HomeMy WebLinkAboutAgenda Report - April 5, 2017 C-03CITY OF LODI
COUNCIL COMMUNICATION
AGENDA ITEM
C•Z
AGENDA TITLE: Adopt Resolution Authorizing City Manager to Execute Amendment No. 1 for
Directional Drilling, Excavation, and Conduit Installation with Westech Industries,
Inc., of Galt ($1,000,000)
MEETING DATE: April 5, 2017
PREPARED BY: Electric Utility Director
RECOMMENDED ACTION:
Adopt a resolution authorizing the City Manager to execute
Amendment No. 1 for directional drilling, excavation, and conduit
installation, with Westech Industries, Inc., of Galt, in an amount not
to exceed $1,000,000.
BACKGROUND INFORMATION: The Electric Utility (EU) maintains approximately 131 miles of
overhead electric lines and 122 miles of underground cable to
provide service to over 26,000 customers. As the underground
system ages, repairs and replacements are necessary to mitigate outages and improve electric service
reliability for its customers.
EU endeavors to utilize the least intrusive and most economically feasible approach to install conduit for
replacement and upgrade of failed or failing underground cables. This requires the use of directional
drilling to minimize disturbances to the community, replacement of sidewalk, gutter or road surfaces while
expediting the conduit installation process.
On February 5, 2014, Council awarded the lowest responsive bid to Westech Industries, Inc. of Galt, for
directional drilling and authorized the City Manager to execute a contract which allowed three one-year
extensions; two were authorized by the Council on February 18, 2015 and July 20, 2016. All authorized
funds have been expended ($1 million to date,) and the contract is set to expire on August 25, 2017.
During the current fiscal year, Westech has completed many projects to support the EU capital
improvement plan; these projects include installing underground infrastructure, installing, replacing and
repairing damaged conduits, pull -boxes and other related appurtenances as well as emergency
substructure repairs to restore electric service.
Westech continues to perform satisfactorily; therefore, staff is recommending an amendment to add
$300,000 in additional funding for the remainder of Fiscal Year 2016/17 while concurrently executing the
third contract extension in an amount not to exceed $700,000 for Fiscal Year 2017/18, which concludes
June 30, 2018. The additional funding will be used to address emergency -unplanned work as well as
continuing to replace 1960's vintage underground cable that is far in excess of its planned 30 — 40 year
useful life, and other related projects as determined by failure or predicative analysis.
FISCAL IMPACT:
Total not to exceed $1,000,000 as follows:
FY2016/17 $300,000
FY2017/18 $700,000
APPROVED:
uer, City Manager
Adopt Resolution Authorizing City Manager to Execute Amendment No. 1 for Directional Drilling, Excavation, and Conduit
Installation with Westech Industries, Inc., of Galt ($1,000,000)
April 5, 2017
Page 2
FUNDING AVAILABLE:
Funding is available in FY2016/17 Capital Budget Account No. 50199000
and included in proposed FY2017/18 Capital Budget Account No.
50199000.
,Of,�l1 /1;d
Susan Bjork i J
Supervising'Budge Analyst
l
PREPARED BY: Charles J. Berry, Electric Utility Superintendent
EAK/CJB/Ist
Elizabeth A. Kirkley
Electric Utility Director
AMENDMENT NO. 1
WESTECH INDUSTRIES, INC.
THIS AMENDMENT NO. 1 TO PROFESSIONAL SERVICES AGREEMENT,
made and entered this day of April, 2017, by and between the CITY OF LODI, a
municipal corporation (hereinafter "CITY"), and WESTECH INDUSTRIES, INC.
(hereinafter "CONTRACTOR").
WITNESSETH:
1. WHEREAS, CONTRACTOR and CITY entered into a Professional Services
Agreement on May 9, 2014 and Contract Extension on August 25, 2015; and, a
second Contract Extension on August 1, 2016, as set forth collectively in Exhibits
1 and 2, respectively; and
2. WHEREAS, CITY requests to amend said Agreement to extend the term through
June 30, 2018, which includes the third and final extension of the Agreement
signed May 9, 2014; and
3. WHEREAS, CITY requests to amend the existing contract to add $300,000
during the current Fiscal Year 2016/17 while concurrently executing the third and
final contract extension in an amount not to exceed $700,000 for Fiscal Year
2017/18, which concludes June 30, 2018. The additional funding will be used to
continue capital system improvements and emergency work, to be performed
during the remainder of the proposed term; and
4. WHEREAS, CONTRACTOR agrees to said amendment.
NOW, THEREFORE, the parties agree to amend the Agreement for an amount
Not -to -Exceed $1,000,000 and extend the term of the Agreement to and including June
30, 2018.
IN WITNESS WHEREOF, CITY and CONTRACTOR have executed this
Amendment No. 1 on the date and year first above written.
CITY OF LODI, a municipal corporation WESTECH INDUSTRIES, INC.
hereinabove called "CITY" hereinabove called "CONTRACTOR"
STEPHEN SCHWABAUER JOSEPH McCURLEY
City Manager Officer
Attest:
JENNIFER M. FERRAIOLO
City Clerk
Approved as to Form:
JANICE D. MAGDICH
City Attorney
CONTRACT EXTENSION AGREEMENT
NO. 2
WESTECH INDUSTRIES, INC.
THIS CONTRACT EXTENSION AGREEMENT, made and effective this ( day of
by and between the CITY OF LODI, a municipal corporation, hereinafter called
"City', and WESTECH INDUSRIES, INC., hereinafter called "Contractor."
WITNESSETH:
CONTRACT: Contractor and City, entered into a contract for Directional Drilling,
Excavation, and Conduit Installation on May 9, 2014, and Contract Extension Agreement
on August 25, 2015, extending the term of the contract to and including August 24, 2016.
Contractor and City now desire to extend the term of the contract for one (1) additional
year to and including August 25, 2017.
3. TERM AND TERMS: All other terms and conditions, including compensation paid to
Contractor, will remain as fully set forth in the Contract for Directional Drilling,
Excavation, and Conduit Installation dated May 9, 2014, attached hereto as Exhibit A
and made a part hereof as though fully set forth herein.
CITY OF LODI, a municipal corporation WESTECH INDUSTRIES, INC.
ST ' -.N' SC' ►'. : ER�PH cCURLEY
City Manager / icer
Attest:
E�INIFER IVItJERRAIOLO
City Clerk
APPROVED AS TO FORM;
JA E D. MAGDICH (\.,‹
City Attorney
EXHIBIT 1
DIRECTIONAL BORING, EXCAVATION AND CONDUIT INSTALLATION SECTION 4
CONTRACT
CITY OF LODI, CALIFORNIA
THIS CONTRACT made by and between the CITY OF LODI, State of California, herein
referred to as the "City," and WESTECH INDUSTRIES, INC., herein referred to as the
"Contractor."
WITNESSETH:
That the parties hereto have mutually covenanted and agreed, and by these presents do
covenant and agree with each other, as follows:
The complete Contract consists of the following documents which are incorporated
herein by this reference, to -wit:
Notice Inviting Bids
Information to Bidders
General Provisions
Special Provisions
Bid Proposal
Contract
Contract Bonds
Plans
The Latest Edition of
Standard Specifications,
State of California,
Business and Transportation Agency,
Department of Transportation
All of the above documents, sometimes hereinafter referred to as the "Contract
Documents," are intended to cooperate so that any work called for in one and not
mentioned in the other is to be executed the same as if mentioned in all said documents.
ARTICLE I - That for and in consideration of the payments and agreements hereinafter
mentioned, to be made and performed by the City and under the condition expressed in
the two bonds bearing even date with these presents and hereunto annexed, the
Contractor agrees with the City, at Contractor's cost and expense, to do all the work and
furnish all the materials except such as are mentioned in the specifications to be
furnished by the City, necessary to construct and complete in a good workmanlike and
substantial manner and to the satisfaction of the City the. proposed improvements as
shown and described in the Contract Documents which are hereby made a part of the
Contract.
ARTICLE 11 - The City hereby promises and agrees with the Contractor to employ, and
does hereby employ, the Contractor to provide all materials and services not supplied by
the City and to do the work according to the terms and conditions for the price herein,
and hereby contracts to pay the same as set forth in Section 5-600, "Measurement,
Acceptance and Payment," of the General Provisions, in the manner and upon the
conditions above set forth; and the said parties for themselves, their heirs, executors,
administrators, successors and assigns, do hereby agree to the full performance of the
covenants herein contained.
ARTICLE III - The Contractor agrees to conform to the provisions of Chapter 1, Part 7,
Division 2 of the Labor Code. The Contractor and any Subcontractor will pay the
Directional Boring, Excavation and Conduit Installation Sec 6.doc 4.1 01/27/14
general prevailing wage rate and other employer payments for health and welfare,
pension, vacation, travel time, and subsistence pay, apprenticeship or other training
programs. The responsibility for compliance with these Labor Code requirements is on
the prime contractor.
ARTICLE IV - And the Contractor agrees to receive and accept the following prices as
full compensation for furnishing all materials and for doing all the work contemplated and
embraced in this agreement; also for all loss or damage arising out of the nature of the
work aforesaid or from the action of the elements, or from any unforeseen difficulties or
obstructions which may arise or be encountered in the prosecution of the work until its
acceptance by the City, and for all risks of every description connected with the work;
also for all expenses incurred by or in consequence of the suspension or discontinuance
of work and for well and faithfully completing the work, and the whole thereof, in the
manner and according to the Plans and Contract Documents and the requirements of
the Engineer under them, to -wit:
Perform the work necessary for directional boring, installing conduit, and other
incidental and related work for multiple projects with a contract price of not to
exceed $500,000, all as shown on the plans and specifications for the above
project.
UNIT PRICE ITEMS
Directional Boring, Excavation and Conduit Installation Sec 6.doc 4.2 01/27/14
ITEM NO.
DESCRIPTION
UNIT
UNIT PRICE
Trench
1
Mainline Trench (Non -Joint Use)
LF
38.63
2
Secondary Trench (Non -Joint Trench)
LF
55.32
3
Compact/Backfill Mainline Trench
LF
10.20
4
Compact/Backfill Secondary Trench
LF
10.20
5
Remove/Replace Concrete
SF
30.60
6
Remove/Replace Asphalt
SF
25.50
7
Remove/Replace landscaping (Sod)
SF
5.10
8
Trench Plate Install/Remove (Including Prep)
EA
10.20
Directional Boring, Excavation and Conduit Installation Sec 6.doc 4.2 01/27/14
Conduit
9
Assemble and install 6" Conduit
LF
2.04
10
Assemble and install 4" Conduit
IF
2.04
11
Assemble and install 3" Conduit
LF
1.02
12
Assemble and install 2" Conduit
LF
1.02
13
Assemble and install 1" Conduit
LF
0.51
14
Assemble and install 3/4" Conduit
LF
0.51
15
Install Each Additional Conduit
LF
1.02
Bore
16
Bore and Install 6" Conduit
LF
59.02
17
Bore and Install 4" Conduit
LF
50.28
18
Bore and Install 3" Conduit
LF
43.80
19
Bore and Install 2" Conduit
LF
36.43
20
Bore and Install 1" Conduit
LF
36.07
21
Bore and Install 3/4" Conduit
LF
35.99
22
Send/Receive Pit (Per Job)
EA
204.00
23
Install Each Additional Conduit
LF
10.20
24
Hourly Rate for Bore Crew
HR
255.00
Misc.
25
Disposal of Excess Material
CY
5.10
26
Construction Notification (Per Project)
EA
102.10
27
EU Field Directed Work (Extra Work)
$50,000.00
ARTICLE V - By my signature hereunder, as Contractor, I certify that I am aware of the
provisions of Section 3700 of the Labor Code, which requires every employer to be
insured against liability for workers' compensation or to undertake self-insurance in
accordance with the provisions of that code, and I will comply with such provisions
before commencing the performance of the work of this contract.
ARTICLE VI - It is further expressly agreed by and between the parties hereto that,
should there be any conflict between the terms of this instrument and the Bid Proposal of
the Contractor, then this instrument shall control and nothing herein shall be considered
as an acceptance of the said terms of said proposal conflicting herewith.
ARTICLE VII - The City is to furnish the necessary rights-of-way and easements and to
establish lines and grades for the work as specified under the Special Provisions. All
labor or materials not mentioned specifically as being done by the City will be supplied
by the Contractor to accomplish the work as outlined in the specifications.
ARTICLE VIII - The Contractor agrees to commence work pursuant to this contract
within 30 calendar days and to diligently prosecute to completion within 45 WORKING
DAYS for each project submitted within the one-year term of this contract.
ARTICLE IX — This agreement may be extended for three (3) additional one-year terms
at the City's option on the same terms and conditions as set forth herein. City shall
exercise its option in writing 30 days before the expiration of this agreement.
Directional Boring, Excavation and Conduit Installation Sec 6.doc 4.3 01/27/14
WHEN SIGNING THIS CONTRACT, THE CONTRACTOR AGREES THAT THE TIME
OF COMPLETION FOR THIS CONTRACT IS REASONABLE AND THE
CONTRACTOR AGREES TO PAY THE CITY LIQUIDATED DAMAGES AS SET
FORTH IN SECTION 6.5 OF THE SPECIAL PROVISIONS. CONTRACTOR AGREES
THAT THIS AMOUNT MAY BE DEDUCTED FROM THE AMOUNT DUE THE
CONTRACTOR UNDER THE CONTRACT.
IN WITNESS WHEREOF, the parties to these presents have hereunto set their hands
the year and date written below.
CONTRACTOR:
CITY OF LODI
Westech Industries, Inc. By:
BY: \-(?, aRA
Pi', he tair)/
Title
(CORPORATE SEAL)
.01196..
ekt.cLtA4 Ueir
City Manager (
Date:
Attest:
Randi Jo
City Clerk
son
Approved As To
orm
Janice D. Magdich, -Deputy City
orney
Directional Boring, Excavation and Conduit Installation Sec 6,doc 4.4 01/27/14
Insurance Requirements for Contractor The Contractor shall take out and maintain during the life of this contract,
insurance coverage as listed below. These insurance policies shall protect the Contractor and any subcontractor
performing work covered by this contract from claims for damages for personal injury, including accidental death, as
well as from claims for property damages, which may arise from Contractor's operations under this contract, whether
such operations be by Contractor or by any subcontractor or by anyone directly or indirectly employed by either of
them, and the amount of such insurance shall be as follows:
1. COMPREHENSIVE GENERAL LIABILITY 2. COMPREHENSIVE AUTOMOBILE LIABILITY
$3,000,000 Ea. Occurrence $2,000,000 - Ea. Occurrence
$6,000,000 Aggregate
NOTE: Contractor agrees and stipulates that any insurance coverage provided to the City of Lodi shall provide for a
claims period following termination of coverage which is at least consistent with the claims period or statutes of
limitations found in the California Tort Claims Act (California Government Code Section 810 et seq.).
NOTE: (1) The street address of the CITY OF LODI must be shown along with (a) and (b) above: 221 West Pine
Street, Lodi, California, 95240-1910; (2) The insurance certificate must state, on its face or as an endorsement, a
description of the project that it is insuring.
A copy of the certificate of insurance with the following endorsements shall be furnished to the City:
(a) Additional Named Insured Endorsement
Such insurance as is afforded by this policy shall also apply to the City of Lodi, its elected and appointed
Boards, Commissions, Officers, Agents, Employees, and Volunteers as additional named insureds.
(This endorsement shall be on a form furnished to the City and shall be included with Contractor's policies.)
(b) Primary Insurance Endorsement
Such insurance as is afforded by the endorsement for the Additional Insureds shall apply as primary insurance.
Any other insurance maintained by the City of Lodi or its officers and employees shall be excess only and not
contributing with the insurance afforded by this endorsement.
(c) Completed Operations Endorsement
A certificate of insurance with a Completed Operations Endorsement, CG 20 37 07 04, will be provided to the
City of Lodi during construction and for three years after acceptance.
(d) Severability of Interest Clause
The term "insured" is used severally and not collectively, but the inclusion herein of more than one insured shall
not operate to increase the limit of the company's liability.
(e) Notice of Cancellation or Change in Coverage Endorsement
This policy may not be canceled nor the coverage reduced by the company without 30 days' prior written notice
of such cancellation or reduction in coverage to the Risk Manager, City of Lodi, 221 W. Pine St., Lodi, CA
95240.
Compensation Insurance The Contractor shall take out and maintain during the life of this contract, Worker's
Compensation Insurance for all of Contractor's employees employed at the site of the project and, if any work is
sublet, Contractor shall require the subcontractor similarly to provide Worker's Compensation Insurance for all of the
tatter's employees unless such employees are covered by the protection afforded by the Contractor. In case any
class of employees engaged in hazardous work under this contract at the site of the project is not protected under the
Worker's Compensation Statute, the Contractor shall provide and shall cause each subcontractor to provide
insurance for the protection of said employees. A waiver of subrogation is required for workers compensation
insurance. This policy may not be canceled nor the coverage reduced by the company without 30 days' prior written
notice of such cancellation or reduction in coverage to the Risk Manager, City of Lodi, 221 W. Pine St., Lodi, CA
95240.
NOTE: No contract agreement will be signed nor will afty work begin on a project until the proper insurance certificate
is received by the City.
EXHIBIT 2
r.)1RECTlONAL BORlNG, EXCAVAION AND CONDUIT INsTALLATFm
CITY OF LODI, CALIFORNIA
SECTION 4
CONTRACT
THIS CONTRACT made by and between the CITY OF LODI, State of California, herein
referred to as the "City," and WESTE-iCH INDUSTRIES, INC., herein referred to as
the "Contractor,"
WITNESSETH:
That the parties hereto have mutually covenanted and agreed, and by these presents do
covenant and agree with each other, as follows:
The complete Contract consists of the following documents which are incorporated
herein by this reference, to -wit:
Notice Inviting Bids
Information to Bidders
General Provisions
Special Provisions
Bid Proposal
Contract
Contract Bonds
Plans
The Latest Edition of
Standard Specifications,
State of California,
Business and Transportation Agency,
Department of Transportation
All of the above documents, sometimes hereinafter referred to as the "Contract
Documents," are intended to cooperate so that any work called for in one and not
mentioned in the other is to be executed the same as if mentioned in all said
documents.
ARTICLE I - That for and in consideration of the payments and agreements hereinafter
mentioned, to be made and performed by the City and under the condition expressed in
the two bonds bearing even date with these presents and hereunto annexed, the
Contractor agrees with the City, at Contractor's cost and expense, to do all the work and
furnish all the materials except such as are mentioned in the specifications to be
furnished by the City, necessary to construct and complete in a good workmanlike and
substantial manner and to the satisfaction of the City the proposed improvements as
shown and described in the Contract Documents which are hereby made a part of the
Contract.
ARTICLELI The City hereby promises and agrees with the Contractor to employ, and
does hereby employ, the Contractor to provide all materials and services not supplied by
the City and to do the work according to the terms and conditions for the price herein,
and hereby contracts to pay the same as set forth in Section 5-600, "Measurement,
Acceptance and Payment," of the General Provisions, in the manner and upon the
conditions above set forth; and the said parties for themselves, their heirs, executors,
administrators, successors and assigns, do hereby agree to the full performance of the
covenants herein contained.
Directional Boring, Excavation & Conduit Installation Sec 4.cioc
4,1
01/08/15
The Contractor agrees to conform to the provisions of Chapter 1, Part 7,
Division 2 of the Labor Code. The Contractor and any Subcontractor will pay the
general prevailing wage rate and other employer payments for health and wmKare,
pene|on, vacatiDn, travel t|rne, and subsistence pay, apprenticeship or other training
programs. The responsibility for compliance with these Labor Code requirements is on
the prime contractor.
ARTICLE/V - And the Contractor agrees to receive and accept the following prices as
full compensation for furnishing all materials and for doing all the work contemplated
and embraced in thi agreernent; eisa for all oss or damage arising out of the nature of
the work aforesaid or from the action of the elements, or from any unforeseen difficulties
or obstructions which may arise or be encountered in the prosecution of the work until
its acceptance by the City, and for all risks of every description connected with the work;
also for all expenses incurred by or in consequence of the suspension or discontinuance
of work and for well and faithfully completing the work, and the whole thereof, in the
manner and according to the Plans and Contract Documents and the requirements of
the Enginoer under them, to -wit:
Perform the work necessary for directional boring, }nstmUiing conduit, and other
incidental and related work for multiple projects with a contract price of not to
exceed $500.000. ali as shown on the plans and specifications for the above
UNIT PR CE ITEMS
��K�,.�O.
Trench
_____
2 Secondary Trench (Non -Joint Trench) LF
i______ 3 Compact/Backfill Mainline Trench LE
LT Compact/Backfill Secondary Trench LE 10.20
_ Remove/Replace Concrete „ SF 30.60
DESCRIPTI
_________
od) SF
5.10
, Trench Install/Remove
EA
10.20
Directional Boring, Excavation 8iConduit Installation Sec 4.uoc
4 2
01108/15
. Conduit
9 �s�em�eondin�oU6"Cunduit - LF 2.04
10 Axeemb|eandins�'U4"Condu� LF 2.04
11 Aycemb|eandin��U3"Conduit LF -1.02
12 Conduit
-- LF -1.02
| 13 Assemble - -----
�__ =LF 0.51
14 Assemble and install ]/4"Condu� -- -1 LF 0.51
15 __ /nxtaUEach Addibona|Conduit --- LF 'I.� ----i
Bore 02
' --' --- �
__ __
-' - ----
16 8unemnd|n��U6"ConduitUF 59,02
_-____.
' |
____. __
l7 Boreand|n�aU4"Conduit LF 50.28
__ - ' ------
---
18 Borend|nataU3"ConduitLF 43.80
_------_
19 Boreand Install Z"�onduit LF G
_ _
6.07
___
20 _ Bore Install 1" Conduit LF ---�------
_ 21 Bore and Install 3/4"Conduit LF 35.99
22 | Send/RncivePit (Per Job) EA 204.00
_ _ 23 Install Each Additional Conduit LF 10 20
_ 24 HourlyF��r}�C� _, - HR 2
--'
Misc,[-�
L
- -'
25 Disposal of Excess Material CY
� � �
__ 26 Construction Notification (Per Project)
_
27 EU Field Directed Work (Extra
5.10
102.10
$50,000.00
__
By my signature hereunder, as Contractor, i certify that | am aware of the
provisions of Section 3700 of the Labor Code, which requires every employer to be
insured against |iabi/rty for workers' compensation or to undertake self-insurance in
accordance with the provisions of that code, and | will comply with such provisions
before commencing the performance of the work of this contract.
ARTICLE V1 - It is further expressly agreed by and between the parties hereto that,
should there be any conflict between the terms of this instrument and the Bid Proposal
of the Contractor, then this instrument shall control and nothing herein shall be
considered as an acceptance of (he said terms of said proposal conthctng herewith.
ARTICLE V|( ' The City is to furnish the necessary rights-of-way and easements and to
establish lines and grades for the work as specified under the Special Provisions. All
labor or materials not mentioned specifically as being done by the City will be supplied
by the Contractor to accomplish the work as outlined in the specifications.
ARTICLE V/1/ - The Contractor agrees to commence work pursuant to this contract
within 30 calendar days and to diligently prosecute to completion within 45 WORKING
DAYS for each project GUbmi�eUVvith|nthenOe`ye@rterDlnfihiscoDtrGct.
Directional Coring, Excavation mConduit installation Sec *zoc
4.3
01/08/15
ARTICLE IX — This agreement may be extended for three (3) additional one-year terms
at the City's option on the same terms and conditions as set forth herein. City shall
exercise its option in writing 30 days before the expiration of this agreement.
WHEN SIGNING THIS CONTRACT, THE CONTRACTOR AGREES THAT THE TIME
OF COMPLETION FOR THIS CONTRACT IS REASONABLE AND THE
CONTRACTOR AGREES TO PAY THE CITY LIQUIDATED DAMAGES AS SET
FORTH IN SECTION 6.5 OF THE SPECIAL PROVISIONS. CONTRACTOR AGREES
THAT THIS AMOUNT MAY BE DEDUCTED FROM THE AMOUNT DUE THE
CONTRACTOR UNDER THE CONTRACT.
IN WITNESS WHEREOF, the parties to these presents have hereunto set their hands
the year and date written below.
CONTRACTOR:
CITY OF LODI
Westech Industries, Inc. By:
By: M
014 -Pic er
Title
(CORPORATE SEAL)
Directional Boring, Excavation & Conduit Installation Sec 4.doc
p enSchw-...•i
City Manager
Date: 3
Attest:
Approved As To Form
ce . Ma Bich
Attorney ani g City
l
4.4
01108!15
RESOLUTION NO. 2017-46
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE
CITY MANAGER TO EXECUTE CONTRACT AMENDMENT NO. 1 WITH
WESTECH INDUSTRIES, INC., OF GALT
WHEREAS, the Electric Utility (EU) maintains approximately 131 miles of overhead
electric lines and 122 miles of underground cable to provide service to over 26,000 customers;
and
WHEREAS, as the underground system ages, repairs and replacements are necessary
to mitigate outages and improve electric service reliability for customers; and
WHEREAS, EU endeavors to utilize the least intrusive and most economically feasible
approach to install conduit for replacement and upgrade of failed or failing underground cables;
and
WHEREAS, this requires the use of directional drilling to minimize disturbances to the
community and replacement of sidewalk, gutter or road surfaces while expediting the conduit
installation process; and
WHEREAS, on February 5, 2014, Council awarded the lowest responsive bid to
Westech Industries, Inc., of Galt, for directional drilling and authorized the City Manager to
execute a contract which allowed three one-year extensions; two were authorized by the
Council on February 18, 2015 and July 20, 2016; and
WHEREAS, all authorized funds have been expended ($1 million to date) and the
contract is set to expire on August 25, 2017; and
WHEREAS, during the current fiscal year, Westech has completed many projects to
support the EU capital improvement plan. These projects include installing underground
infrastructure; installing, replacing, and repairing damaged conduits, pull -boxes, and other
related appurtenances; and emergency substructure repairs to restore electric service; and
WHEREAS, Westech continues to perform satisfactorily; therefore, staff is
recommending an amendment to add $300,000 in additional funding for the remaining of Fiscal
Year 2016/17 while concurrently executing the third contract extension in an amount not to
exceed $700,000 for Fiscal Year 2017/18, which concludes June 30, 2018; and
WHEREAS, the additional funding will be used to address emergency -unplanned work,
continuing to replace 1960's vintage underground cable that is far in excess of its planned 30 to
40 year useful life, and other related projects as determined by failure or predicative analysis;
and
WHEREAS, funding is available in FY 2016/17 Capital Budget Account No. 50199000
and included in proposed FY 2017/18 Capital Budget Account No. 50199000.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council hereby authorizes the
City Manager to execute Contract Amendment No. 1 with Westech Industries, Inc., of Galt,
California, for directional drilling, excavation, and conduit installation in an amount not to exceed
$1,000,000 and extend the term of the Agreement to and including June 30, 2018.
Dated: April 5, 2017
hereby certify that Resolution No. 2017-46 was passed and adopted by the City
Council of the City of Lodi in a regular meeting held April 5, 2017, by the following vote:
AYES: COUNCIL MEMBERS — Chandler, Johnson, Mounce, and Mayor Kuehne
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — Nakanishi
ABSTAIN: COUNCIL MEMBERS — None
. ENNIFER II. FERRAIOLO
C ty Clerk
2017-46