HomeMy WebLinkAboutAgenda Report - December 7, 2005 E-035 AGENDA ITEM r
CITY OF LODI
COUNCIL COMMUNICATION
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AGENDA TITLE: Adopt Resolution Approving Specifications for a Compressed Natural Gas
(CNG) Packaged Electric Motor Drive Compressor System for the Municipal
Service Center CNG Fueling Station Expansion, and Authorizing City Manager
to Negotiate a Contract to Award to GreenField Compression, Inc., as the Sole
Supplier (Not to Exceed $182,000)
MEETING DATE: December 7, 2005
PREPARED BY: Public Works Director
RECOMMENDED ACTION: That the City Council adopt a resolution approving specifications for a
compressed natural gas (CNG) packaged electric motor drive
compressor system for the Municipal Service Center (MSC) CNG
fueling station expansion and authorizing the City Manager to
negotiate a contract not to exceed $182,000 to award to GreenField Compression, Inc., as the sole supplier.
BACKGROUND INFORMATION: The MSC has an existing CNG fueling staflon that was completed in
May 2004 to provide fuel for the City's transit buses and other
CNG -powered vehicles. The heart of that system is a heavy-duty
premium efficiency 125 horsepower electric motor drive
skid -mounted compressor package that was purchased from GreenField Compression, Inc. (formerly
known as GreenField-Sultzer).
When the CNG fueling station was installed, the addition of a future second compressor was anticipated
(the station layout provided space, the concrete foundation/pad, piping, etc.). The existing compressor
has performed very well but now has approximately 5,000 hours on it and is due for a major service.
Adding a second compressor will allow us to maintain uninterrupted service while compressor
maintenance takes place, both now and in the future. It will also provide the ability to alternate between
compressors and provide a back up should there be an unanticipated problem or failure.
Standardization of this equipment provides cost benefits to the City, saves on parts and training, allows
back-to-back filling of buses due to a short recovery cycle, and requires only one vendor to service both
machines. Familiarization of the compressors by staff is paramount and is simplified if we only have one
model. The interchangeability of parts from one compressor to the other, especially in an emergency,
provides an advantage.
It is critical that we continue to provide reliable CNG fueling for our City's transit and general fleet. This
second compressor package is the key component of that system's dependability. Staff is
recommending that we purchase another compressor from the same manufacturer that is identical to the
existing unit, and that GreenField Compression, Inc., be deemed as the sole supplier.
APPROVED:
Blair Kin , ity Manager
J 1PROJECTSSTRANSIT1CNGSTATIONIMSC_CNG_Expansion%CSpeesContract.doeCSpeesContract.doc
12/1/2005
Adopt Resolution Approving Specifications for a Compressed Natural Gas (CNG) Packaged Electric
Motor Drive Compressor System for the Municipal Service Center CNG Fueling Station Expansion, and
Authorizing City Manager to Negotiate a Contract to Award to GreenField Compression, Inc., as the Sote
Supplier (Not to Exceed $182,000)
December 7, 2005
Page 2
Specifications have been prepared and are on file in the Public Works Department. Specifications from
Green Field Compression, Inc., for their Model C41.11 17.1 compressor package meet the City's
specifications.
GreenField Compression, Inc., has indicated to the City of Lodi that they have a 5% price increase
scheduled to go into effect January 1, 2006. Staff is seeking this purchase approval now in order to
finalize a purchase contract before that increase.
FISCAL IMPACT: There is $36,400 in TDA cost involved in purchase, the operational cost for
running two compressors will be insignificantly higher, as the compressors
will be sequenced to alternate. The maintenance costs will increase some
but will be offset by greater reliability from the dual compressor operation.
Also, overtime call -outs for service will likely decrease, since the second compressor can be used
instead.
FUNDING AVAILABLE: Funding will be provided by a Congestion Mitigation and Air Quality
(CMAQ) grant from the San Joaquin Council of Governments;
Transportation Development Act (TDA) funds will be used as matching
funds.
6pines R. Krueger, Finance Director
�, L 04
Richard C. Prima, Jr.
Public Works Director
Prepared by Dennis J. Callahan, Fleet and Facilities Manager
RCP/DJC/pmf
cc: Tiffani Fink, Transportation Manager
Roger Rich, Fleet Supervisor
Joel Harris, Purchasing Officer
Steve Schwabauer, City Attorney
JAPROJECTSITRANSITICNGSTATIONNSC_CNG_ExpansionlCSpecsContract.doccSpecsContract.doc 12/1/2005
RESOLUTION NO. 2005-248
A RESOLUTION OF THE LODI CITY COUNCIL APPROVING SPECIFICATIONS
FOR A COMPRESSED NATURAL GAS (CNG) PACKAGED ELECTRIC MOTOR
DRIVE COMPRESSOR SYSTEM FOR THE MUNICIPAL SERVICE CENTER CNG
FUELING STATION EXPANSION, AND FURTHER AUTHORIZING THE CITY
MANAGER TO NEGOTIATE AND AWARD CONTRACT WITH SOLE SUPPLIER
WHEREAS, Lodi Municipal Code §3.20.070 authorizes dispensing with bids for purchases of supplies,
services, or equipment when it is in the best interest of the City to do so; and
WHEREAS, the Municipal Service Center (MSC) has an existing compressed natural gas (CNG) fueling
station that was completed in May 2004 to provide fuel for the City's transit buses and other CNG -powered
vehicles; and
WHEREAS, the heart of the system is a heavy-duty premium efficiency 125 horsepower electric motor
drive skid -mounted compressor package that was purchased from GreenField Compression, Inc., (formerly
known as GreenField-Sultzer); and
WHEREAS, the addition of a second compressor was anticipated, as the station layout provided the
necessary space with concrete foundation/pad, piping, etc.; and
WHEREAS, the existing compressor has performed very well, but has been utilized approximately 5,000
hours and is due for a major service; and
WHEREAS, with the installation of a second compressor, uninterrupted service will be maintained as
well as providing necessary backup for any unanticipated system problem or failure; and
WHEREAS, staff recommends the purchase of a second identical compressor unit from the same
manufacturer and that GreenField Compression, Inc. be deemed as the sole supplier.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council hereby approves the specifications
for a CNG Packaged Electric Motor Drive Compressor System for the MSC CNG Fueling Station Expansion;
and
BE IT FURTHER RESOLVED that the City Council hereby approves standardizing the above -referenced
compressor equipment and deems GreenField Compression, Inc., as the sole supplier; and
BE IT FURTHER RESOLVED that the City Manager is hereby authorized and directed to negotiate a
contract to award the sole -source purchase to GreenField Compression, Inc., in an amount not to exceed
$182,000.
Dated: December 7, 2005
I hereby certify that Resolution No. 2005-248 was passed and adopted by the City Council of the City of
Lodi in a regular meeting held December 7, 2005, by the following vote:
AYES: COUNCIL MEMBERS — Beckman, Hansen, Johnson, Mounce, and Mayor Hitchcock
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS None
ABSTAIN: COUNCIL MEMBERS — None
SUSAN J. BLAC ON
City Clerk
2005-248