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4.1. SR 06-15-1998ity of Item #4.1. MEMORANDUM TO: FROM: DATE: Mayor & City Council Pat Klaers, City A~trator June 15, 1998 SUBJECT: Consider Bids for Ice Arena Dehumidifier Project The bids for the dehumidification project have been received. Four bids were received, two of which were under $100,000 and two of which were over $125,000. Accordingly, careful analysis will be required to ensure that the low responsible bidder included all of the components necessary for a successful project according to the specifications. When analyzing the bid amount as compared to the project estimate, we need to deduct the rebates and add in the consulting fees. Once this has taken place we are, in general, below the estimate that was discussed by the City Council a few months ago. A bid alternate is also included in the proposal which should reduce the operating expenses for dehumidification of the arena. Evaluation needs to take place in order to determine the "payback" timeframe of this additional $18,000 expenditure. Ice Arena Manager Rich Czech and Building Official Cliff Skogstad will be in attendance at this City Council meeting to present information on the bids for the ice arena dehumidification project. 13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330 · TDD & Phone: (612) 441-7420 · Fax: (612) 441-7425 06/08/98 13:35 FAX 612 647 4120 NELSON-RUDIE ~ CITY/ELK RIVER ~002/003 BID SUMMARY ELK RIVER ARENA DEHUMIDIFICATION PROJECT ELK RIVER, MINNESOTA NRA Comm. No. 98-056 Steve Albers Mechanical 200 W. Plato Blvd. St. Paul, MN 55107 224-3100, 224-5390 fax Clark Grotte 14329 Northdale Blvd Rogers, MN 55374 428-7137, 428-7142 Fax Grey Getty Swanson Plumbing and Heating 3550 Vermillion Street Hastings, MN 437-9215 4372112 Fax Vince Reincke EnvironCon 500 Apollo Ave N.E. St. Cloud, MN 55304 320-253-1106, 320-253-9047 Fax Pete Grham Wenz¢l Heating & Air Conditioning 4131 Old Memorial Highway Eagan, MN 55122 452-2665 Matt Golla Metropolitan Mechanical 7340 Washington Ave S. Eden Prairie, MN 55344 \~SERVER~DATA I ~98056~BID SUM.RTF Updated 06/08/98 ELK RIVER ARENA ELK RIVER, MINNESOTA APRIL 8, 1998 FEASABILITY STUDY EXECUTICE SUMMARY: The City of£1k River recently constructed a second ice sheet addition to the Elk River Ice Arena. The new arena has experienced problems with the operation of the facility due to high moisture levels in the arena. The high moisture levels result in condensation on the building surfaces. The condensation creates both long and short term problems for the facility. Short term problems appear in form of condensation dripping on the ice and floor surfaces. Fog can also be an issue on humid days. Long term problems take the form of rust which quickly forms on exposed metal surfaces, deteriorating the roof deck and other structural components of the building. Rust is visible on many of the exposed metal surfaces after just one year of operation. The moisture problems that the facility has been experiencing are the result of insufficient dehumidification capacity. The amount of moisture being introduced into the building in the summer months far exceeds the capacity of the existing dehumidification units. We recommend that a new desiccant based dehumidification system be considered for the facility. The desiccant based systems are ideally suited for ice arena applications. They have the capability to provide a much dryer environment in the arena than conventional dehumidification systems. They also operate on natural gas instead of electricity which reduces the overall electrical demand charges on the facility. The estimated cost to install a new desiccant based system including the desiccant unit, ductwork, electrical connections, structural openings in the building, and engineering fees is $108,00.00. The Gas Company offers a rebate for the installation of desiccant based dehumidification systems. We have estimated the rebate to be approximately $22,000.00. The total cost of the dehumidification system after rebates is estimated to be $86,000.00. We have also been requested to review the costs associated with adding heat to the arena. We recommend incorporating the heating system into the design of the new dehumidification/ventilation system. The costs associated with the building heating system are estimated to be $10,000.00. The total project costs including dehumidification and building heat will be approximately $96,000.00 after rebates. We have designed desiccant dehumidification systems for numerous arenas in the Twin City area and around the country. The systems allow the arenas to operate without condensation or fog on even the most humid days. We are confident that the City will see a dramatic change in the arena conditions once an adequately sized dehumidification system is installed in the facility. NELSON-RUDIE & ASSOCIATES, INC. Page 1 06/ ~/~.8 MON 15:42 F.~T, w, 0b/12/98 15:46 F.,L~. ~lZ 64? 4120 ~EL~UN-RUUI~ ~v~002 Nelson-Rudie & Associates, Inc. Consu~ng Engineers 2575 UnivemJty Ave. West, Suite 140, $L Paul, MN 55114 .Ttmc 12, 1998 Oen~l~ A. Nelmn. P.E. Sc~ F. Rudie, P.E. Audfe~ N. En~ P.E, Mi=l~l D. WoelWle Mr. Rich Czech Elk River Arena t000 School S~rect P.O. Bo.v. 720 Elk River, Minnesota 55330 Dehumid_ifi cation System Elk River A~oia NRA Corem No: 98-056 Dear Rich: As part of th= bidding process for*.he deh,.rm_idificarion system at tho ISlk River. arena we investigated the costs associated with adaing au ealergy r~;overy wheel to the dehumidifier. A large portion of the energy con,wined in heating a~l dehumidifying the building is associated-wi& heating and de, humidifying thc ventilation air. Ventilation air is required to II!alntain acceptable air quality for the occupants o£thc building and for rcclucinS thc contaminant levels associated wit~ the operation of the icc rcsu~aci~g machine. Thc energy recovery whe,~l recovers approximately ?0% of thc cnorgy required' to heat thc outside air in thg winter months and dehumidify the air in thc summ~ months. Wc have estimated that the energy savings l~r year will be $3,6~0.00. This results in a pay back of five years for th~ energy recovery section of the dchumictification ~mit. The total energy costs for ~he facility will increase after our project is completed. We are adding heat to the builain_a which consumes encrgy. We a~e also increasing the dehumidification capacity oflke ventilation $~tem. This will also cons-mn energy. We have previously discussed thc operational bcr~fiis of having a dryer and warmer arena. G1~'644-24o0 F:ax: 61ZI647.4120 E.Marl: nelsanmde~il~n~et Modem: ~1~7-~13.,q 06/15/98 ~ON 1S:A3 FAX ~003 0..~1Z/98 lB:A6 FA~ 61~ 6~ AI~O NHI. SON-RUDIE ~uuz~uuz June 12, 1995 Elk River Page 2 PI~ ~s ~ ~ ~v~ ~t= ~ yom ~c~ m~b~. We r~omm~a ~l~g ~e ~er~ ~ve~ ~ ~ ~ ~t if topaz ~e money ~ .~ is a major conc~ f~ ~c ~. Michael D. Wochrl¢