CLARK COUNTY BOARD OF COMMISSIONERS
AGENDA ITEM
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Petitioner: |
Jessica Colvin, Chief Financial Officer Shauna Bradley, Director of Real Property Management |
Recommendation:
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Approve the termination of the Contract with AAA Air Filter Company Inc., for Bid No. 607183-24, for Annual Requirements Contract for Purchase and Installation of Air Filters Countywide Package 2 & 3; or take other action as appropriate. (For possible action)
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FISCAL IMPACT:
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Fund #: |
N/A |
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Fund Center: |
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Funded PGM/Grant: |
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Amount: |
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Description: |
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Additional Comments: |
None |
BACKGROUND:
On October 15, 2024, the Board of County Commissioners (Board) approved the award of Bid No. 607183-24 for Annual Requirements Contract for Purchase and Installation of Air Filters Countywide to AAA Air Filter Company Inc. (NBE) in the amount of $203,464.20 for purchase and installation of air filters.
This Contract is for the purchase and installation of air filters.
The following are the pertinent provisions of the Contract:
• The term of the Contract was from date of award through December 31, 2025, and includes the option to renew for 4, one-year periods and includes a 3-month extension.
• Included the option to increase the award amount up to 10% based on possible increased user requirements for the renewal terms and approved budget appropriations.
• Included the option to increase the award amount up to 5% for possible price increases for renewal terms.
• Included the County’s option to terminate for cause, convenience or default and suspend the Contract with advance written notice.
On August 7, 2025, Clark County issued Cause and Corrective Action Notices to AAA Air Filter Company Inc. for failure to maintain required insurance coverage.
On August 27, 2025, Clark County received notice of a request to assign the Contract from AAA Air Filter Company Inc. to Vegas Air Filtration Sales & Service LLC.
The County made numerous attempts to obtain the required insurance and Clark County Business License from Vegas Air Filtration Sales & Service LLC. Due to their inability to meet the Contract requirements for obtaining a Clark County Business License, Purchasing was unable to complete an Assignment of Contract.
On June 18, 2026, the Purchasing and Contracts Division issued a Notice of Intent to Terminate Contract for Cause and Notice of Meeting to Consider Administrative Action, by certified letter giving the minimum 21 working days’ notice. This letter stipulated that the Contract would be terminated effective August 4, 2026, subject to the Board's approval. Staff recommends that the Board terminate the Contract with AAA Air Filter Company Inc.
This action is in accordance with Page No. II-5, No. 34, Termination for Cause.