AGREEMENT (this "Agreement") is entered into as of the last
day signed below by the DeKalb County School District ("DCSD") and Daikin Applied
Americas, Inc. ("Vendor").
FOR AND IN CONSIDERATION of the mutual promises and covenants set forth herein,
and other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, and intending to be legally bound, DCSD and Vendor hereby agree as follows:
1. CONTRACT DOCUMENTS: The term "Contract Documents" as used herein shall mean
all of the following which are hereby incorporated and made a part of this Agreement. In case of
conflict between the document terms, order of control for the documents shall be as follows:
A. This Cooperative Agreement;
B. Any Purchase Orders issued pursuant to this Agreement from time to time;
C. Daikin Applied Americas, Inc. quote for DeKalb County School District (Exhibit A);
D. Any extensions or amendments by Omnia Partners of contract R200401 (Exhibit B);
and
E. Omnia Partners contract R200401 with Daikin Applied Americas, Inc. (Exhibit C).
The Contract Documents constitute the entire and exclusive agreement between DCSD and
Vendor with respect to the Work, and supersede any and all prior discussions, communications,
representations, negotiations or agreements between them with respect to the Work. The Contract
Documents are complementary and are to be read as a whole. Any work, labor, materials or
equipment that may be required, implied or inferred by the Contract Documents as being required
to produce the intended result shall be provided by the Vendor for the Contract Price. Vendor will
be held to the highest service standards found within any of the Contract Documents.
2. LIMITS ON AGREEMENT PRICE AND SCOPE OF WORK: Vendor acknowledges
and agrees that this Agreement is for a price no greater than One Million Three Hundred Forty
Six Thousand Dollars ($1,346,000.00 USD). Vendor agrees not to subdivide projects in an effort
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