191222

The City of Portland ordains:

Section 1.  The Council finds:

1. In partnership with the Office of Management and Finance (OMF) Procurement and the Bureau of Planning and Sustainability, Portland Parks & Recreation (PP&R) is committed to reducing our environmental footprint while improving the resiliency of our infrastructure.  Our lighting, cooling, heating, and plumbing systems consume over $6 million per year in gas, electricity, and water and many of these systems are well beyond expected service life and contribute to our $600 million and growing capital maintenance backlog.
    
2. On April 5, 2017, City Council authorized a competitive solicitation per City Code 5.34.880 for an Energy Savings Performance Contract (ESPC) (Ordinance No. 188310). To complete the work most efficiently, PP&R determined that it would implement multiple design-build stages from one initial technical energy audit.  On September 4, 2019, City Council accepted the Guaranteed Maximum Price for Stage 1 (GMP1) implementation of the ESPC. On November 20, 2019, the City entered into contract agreement with McKinstry Essention, LLC (Contract No. 30007025).
    
3. On December 28, 2022, the Commissioner-in-Charge signed an emergency declaration for lighting removal and replacement work to take place under this contract since many of the impacted parks and pathway lighting impacted by a structural deficiency were already within scope of the ESPC work.
    
4. Both this Stage 2 amendment (GMP2) and GMP1 derive from the same feasibility, analysis, technical energy audit, technical specifications and know-how for the performance guarantee provided by McKinstry Essention, LLC.  Performance has been satisfactory for Stage 1, including: 40% DMWESB firm utilization; direct annual cost savings of over $79,000 per year; a 15% reduction of utility consumption at the Stage 1 sites; improved lighting coverage on pathways at seven parks; and DarkSky-compliant fixtures for improved conditions for wildlife.
    
5. In a continuation of that work, PP&R intends to award a GMP2 contract amendment that will include improvements to pathway lighting at an additional 12 parks; add more efficient heating and cooling to replace an obsolete heating-only system at Peninsula Park Community Center; and modernize the heating, ventilation, and air-conditioning system at Charles Jordan Community Center and East Portland Community Center so that they are better able to function in poor outdoor air quality environments.  These investments support the Climate Emergency Declaration and Workplan and avoid 327 Metric Tonnes of CO2 per year – the equivalent of 1,222,000 miles not driven in an internal combustion engine car.
    
6. The current contract amount is $1,071,124.24 incorporating change-orders 1 and 2, and the GMP 2 amendment’s cost is anticipated to be $14,500,000, including the emergency approved change orders 3 and 4 for pole and base removals. An additional amount of $2,928,875.76 is being requested as a contingency in case other issues arise during construction and change orders are required, for a new contract not to exceed value of $18,500,000.
    
7. Sufficient funds are expected to be available in the Parks Capital Improvement Program Fund, No. P00924.

NOW, THEREFORE, the Council directs:

1. The Chief Procurement Officer is authorized to execute amendment(s) that are approved as to form by the City Attorney’s office and/or change orders to Contract 30007025 if the contract not-to-exceed amount is $18,500,000 or less.
2. The Mayor and City Auditor, or their designee(s), are hereby authorized to draw and deliver checks when demand is presented and approved by the property authority.

Section 2. The Council declares an emergency exists due to the need for climate action and to replace removed pathway lighting for public safety; therefore, this Ordinance shall be in full force and effect from and after its passage by the Council.