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HomeMy WebLinkAboutResolutions - No. 2021-134RESOLUTION NO. 2021-134 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY MANAGER TO EXECUTE CHANGE ORDER NO. 1 TO THE CONTRACT WITH WESTECH INDUSTRIES, INC., OF ESCALON, FOR DIRECTIONAL DRILLING, EXCAVATION, AND CONDUIT INSTALLATION SERVICES WHEREAS, on June 6, 2018, by Resolution No. 2018-96, the City Council awarded a multi-year contract for directional drilling, excavation, and conduit installation services to Westech Industries, Inc., in the amount of $700,000 annually; and WHEREAS, Lodi Electric Utility (LEU) currently utilizes the services of Westech for directional drilling and conduit installation to build new underground electric infrastructure for various new developments throughout the City; and WHEREAS, LEU also utilizes these services in order to maintain existing infrastructure with activities including trenching, asphalt grinding, and potholing during troubleshooting efforts associated with electrical outages; and WHEREAS, replacement of failing distribution cable which was installed as direct buried years ago will also require the services of Westech so that new cable can be installed in conduit per modern industry standards; and WHEREAS, Resolution No. 2018-96 provided a three-year authorization from July 1, 2018 to June 30, 2021, in addition to delegating authority to the City Manager to exercise two additional one-year extensions, for a total approved contract value not to exceed $3,500,000 over the five-year term ($700,000 annually), should both optional extensions be executed; and WHEREAS, LEU is requesting to exercise the originally anticipated two-year extension with Westech, in addition to increasing the estimated annual expenditures from $700,000 annually to approximately $1 million annually, based on project timing and need; and WHEREAS, while it may be necessary to spend more in one fiscal year than another, total expenditures for the requested extension will not exceed $2 million; and WHEREAS, the additional funds being added with this change order will support the expansion of underground electric circuits to the southwest part of the City, where rapid growth is projected in the near future. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby authorize the City Manager to execute Change Order No. 1 to the contract with Westech Industries, Inc., of Escalon, California, for directional drilling, excavation and conduit installation services in an amount not to exceed $2,000,000 through June 30, 2023, for a total contract price of $4.1 million; and BE IT FURTHER RESOLVED, pursuant to Section 6.3q of the City Council Protocol Manual (Res. No. 2019-223), the City Attorney is hereby authorized to make minor revisions to the above -referenced document(s) that do not alter the compensation or term, and to make clerical corrections as necessary. Dated: May 19, 2021 I hereby certify that Resolution No. 2021-134 was passed and adopted by the City Council of the City of Lodi in a regular meeting held May 19, 2021 by the following votes: AYES: COUNCIL MEMBERS — Chandler, Hothi, Khan, Kuehne, and Mayor Nakanishi NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None JENNIF CUSMIR City Cle k 2021-134