HomeMy WebLinkAboutAgenda Report - December 18, 2002 E-04CITY OF LODI COUNCIL COMMUNICATION
AGENDA TITLE: Approve Specifications and Advertisement for Bids for Annual Tree Trimming Contract
(Power Line Clearing) for Electric Utility Department ($250,000) (EUD)
MEETING DATE: December 18, 2002
PREPARED BY: Electric Utility Director
RECOMMENDED ACTION: That the City Council approve the specifications for a tree trimming contract
for power line clearing and authorize advertisement for bids.
BACKGROUND INFORMATION: The Electric Utility Department has utilized a tree trimming contractor for its
line clearing requirements since November 1988. The current contract was
awarded by the City Council on February 12, 2001 for a one-year five month
period with provisions for a year-to-year extension up to a maximum of three additional years. The extension option
was agreed to by both parties, the City of Lodi Electric Utility and Arbor Tree Surgery on July 1, 2002, per
specifications dated January 17, 2001. A 3% increase in Arbor Tree Surgery's hourly rate was included in this
extension.
As of November 1, 2002, Arbor Tree Surgery compensation insurance rates have been increased. They have
requested an additional hourly rate increase of 16% for the three (3) person crews and 12% for the two (2) person
crew to pay for the increased insurance premium. The current contract only allows for a 3% increase which was
granted on July 1, 2002.
Due to the excellent results the Department has experienced with contracting out this service in both significant
reduction of outage time to our customers and the cost effectiveness of the program, it is recommended that the
program be continued. The bid process is being initialized at this time so that a new contract can be implemented for
the remainder of the 2002-2003 fiscal year, thus maintaining the very necessary continuity of the tree trimming
program.
The Department contracts out for Tree Trimming (line clearance) utilizing two (2) three person crews and a two person
crew year round. Due to changes in rules and regulations, the line clearance effort must be maintained. On January
23, 1997, the California Public Utilities Commission (CPUC) approved the proposed Tree Trimming Rules submitted
by Administrative Law Judge Malcolm. This new decision now requires a minimum of 18 inches clearance instead of
the 6 -inch clearance required between foliage and 12 W utility lines. To conform to the rules, it is imperative that a
new contract be awarded.
The specifications have been prepared for a six (6) month basis with the option to extend yearly thereafter, at the
City's sole discretion, for a maximum of three years. It is expected that this contract will provide the City with two (2)
three-person crews for six months and a two -person crew for six months, including vehicles, equipment and other
expenses for three crews. This level of activity represents the current effort to maintain the 130+ circuit miles of
overhead transmission and distribution lines clear of growth on a three-year cycle.
The bid opening date has been set for January 8, 2003.
FUNDING: The estimated cost of this contract is $250,000 for the remainder of 2002-2003 fiscal year
budget and is included in this fiscal year operating budget. The funding for the 2003-2004
fiscal year will be included in the Department's proposed 2003-2005 budget. Funding for
extensions of the contract will be
eel1budgeted on a year-to-year basis.
Funding Approval: //// 44061 wt d -1-,{-a✓
Vicky McAthie, FinAce Director A /,/, A A/F.
Alan. Vallow
Electric Utility Director
PREPARED BY: Carl Lindstrom, Electric Utility Superintendent
ANV/CL/ke
C: City Attorney
Finance Director
Purchasing Officer
George Bradley, Street Superintendent
APPROVED:
H. Dixon Flynn - City Manager