HomeMy WebLinkAboutAgenda Report - December 16, 2009 D-03AGENDA ITEM 0!5
CITY OF LODI
,. COUNCIL COMMUNICATION
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AGENDA TITLE: Adopt Resolution Rejecting Bids for the Inspection, Adjustment and Maintenance
Tests of Two Transformers at Henning Substation (EUD)
MEETING DATE: December 16,2009
PREPARED BY: Interim Electric Utility Director
RECOMMENDED ACTION: Adopt a resolution rejecting bids for the inspection, adjustment and
maintenance tests of two transformers at Henning Substation.
BACKGROUND INFORMATION: On June 3, 2009, the City Council approved a request for bids for
the inspection, adjustment, and maintenance tests of two
transformers and associated tap changers at Henning Substation.
On July 29, 2009, one bid was received and opened. The proposal was submitted by Waukesha Electric
Systems, Inc. (Waukesha) of Waukesha, Wisconsin with the following price schedule for the scope of
work as defined in the bid document:
1. Transformer and Tap Changer Maintenance $1 3,540.00 per unit
2. LTC Parts and Repair Kits $10,000 to $25,000 per unit
3. New Oil Replacement $8.50 per gallon
Based on this Waukesha pricing, the projected maintenance cost of two transformers at Henning
Substation will be approximately $48,000 to $60,000.
Staff estimated the total project cost to be $40,000. The projected total price of Waukesha will exceed
this estimate by approximately $8,000 to $20,000. Staff could not determine if the received bid is
reasonable without any comparative bid from other qualified vendors.
Therefore, it is recommended that the bid be rejected
f 9 An nn DST �!// i✓1D O
Kenneth A. Weisel /
Interim Electric Utility Director
Prepared by: Demy Bucaneg, Jr. — PE, Assistant Electric Utility Director
KAW/DB/Ist
APPROVED: zp'12 '-
Blair King, anager
RESOLUTION NO. 2009-170
A RESOLUTION OF THE LODI CITY COUNCIL
REJECTING BIDS FOR THE INSPECTION, ADJUSTMENT, AND
MAINTENANCE TESTS OF TWO POWER TRANSFORMERS
AT HENNING SUBSTATION
WHEREAS, in responseto notice duly published in accordance with law and the
order of this City Council, one sealed bid was received and publicly opened on July 29,
2009, at 11:00 a.m. for the inspection, adjustment, and maintenance tests of two power
transformers at Henning Substation; and
WHEREAS, said bid has been received from Waukesha Electric Systems, Inc.
(Waukesha), of Waukesha, Wisconsin, with price schedule for the defined scope of
work in the bid document as follows: (1) Transformer and Tap Changer Maintenance -
$13,540 per unit, (2) LTC Parts and Repair Kits - $10,000 to $25,000 per unit, and (3)
New Oil Replacement - $8.50 per gallon; and
WHEREAS, the projected maintenance cost of two transformers based on
Waukesha's price schedule is approximately $48,000 to $60,000; and
WHEREAS, the estimated cost was $40,000, and Waukesha's proposal will
exceed this amount by approximately $8,000 to $20,000; and
WHEREAS, staff could not determine the reasonability and acceptability of
Waukesha's price in the absence of comparative proposal from other qualified vendors.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby
reject the bid from Waukesha Electric Systems, Inc., of Waukesha, Wisconsin.
Dated: December 16, 2009
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hereby certify that Resolution No. 2009-170 was passed and adopted by the
City Council of the City cf Lodi in a regular meeting held December 16, 2009, by the
following vote:
AYES: COUNCIL MEMBERS — Hansen, Hitchcock, Johnson, Mounce,
and Mayor Katzakian
NOES: COUNCIL MEMBERS— None
ABSENT: COUNCIL MEMBERS— None
ABSTAIN: COUNCIL MEMBERS — NoZ&OHL
City Clerk
2009-170