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To: Mayor and City Council From: Mike Mornson, City Manager Date: 4/1/2008 RE: Johnson Controls After the March 18, 2008 Work Session, staff has had more time to review and think about the Johnson Controls proposal. Listed below are some of the overall benefits that staff feels that Johnson Controls provides the city, that may not of been articulated on the 18th of March: Turnkey Approach Financing Guaranteed Price - NO CHANGE ORDERS Guaranteed Performance Guaranteed Savings Project Management Competitively Bid Carbon Reduction from Energy Savings (Meets our Overall Environmental Goal_ In addition, staff is of the opinion that the HVAC bid that the Public Works Director received wasn't comparing apples to apples. The Johnson Controls bid had four boilers to other vendor of one boiler. The efficiency of the Johnson Controls bid was 95% compared to the other bid of 87 %. lastly, Johnson Controls received several bids to come up with their bid proposal compared to the one bid from city staff. We have asked the vendor to bid the HVAC system the same way Johnson Controls bid on it In addition, Roger Larson, Finance Director, is working on the financing options for the Johnson Controls Project. We will have staff from Johnson Controls back for one more meeting with the Council to discuss the possibility of authorizing option C which is attached for your review in a memo from Johnson Controls. In addition, Jay Hartman and I met with Sebesta Blomberg. This is a company out of Roseville that would work as a consultant to the city if we didn t go with Johnson Controls. They have worked with WSB on over 30 projects that related to building improvements. They assisted St. Anthony with improvements to the Water Filtration Facility . If the council has questions on this firm, Jay and I will be available for questions at the April 8tb worksession. ZAMike\memo johnson controls.doc