Legislation Details

File #: 26-612    Version: 2 Name:
Type: Consent Item Status: Agenda Ready
File created: 7/8/2026 In control: City Council/Public Finance and Economic Development Authority/Parking Authority
On agenda: 7/20/2026 Final action:
Title: SUBJECT: Approval of a Services Agreement with Arconas, Inc., in the Amount of $183,479.40 Plus 10% Contingency not to Exceed $ 201,828.00 for the Purchase and Installation of Furniture for the New Terminal at the Merced Yosemite Regional Airport REPORT IN BRIEF Considers approving a Services Agreement with Arconas, Inc., in the amount of $183,479.40 plus 10% contingency not to exceed $ 201,828.00 for the purchase and installation of furniture for the new Airport Terminal at the Merced Yosemite Regional Airport. RECOMMENDATION City Council - Adopt a motion: A. Waiving the City's competitive bidding as permitted by Merced Municipal Code Section 3.04.210 due to standardization on particular types of equipment; and, B. Approving a Services Agreement with Arconas, Inc., in the amount of $183,479.40 plus 10% contingency for a not to exceed amount of $ 201,828.00; and, C. Authorizing the City Manager to execute necessary documents, including amendments, based on the not-to-exceed...
Attachments: 1. Agati Quote, 2. Arconas, Inc. Quote, 3. Arconas, Inc. Product Layout proposal.pdf, 4. Arconas, Inc. Service Agreement
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Report Prepared by: Karen Baker, Economic Development Associate, Merced Yosemite Regional Airport

 

Title

SUBJECT: Approval of a Services Agreement with Arconas, Inc., in the Amount of $183,479.40 Plus 10% Contingency not to Exceed $ 201,828.00 for the Purchase and Installation of Furniture for the New Terminal at the Merced Yosemite Regional Airport

 

REPORT IN BRIEF

Considers approving a Services Agreement with Arconas, Inc., in the amount of $183,479.40 plus 10% contingency not to exceed $ 201,828.00 for the purchase and installation of furniture for the new Airport Terminal at the Merced Yosemite Regional Airport.

 

RECOMMENDATION

City Council - Adopt a motion:

 

A.  Waiving the City’s competitive bidding as permitted by Merced Municipal Code   Section 3.04.210 due to standardization on particular types of equipment; and,

 

B.  Approving a Services Agreement with Arconas, Inc., in the amount of $183,479.40 plus 10% contingency for a not to exceed amount of $ 201,828.00; and,

 

C.  Authorizing the City Manager to execute necessary documents, including amendments, based on the not-to-exceed amount of $201,828.00.

 

Body

ALTERNATIVES

1.  Approve, as recommended by Staff; or,

2.  Approve, subject to other than recommended by Staff (identify specific findings and/or conditions amended to be addressed in the motion); or,                                                                    

3.  Deny; or,

4.  Refer to Staff for reconsideration of specific items; or,

5.  Continue to a future City Council meeting (meeting date and time to be specified in Motion).

 

AUTHORITY

Merced Municipal Code Chapter 3.04.210-Exemptions from Competitive Bidding and Merced Municipal Code Title 3, Article IV - Public Works Contracts.

 

CITY COUNCIL PRIORITIES

FY 26/27 City Council Goals and Priorities, Strategic Priority Area #2 Infrastructure and Transportation.

 

DISCUSSION

The City of Merced received a FAA Cares Act Grant to construct a new airport terminal. The Cares Act Grant covered terminal infrastructure only. The grant did not cover operational assets needed to complete the interior fit-out phase. Airport terminal furniture is classified as an operational asset, and not a structural component, and thus not included in the bid specification to build the new airport terminal.

 

Airport terminal furniture is specialized for high-traffic, high-durability, fire-retardant, and integrated with power/USB charging capabilities. Due to this specialization, there are limited vendors who can build and install airport terminal furniture. The engineering firm hired by the Airport Terminal replacement Project, Mead & Hunt, Inc., suggested two firms that specialize in aviation grade airport furniture. These firms are Agati and Arconas, Inc.

 

Agati and Arconas, Inc. initially supplied bids for terminal furniture that accommodated the nine (9) passenger airplane that was flown by Advanced Air. Once Contour Airlines was selected as the airport’s Essential Air Service provider, Airport staff requested both vendors to submit bids for terminal furniture that accommodated a 30-passenger load.

 

The furniture that has been selected for the secure holding room will include 6) 5 seat linear units with tables and electrical outlets, 2) 4 seat linear units with tables and electrical outlets, 2) 3 seat bench units (passenger shoe and belonging retrieval), 1) emBARq high counter table/chairs with electrical (work station) 1) ADA counter table/chairs with electrical (work station), stainless steel grade trash and liquid disposal bins for both holding room and terminal lobby. The terminal lobby will also have 1) emBARq high counter table/chairs with electrical (workstation) 1) ADA counter table/chairs with electrical (work station), lobby chairs and tables for waiting and seating areas. The bids do include labor and installation at prevailing wage rates. Their respective bids are as follows:

 

Agati bid: $ 241,186.04

Arconas Inc. bid: $ 183,479.40

 

Staff are requesting approval to enter into a Service Agreement with Arconas, Inc. for the purchase and installation of furniture for the new airport terminal. Staff would like to add a 10% contingency for unexpected expenses, for a contract amount not to exceed   $201,828.00.

 

IMPACT ON CITY RESOURCES

There is sufficient funding in Fund 5006 Capital Improvement Project CP230073 MCE Terminal Construction. No additional appropriation is needed.

 

ATTACHMENTS

1.  Agati Quote

2.  Arconas, Inc. Quote

3.  Arconas, Inc. Product Layout proposal

4.  Arconas, Inc. Service Agreement