HomeMy WebLinkAboutAgenda Report - March 5, 2008 E-06AGENDA ITEM
4DCITY OF LODI
COUNCIL COMMUNICATION
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AGENDA TITLE Adopt Resolution Authorizing a Sole Source Procurementcf Remote Terminal Units
(RTU's) and Accessories, from Geo Honn Company, Inc. of Vacaville, CA for Henning
and Industrial Substations (not to exceed $60,000) (EUD)
MEETING DATE: March 6,2008
PREPARED B Y Electric Utility Director
RECOMMENDED ACTION: Adopt a resolution authorizing a sole source procurement of remote
terminal units (RTUs) and accessories, from Geo Honn Company, Inc. Cf
Vacaville, California for Henning and Industrial Substations not to exceed
$60,000.
BACKGROUND INFORMATION: RTU's are a critical component for the safe and reliable operation Cf an
unmanned power station like Henning (1 RTU) and Industrial Substation (2
RTUs) facilities. An RTU is used to monitorthe operating status power
equipment and also to control powercircuit breakers and load tap changers. The existing RTUs at both facilities
were manufactured by Landis & Gyr (subsequently acquired by Siemens). It is no longer supported by the
manufacturerand components are difficult to find.
Overthe past months. the Electric Utility Department(EUD) has experienced intermittent problemswith these
RTU's prompting calls to substation personnel to place them back into operation. Problems include communication
failure, no meter indications, failure of alarm signals, etc. The existing RTUs are antiquated with outdated
operating and communication protocols that are difficult to integrate into existing control equipment. They also have
connectivity issues when tying to the new fiber optic based communication system that was recently put into
operation at the substations.
The mast cast effective approach to modernizing the RTU's is to perform what is called a `migration'. Migration
means the core electronic elements within the RTUs are replaced but the cabinets, relays, and other standard
items continue to be utilized. Cost savings through utilization of the migration approach is significant (about 213);
however, it does require that the core RTU electronics be purchased from the existing RTU manufacturerfor
compatibility reasons.
The proposed replacementRTU's will be Siemens ModeITG5700, They will be compatiblewlth the City's new
Supervisory Control and Data Acquisition (SCADA) System. This equipment is proposed to be purchasedfrom Geo
Honn Company, Inc, of Vacaville, CA on a sole source basis as explained above. This is the same company that
last year successfully bid for the RTU (complete unit)for the Killelea Substation Rehabilitation Project and for
similar migration equipmentfor the McLane Substation (similar pricing).
For purposes of maintaining reliable and safe electric system operation, staff recommendsCtity Council approval for
the procurement of the RTUs from sole source provider Geo Honn Company of Vacaville, California.
FISCAL IMPACT: The projected cost is not to exceed $60,000.
Adopt Resolution Authorizing a Sale Source Procurement of RemoteTerminsl Units(RTU's) and A odes, from Goo
Honn Company, Inc. of Vacaville. CA for Henning and Industrial Substations (notto exceed SS0.000) (EUD)
March 5, 2008
Page 2 of 2
FUNDING: Included in FY 287-M Budget Aocbunt No.161651.
PREPARED BY. Demy Bucane% ,Ir_, P.E., Manager, Engineering & Operations
Allen Aadland. Ading Electric Systems Supervisor
GFIAIDBAst
RESOLUTION NO. 2008-31
A RESOLUTION OF THE LODI CITY COUNCIL
AUTHORIZING THE SOLE SOURCE PURCHASE OF REMOTE
TERMINAL UNITSAND ACCESSORIES FOR HENNING AND
INDUSTRIAL SUBSTATIONS
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 Cityto do so; and
WHEREAS, the remote terminal units (RTUs) are a critical component for the safe and reliable
operation of an unmanned substation like Henning and Industrial Substations, are used to monitor the
operating status power equipment, and are also used to control power circuit breakers and load tap
changers; and
WHEREAS, the existing RTUs at both Industrial and Henning Substations were manufactured by
Landis & Gyr (now Siemens) and are no longer supported by Siemens, and the components are difficult to
find; and
WHEREAS, in past months, the Electric Utility Department has experienced intermittent problems
(such as communication failures, no meter indications, regular failure alarm signals, etc.) with the RTUs
prompting calls to substation personnelto put them back into operation; and
WHEREAS, the proposed replacement RTUs are a Siemens Model TG5700, which will be
compatiblewith the existing Supervisory Control and Data Acquisition System; and
WHEREAS, to eliminate unnecessary additional cost, the existing protection relays and other
controlling devices that are working are to be kept with the existing RTUs since they are in good condition,
while replacing the RTUs (three total); and
WHEREAS, staff recommends that the RTUs be purchased sole source from Geo Honn
Company, Inc., of Vacaville, California, which is the same company that successfully bid for the RTU for
the Killelea Substation Rehabilitation Project.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby approve the
purchase of RTUs and accessories for the Henning and Industrial Substation from Geo Honn Company,
Inc., of Vacaville, California, in an amount not to exceed $60,000.
Dated: March 5,2008
1 hereby certify that Resolution No. 2008-31 was passed and adopted by the City Council of the
City of Lodi in a regular meeting held March 5, 2008, by the following vote:
AYES: COUNCIL MEMBERS— Hansen, Hitchcock, Johnson, Katzakian, and
Mayor Mounce
NOES: COUNCIL MEMBERS— None
ABSENT: COUNCIL MEMBERS— None
ABSTAIN: COUNCIL MEMBERS— None
RANDI JOHL
City Clerk
2008-31