HomeMy WebLinkAboutAgenda Report - September 19, 2018 C-05TM
CITY OF LODI
COUNCIL COMMUNICATION
AGENDA ITEM Cs
AGENDA TITLE: Sell Surplus Overhead Conductor in Public Auction
MEETING DATE: September 19, 2018
PREPARED BY: Electric Utility Director
RECOMMENDED ACTION: Sell surplus overhead conductor in public auction.
BACKGROUND INFORMATION: Lodi Electric Utility (LEU) has approximately 28,000 feet of
overhead conductor that was purchased in 1997 for the then -
proposed 60 kV sub transmission line to the west. That project is
no longer active, and the current minimum inventory requirement for this conductor is 2,000 feet.
There are no plans for new 60 kV lines within the City of Lodi, and this minimum inventory is held for
maintenance of existing 60 kV lines.
This is aluminum conductor weighing approximately 25,900 pounds in total. At $0.56/pound scrap
value for aluminum the salvage value is approximately $14,504.
It is proposed that LEU staff advertise the sale of this conductor using local media and a national web
site called Public Surplus.com. The minimum bid will be set at the salvage value of $14,504. It is
possible that utilities affected by the wildfires may have a need for this style conductor. If the minimum
bid is not met, staff recommends selling the conductor at scrap value.
FISCAL IMPACT: Proceeds will be applied to LEU revenue account 50000000.54391.
FUNDING AVAILABLE: Not applicable.
(.,L,
Andrew Keys
Deputy City Manager/Internal Services Director
abeth Kir
Lodi Electric
y
Utility Directo
PREPARED BY: Jules Marchesseault, Engineering & Operations Manager
EAK/JM/nb
APPROVED:
Stephen Schwab , City Manager