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Commission approves replacement of insurance-covered Sterl Hall rooftop units, declines county-funded full replacement
Summary
After insurer agreed to cover four heavily damaged rooftop HVAC units at Sterl Hall but denied four additional units, the board voted to replace the insured units and approve replacement of thermostats; commissioners declined immediate county funding to replace the remaining four units and discussed timing, storm season risk and budget implications.
The Board of County Commissioners reopened a tabled HVAC contract from KBK for Sterl Hall after staff confirmed an insurance response that would not cover four of eight rooftop units damaged in a hail-producing storm.
Facilities staff and KBK recommended replacing all eight units to avoid overworking the remaining units and to minimize crane mobilization costs. Insurance covers four units that the adjuster labeled as total losses; the insurer concluded the remaining units showed older, cumulative damage that predated the recent storm and would not be covered. Commissioners weighed the pros and cons, including the risk of repeated hail during the upcoming storm season, the benefit of replacing all units while a crane is onsite, and the county’s capital and maintenance funding constraints.
Chair (speaker 2) moved — and the board approved — a motion to untable the item and then to authorize replacement of the four units covered by insurance and replacement of thermostats related to the work; the board did not approve replacing the additional four units at county expense. The motion as summarized during discussion referenced a cost for the insurance-covered work of about $47,643 plus roughly $1,000 for eight thermostats (figures taken from KBK’s recommendation and staff notes). Staff noted some building maintenance funds already spent and that Sterl Hall maintenance had been supplemented from the general fund for prior projects.
Why it matters: Replacing the four units insured as totaled resolves the most-urgent mechanical problems and uses insurance proceeds; choosing not to replace the remaining four at this time defers a material capital expense but raises the possibility of future repairs or emergency replacement if a unit fails.
What’s next: Staff will authorize the insured-unit replacements and negotiate scheduling; commissioners asked staff to track remaining building maintenance needs and to consider budgeting for additional replacements if a unit fails.
