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HomeMy WebLinkAboutResolutions - No. 2010-216RESOLUTION NO. 2010-216 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY MANAGER TO ENTER INTO A LETTER OF AGREEMENT BETWEEN THE CITY OF LODI AND CERTAINTEED CORPORATION FOR THE SALE OF DESIGNATED MUNICIPAL ELECTRIC DISTRIBUTION FACILITIES WHEREAS, CertainTeed Corporation (CertainTeed) currently has four utility transformers located at the north end of its facility, three of which are aggregated for billing purposes with a meter on the south side of the plant with the fourth north -side transformer billed separately at the secondary utility rate; and WHEREAS, the City of Lodi Electric Utility Department (EUD) has recommended, and CertainTeed agrees, that CertainTeed purchase all four north -side transformers and have this load aggregated under a primary metered utility rate; and WHEREAS, CertainTeed will pay the City of Lodi EUD $78,842.50 for said facilities and EUD labor, materials, and equipment to install the new meter and make necessary upgrades; CertainTeed will become responsible for maintenance and replacement of the transferred equipment and its electrical losses; and WHEREAS, the proposed arrangement conforms to past practice and City Council - approved Electric Rules and Regulations; and WHEREAS, staff recommends entering into a Letter of Agreement with CertainTeed for the facilities and upgrades as outlined above, thus allowing staff to order the required primary metering equipment and related materials. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby authorize the City Manager to enter into, and the Electric Utility Director to administer, a Letter of Agreement between the City of Lodi and CertainTeed Corporation for the sale of designated municipal electric distribution facilities and the installation of primary metering in the amount of $78,842.50. Dated: December 15, 2010 ------------------------------------------------------------------------ ------------------------------------------------------------------------ hereby certify that Resolution No. 2010-216 was passed and adopted by the City Council of the City of Lodi in a regular meeting held December 15, 2010, by the following vote: AYES: COUNCIL MEMBERS— Hansen, Mounce, Nakanishi, and Mayor Johnson NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS— Katzakian ABSTAI N: COUNCIL MEMBERS —None �5L City Clerk 2010-216