Finance Committee

REPORT OF THE FINANCE COMMITTEE JUNE 3, 2015 A meeting of the Finance Committee was held on Wednesday, June 3, 2015, at 6:05 p.m. in the Aldermanic Chamber. Mayor Donnalee Lozeau, Chair, presided. Members of the Committee present: Alderman-at-Large Daniel T. Moriarty, Vice Chair Alderman-at-Large David W. Deane Alderman Ken Siegel Alderman Paul M. Chasse, Jr. Alderman-at-Large Jim Donchess Members not in Attendance: Alderwoman Pamela T. Brown Mayor Lozeau Alderwoman Brown is delayed because of a House session running late today. PUBLIC COMMENT – None COMMUNICATIONS From: Bruce Codagnone, IT Division Director Re: Website Redesign and Hosting Services MOTION BY ALDERMAN SIEGEL TO ACCEPT AND PLACE ON FILE MOTION CARRIED MOTION BY ALDERMAN SIEGEL TO TAKE FROM THE TABLE THE CONTRACT AWARD FOR WEBSITE REDESIGN AND HOSTING SERVICES MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Contract Award for Website Redesign and Hosting Services (Value: $47,912); Department: 122 Information Technology; Fund: General Fund; Accounting Classification: 54 Property Services  Tabled 5/6/15 MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO CIVIC PLUS IN THE AMOUNT OF $47,912. FUNDS ARE AVAILABLE IN DEPARTMENT 122, INFORMATION TECHNOLOGY; GENERAL FUND; 54, PROPERTY SERVICES ON THE QUESTION Alderman Siegel I just want to thank Director Codagnone for getting back to me with the detailed answers on the questions which were the communication that we just accepted. MOTION CARRIED Finance – 06/03/15 Page 2 From: Dan Kooken, Purchasing Manager Re: Multi-Assault Counter-Terrorism Action Capabilities (MACTAC) Training Requested by Emergency Management (Value: $25,880) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO NATIONAL TACTICAL OFFICERS ASSOCIATION IN THE AMOUNT OF $25,880. SOURCE OF FUNDING IS DEPARTMENT 156, EMERGENCY MANAGEMENT; HOMELAND SECURITY GRANT ON THE QUESTION Alderman Moriarty Is there counter-terrorism in Nashua? Mayor Lozeau I know the title sounds rather intense, but it’s actually an active shooter exercise that they will be doing at the mall and at the schools during the summer. MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Contract to Tactical Electronics for Advanced Neutralization Techniques Course (Value $37,927) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO TACTICAL ELECTRONICS IN THE AMOUNT OF $37,927. FUNDS ARE AVAILABLE IN DEPARTMENT 156, EMERGENCY MANAGEMENT; HOMELAND SECURITY GRANT; 55, OTHER SERVICES MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Contract Award for Repair of the Library Elevator (Value: $25,100) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO STANLEY ELEVATOR IN THE AMOUNT OF $25,100. SOURCE OF FUNDING IS CITY BUILDINGS EXPENDABLE TRUST FUND MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Broad Street Parkway – Contract with Sanborn Head – Amendment #7 (Value: $50,000) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND APPROVE AMENDMENT #7 TO THE CONTRACT WITH SANBORN HEAD IN THE AMOUNT OF $50,000. FUNDS ARE AVAILABLE IN DEPARTMENT 160, PUBLIC WORKS ADMINISTRATION/ENGINEERING; BROAD STREET PARKWAY BOND ON THE QUESTION Alderman Donchess May I ask a general question on the Broad Street Parkway project? Is there any progress on the problems with the drilling of piers? Finance – 06/03/15 Page 3 Mayor Lozeau The remaining three in the river continue to be a bit of a challenge. One has been set and ready for pouring of concrete, and two they’ve had a problem with; two of the other remaining ones. One, they thought they had the shaft drilled properly but apparently it broke a drill. They were getting another piece of equipment. They seem to think they will be able to make up some significant time. We’re hopeful of that. Alderman Donchess So it’s sort of a wait and see as far as us seeing if they can work this out? Mayor Lozeau Right. They give us a schedule and they update from time-to-time. One of the things this company is very good of is getting a bridge built once they have the piers that they need to build on, so we’re hopeful they will make up time. MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Contract to Purchase Vehicle for Transportation Supervisor for the City of Nashua (Value $27,000) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND AUTHORIZE THE PURCHASE FROM MHQ IN THE AMOUNT OF $27,000. SOURCE OF FUNDING IS DEPARTMENT 186, TRANSPORTATION; FTA GRANT (80%) AND CERF (20%) ON THE QUESTION Alderman Siegel The question I have is this vehicle is purportedly to be used for parking or transportation emergencies. What’s a parking transportation emergency? Mayor Lozeau My understanding is there are times we have had to, particularly this winter, stop the bus service. There are times when we have had, for instance, a paratransit customer that is stranded. There is a time you have to go and do something about it. There are times when they get called out to the parking lots because there are cars there in the way, and they coordinate the effort with police. The point is this vehicle is necessary for this position, but it’s particularly necessary to be a type of vehicle that can be used in all weather. Alderman Siegel It seems like this is such an infrequent event, if they wanted to use their own car, why not just use their own car? Mayor Lozeau If they are picking up citizens in their vehicle, we wouldn’t ask them to do that in their own vehicle. Alderman Siegel Are they actually picking up citizens in a sedan? Finance – 06/03/15 Page 4 Mayor Lozeau They have. One of the problems is, and one of the reasons they want a vehicle that has a higher seat, is usually the people they are picking up are related to paratransit. It’s difficult for them to get in and out of vehicles. Alderman Siegel I guess I’m confused; I didn’t read it that way. Okay it’s great that the federal government is paying 80 percent but we still pay 20 percent and we have to maintain it. It’s hard for me to understand the use of this. I apologize, but I read it and I’m like “transportation parking emergency”, it can’t happen that often. Mayor Lozeau I don’t think that’s its own purpose. Alderman Siegel But it’s actually specifically stating that there’s a very defined purpose and it cannot be lent out to other departments. Otherwise, I’d be okay; that’s fine. Mayor Lozeau I think that’s the FDA requirement. Alderman Siegel Right, which makes me more skeptical about this purpose. That’s the problem. Mayor Lozeau It’s similar to our superintendents that have vehicles. This, in essence, is the superintendent of the transportation department. I believe he should have a city vehicle. The type of vehicle was worthy of a discussion. That was as it was explained to me. If you’d like to table this and discuss it tonight when they are here at budget and then take it up at the next finance meeting, I think that’s fine. Alderman Siegel Sure MOTION BY ALDERMAN DEANE TO TABLE MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Medical Director Contract Requested by Public Health and Community Services (Value: $10,800) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO ALEXANDER GRANOK IN THE AMOUNT OF $10,800. FUNDS ARE AVAILABLE IN DEPARTMENT 72, COMMUNITY HEALTH; STD-HIV GRANT $8,200 AND THE COMMUNITY HEALTH GENERAL FUND ($2,600) ON THE QUESTION Finance – 06/03/15 Page 5 Alderman Donchess Does the medical director or the people in the department, are they involved with any education or treatment with respect to Heroin or other addictive drug use and prevention? Mayor Lozeau Yes, actually we do have staff at public health that works with substance abuse and misuse. They work with the other organizations in the community that have programs and are grant funded. We have received grant funds to do work on that. So, yes. Alderman Donchess What do these city employees do? Do they provide education or treatment? Mayor Lozeau No, we do not provide any treatment. We do play a role in education and prevention. This evening when the director is here from public health, I know she intends to speak more about some of those programs. I can tell you that we have a group that we put together to do a community summit in October on substance abuse and misuse. Public Health will be leading that with me. We have the schools involved, the police involved. I think that will be a very timely thing for the city. Alderman Deane My question has to do with the individual that’s being granted this award. Was the prior contract for four years or was it a yearly contract? Mayor Lozeau My understanding was this individual has been the medical director before. It has been more than a single year contract. We, at one time, had this individual working for the city. Then we went to an employee, a staff member that became the medical director at public health. We’ve gone back to this model. This individual has been our medical director for the last few years. Alderman Deane For the last two fiscal years? Mayor Lozeau I believe so, at least the last two. Alderman Deane The director would know that for sure. I just don’t remember this ever coming to the finance before. I’m not it didn’t; I don’t remember it. I just look at the price of $10,800. It might have been lower. Mayor Lozeau It was lower actually. It went up $100 a month. It was $800 a month. It’s gone to $900 a month. Finance – 06/03/15 Page 6 Alderman Deane Maybe that explains why it never came before finance. Mayor Lozeau Right. MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Contract with the Humane Society of Greater Nashua (Value: $99,081) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO HUMANE SOCIETY OF GREATER NASHUA IN THE AMOUNT OF $99,081. SOURCE OF FUNDING IS DEPARTMENT 109, CIVIC & COMMUNITY SERVICES; 56, OUTSIDE AGENCIES MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Contract Award for Landfill C&D Processing Services Contract (Value: Not-To-Exceed $100,000 Annually) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND, CONTINGENT UPON BOARD OF ALDERMEN APPROVAL, AWARD THE CONTRACT TO ENVIRONMENTAL RESOURCE RETURN CORP. IN AN AMOUNT NOT-TO-EXCEED $100,000 ANNUALLY. FUNDS ARE AVAILABLE IN DEPARTMENT 168, SOLID WASTE; SOLID WASTE FUND; 55, OTHER CONTRACTED SERVICES ON THE QUESTION Mayor Lozeau This one and the next one are our contracts for CMD and metal. It’s the same company. They have held their price. MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Contract Award for Scrap Metal Recycling MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND, CONTINGENT UPON BOARD OF ALDERMEN APPROVAL, AWARD THE CONTRACT TO ENVIRONMENTAL RESOURCE RETURN CORP. WITH NO VALUE DOLLAR ASSIGNED. FUNDS ARE AVAILABLE IN DEPARTMENT 168, SOLID WASTE; SOLID WASTE FUND; 44 SALE OF RECYCLABLES SERVICES ON THE QUESTION Alderman Deane The only question I have is years ago there was no value on the contract because the value of the metal that was being recycled was obvious dollars. It was all market driven, but the problem was when the market bellied up and the price per ton or pound or whatever they selling them at plummeted, we had this unmanageable pile of metal down there. We had to beg the people to come and get out because there was Finance – 06/03/15 Page 7 no place to put any more of it. Is there anything in the contract contingent upon how much they have to move out of there on a monthly basis? Mayor Lozeau I don’t believe there is. The estimate from the superintendent is that they anticipate somewhere between $80,000 to $100,000 a year which is typical with that exception. I think I remember that. I think that was not long after I started that was a problem when the market fell. Alderman Deane We ended up changing the contract because the guy was so upside down in it. It wasn’t a good situation for us or for the contractor. The problem we had, even though it was our property, we started running out of real estate where the metals are stored down there. If you go down there now, there’s a huge pile. I mean huge. It’s huge to me anyways. That’s why I asked. I’ll query somebody else about it. Thank you. MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Contract Award for Standard Operating Procedures (SOP) Updates (Value: $37,600) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO WRIGHT PIERCE IN THE AMOUNT OF $37,600. SOURCE OF FUNDING IS DEPARTMENT 169, WASTEWATER; WASTEWATER FUND 53, PROFESSIONAL AND TECHNICAL SERVICES ON THE QUESTION Mayor Lozeau I know most of us would be interested so I asked that question. It’s 60 days for them to complete their work, which I think would be very helpful for all of us to know. Alderman Deane This is a great project. In the long run the Standard Operating Procedures that are set up, you save equipment but more importantly you save lives from people doing things they shouldn’t be doing. I think its money well spent. Mayor Lozeau I would agree. Alderman Deane Thank you. MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Contract Award Change Order #1 for Thickened Primary Sludge Tank and Aeration Blower Building – Coating (Value: $51,315) Finance – 06/03/15 Page 8 MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND APPROVE CHANGE ORDER #1 TO THE CONTRACT WITH INDUSTRIAL CORROSION SERVICES IN THE AMOUNT OF $51,315. FUNDS ARE AVAILABLE IN DEPARTMENT 169, WASTEWATER; WASTEWATER FUND; 81, CAPITAL OUTLAY/IMPROVEMENTS ON THE QUESTION Mayor Lozeau You may recall that one tank was done in the winter. This is the second tank. We will complete that work. MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Contract Award Change Orders for Adjustments to Komline Plunger Pumps (Value: $36,840) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO KOMLINE-SANDERSON IN THE AMOUNT OF $36,840. SOURCE OF FUNDING IS DEPARTMENT 169, WASTEWATER; WASTEWATER FUND; 81, CAPITAL OUTLAY/IMPROVEMENTS ON THE QUESTION Mayor Lozeau I’ll just point out that at our Board of Public Works meeting, we talked about the error and the cost of the error. What happened is they ordered the 15 horsepower pumps and they should have ordered 20. We paid a cost $2,000 in shipping, an expensive mistake. The superintendent was concerned about that. That order had been placed before the new superintendent started. He was able to negotiate an extra two-year warranty on the pump so we now have a full year warranty which I think he feels mitigated some of that cost and that error. Alderman Siegel I was going to basically explain exactly how that happened. I would also point out the need for Standard Operating Procedures to be put in the place so it doesn’t happen. Mayor Lozeau I agree. I did think everybody would appreciate knowing that that bothered the superintendent, and he found a way to mitigate it. Alderman Siegel Superintendent Simmons is doing a good job. Mayor Lozeau Very good. MOTION CARRIED Finance – 06/03/15 Page 9 From: Dan Kooken, Purchasing Manager Re: Contract Award for Waste Activation Sludge (WAS) Pump Installation (Value: $37,700) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO WESTON & SAMPSON IN THE AMOUNT OF $37,700. FUNDS ARE AVAILABLE IN DEPARTMENT 169, WASTEWATER; WASTEWATER FUND; 81, CAPITAL OUTLAY/IMPROVEMENTS ON THE QUESTION Mayor Lozeau Alderman Deane, you probably noticed this is putting in that third pump to add that redundancy. Alderman Deane It’s nice that somebody else is putting it in. Mayor Lozeau I agree. MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Contract Award for SCADA Upgrades – Wet Weather Facility (Value: $11,520) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO WOODARD & CURRAN IN THE AMOUNT OF $11,520. SOURCE OF FUNDING IS DEPARTMENT 169, WASTEWATER; WASTEWATER FUND; 55, OTHER SERVICES ON THE QUESTION Alderman Siegel All I can say is hallelujah Alderman Deane Do people understand what this is? We have a facility down there that cannot be set up to be run automated. Somebody has got to actually go down there to turn things on and off. Alderman Siegel That is hard in the middle of the night. Alderman Deane In these times and days, it defies logic. Mayor Lozeau I agree, again. This is just Phase I. Phase II will tie it into the main building and then into the head works project. That will be really good. Finance – 06/03/15 Page 10 Alderman Deane The head works project is done, isn’t it? Mayor Lozeau Yup, but this doesn’t tie into that yet. It will in Phase II. MOTION CARRIED From Dan Kooken, Purchasing Manager Re: Contract Award for CNG Vehicle Tank Inspections (Value: $12,500) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND AWARD THE CONTRACT TO NORTH AMERICAN EQUIPMENT UPFITTERS, INC. IN THE AMOUNT OF $12,500. FUNDS ARE AVAILABLE IN DEPARTMENT 177, PARKS AND RECREATION ($500); 161, STREETS ($550); 169, WASTEWATER ($1,550); AND 168, SOLID WASTE ($9,900); GENERAL FUND OPERATING BUDGET; 54, PROPERTY SERVICES MOTION CARRIED From: Dan Kooken, Purchasing Manager Re: Contract Award for Change Order #1 2015 Pavement Markings Program (Value: $46,000) MOTION BY ALDERMAN SIEGEL TO ACCEPT, PLACE ON FILE AND APPROVE CHANGE ORDER #1 TO THE CONTRACT WITH HI-WAY SAFETY SYSTEMS IN THE AMOUNT OF $46,000. SOURCE OF FUNDING IS DEPARTMENT 161, STREETS; PRIOR YEAR ESCROW; 54, OTHER SERVICES ON THE QUESTION Alderman Donchess Didn’t the city with its own employees do the street markings, the stripes? The reason I ask this is this has now become a $200,000 contract to an outside vendor. The import of the question is couldn’t the city do this internally for less money? Mayor Lozeau Alderman Donchess, since I’ve been here we have not done it with our own equipment. We don’t have the equipment to paint the long lines. It’s 1.4 million linear feet of markings. We also don’t have the equipment to do the thermal plast which is also something that we do in certain areas. The city does do the majority of the crosswalks. We have 478 crosswalks in the city. We do a majority of those. There are some in this contract that are thermal plast, but otherwise, we contract for other services. Also, this year we’ve changed the quality of paint and have more reflective beads in the paint. I don’t know if anybody has noticed how bright they seem right now compared to how they had been. That’s my understanding of how we’ve done it. We asked for additional funds last year because we wanted to be able to do all the markings. Alderman Donchess Has anyone looked into how expensive the equipment would be to be able to do this job internally? Mayor Lozeau I believe that we did that a long time. I cannot recall the results. Finance – 06/03/15 Page 11 Alderman Deane One of those paint trucks has got to have an … and you have to go out and buy 9,000 -10,000 cones. The pickup trucks, six or seven people working at night. I don’t know. I think it’s one of those things if somebody owns a truck that paints line, get him to give you a price. Alderman Donchess So you’re saying we couldn’t really realistically do this. Alderman Deane I don’t think so. When you look at how many pennies per foot. Mayor Lozeau It’s just huge. Over 1,000,000 linear feet is just a lot. Alderman Deane I got copies of declarations. Mayor Lozeau All of us did. It was just a mistake. We share more printers than we used to. Two people were printing at the same time. Alderman Deane That’s fine. I was just wondering why in the long-line striping. Mayor Lozeau When I asked I was told it was irrelevant. I said ya, but what is it? It has nothing to do with the long lines. MOTION CARRIED UNFINISHED BUSINESS – None NEW BUSINESS - None DISCUSSION RECORD OF EXPENDITURES MOTION BY ALDERMAN SIEGEL THAT THE FINANCE COMMITTEE HAS COMPLIED WITH THE CITY CHARTER AND ORDINANCES PERTAINING TO THE RECORD OF EXPENDITURES FOR THE PERIOD MAY 15, 2105 THROUGH MAY 28, 2015 MOTION CARRIED PUBLIC COMMENT - None Finance – 06/03/15 Page 12 ADJOURNMENT MOTION BY ALDERMAN CHASSE TO ADJOURN MOTION CARRIED The Finance Committee meeting was adjourned at 6:32 p.m. Alderman Ken Siegel Committee Clerk