The Fountain Hills Town Council approved an amendment to a cooperative purchasing agreement with Mesa Energy Systems to continue HVAC maintenance and related services using an underlying state contract, after debate over whether the town should solicit its own bids.

Staff said the amendment simply allocates remaining budgeted funds to continue maintenance while staff evaluates additional options and other vendors listed on the state contract. The town irector explained Mesa is currently providing the maintenance under the stateooperative agreement and that the amendment would not increase the overall budget, only allow the town to continue spending allocated funds for maintenance.

Councilmembers questioned whether the town should issue its own request for proposals (RFP) to test local pricing against state contract pricing. Staff said the state had already run a solicitation and the town could "piggyback" on that process; staff also said they had reached out to other vendors on the same state agreement and one vendor appeared to offer lower rates for similar services.

After a lengthy discussion, the council voted to approve Amendment No. 1 to the cooperative purchasing agreement with Mesa Energy Systems. The roll call recorded yes votes from Councilmembers Calabianakis, Larrabee, Earl, McMahon, Watts and Mayor Bridal, and a "no" vote from Vice Mayor Skilcorn, producing a 6-1 recorded outcome in favor of the amendment. Staff said they will continue to review other vendors on the state agreement and would return to council for any new contract approvals.

Why this matters: The amendment keeps town HVAC systems under contract while staff compares options; the procurement approach (piggybacking on a state contract vs. issuing a local RFP) was the central issue in debate. The council approved the amendment but Vice Mayor Skilcorn dissented on the procurement direction.

What to watch: Staff said they would return to council if they recommend entering a new contract after comparing alternate vendors listed on the state agreement.