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HomeMy WebLinkAboutAgenda Report - July 15, 2020 C-05c-5AGENDA ITEM Cmv or Lonr CouNcrr ConnMUNrcATroN AGENDA TITLE: MEETING DATE: PREPARED BY: Adopt Resolution Awarding Bids for the Purchase of Medium Voltage Cable from The Okonite Company of San Ramon Under Long Term (2-Year with 1-Year Extension) Purchase in Amount Not-to-Exceed $650,000 Over Three Years July 15,2020 Electric Utility Director RECOMMENDED ACTION BACKGROUND INFORMATION Adopt a resolution awarding bids for the purchase of medium voltage cable from The Okonite Company of San Ramon under a long term (2-year with 1-year extension) purchase in an amount not- to-exceed $650,000 over three years. On November 20,2019 Council authorized Lodi Electric Utility (LEU) to procure, through long-term purchases, stock material items used to construct and maintain the electric system. This procurement process was proposed and approved by Council in an effort to expedite delivery from vendors, realize reduced unit pricing, as well as implement process and work flow efficiencies for LEU Warehouse staff. On May 14, 2020, LEU advertised bids to purchase Ethylene Propylene Rubber (EPR)) 15kV insulated cable. On June 10,2020 bids were opened with one supplier submitting a proposal as shown in Exhibit 1 below. Staff reviewed the proposal and deemed The Okonite Company as the lowest responsive bids and compliant with the approved specifications. Exhibit 1 Cable Okonite 1100 kcmil EPR $5.291/ft. 750 kcmil EPR $5.296/ft. 4/0 kcmil EPR $2.083/ft. 1/0 kcmil EPR $l.904/ft. A"J^r)(,./APPROVED Stephen Schwabauer, City Manager Adopt Resolution Awarding Bids for the Purchase of Medium Voltage Cable from The Okonite Company of San Ramon Under Long Term (2-Year with 1-Year Extension) Purchase in Amount Not-to-Exceed $650,000 July 15, 2020 Page 2 Due to the high-speed manufacturing process of the cable, it is an industry practice to allow a tolerance of +/-10 percent on the length of cable produced and shipped at the cost per feet as specified in the bid. FISCAL IMPACT: Procurement cost over three years will not exceed $650,000. FUND¡NG AVAILABLE: lncluded in Fiscal Year 2020121 Budget Account No, 500.13496 Andrew Keys Deputy City Manager/lnternal Services Director Jeff Berkheimer Jeff Berkheimer Electric Utility Director PREPARED BY: Tim Combs, Electric Utility Superintendent