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Home My WebLink AboutAgenda Report - June 18, 2003 E-06%.,JTY OF LODI COUNCIL COMMUNICATION AGENDA TITLE: Adopt resolution rejecting the low bids from Hendrix Wire and Cable Cc. and Pirelli Powef Cables for failure to meet specifications, and award the bid for the purchase of 78,500 ft., total, of 750 kcmil, #-4/0 and #110 AWG, 15 kV, EPR insulated underground cables to the low bidder, The Okorrite Company, of San Ramon, CA, in the amount of $137,241.19 (EUD) MEETING DATE-, June 18, 2003 SUBMITTED BY-, Electric Utility Director RECOMMENDED ACTION: That the Co Council adopt the attached resolution rejecting the low bids from Hendrix Wire and Cable Co, and Pirelli Power Cables for failure to meet specifications, and award the bid for the purchase of 78,500 ft., total, of 750 kcrnit, #-4/0 and #110 AWG, 15 kV, EPR insulated underground cables to the low bidder, The Okonite Company, of San Ramon, CA, in the amount of $137,241,19 BACKGROUND INFORMATIOW At the meeting of May 7, 2003, the City Council approved specifications and authorized advertisement for bids for various sizes and lengths of 15 kV underground cable. The specifications requested bids on two different types of cable insulation, namely crosslinked polyethylene (TR-XLPE) and ethylene propylene rubber (EPR ) with different sizes within each type. The bidders were informed that the City was in the process of evaluating the two types of cable and that only a portion of the cables being bid would actually be purchased. Foflowing the bid opening an May 28, 2003, all the bids received were evaluated and similar cable sizes within each insulation type were compared, This cost comparison over the cables' life coupled with a number of other advantages gained by using EPR insulation yields the recommendation to award the bid for the actual cable requirements to the low bidder meeting the specifications, The Okonite Company of San Ramon. The low monetary bidders, Hendrix Wire and Cable Co. in all categories and Pirelli Power Cables in the #4/0 AWG category, did not meet the specifications and therefore, it is recommended to reject these bids, Some of the advantages with EPR cable over TR-XLPE are: longer expected service life, cable is more ftexibie resulting in easier installation with associated labor savings; cable has higher ampacity (load carrying capability); is resistant to "'treeing", a phenomenon causing cable failure in TR-XLPE cables. EPR insulated cable has been adopted as the standard by several area utilities, including PG&E, Merced and Turlock Irrigation Districts. The low monetary bidders have been contacted and the discrepancies from the specifications discussed. These bidders understand the reasons for the recommendation to award to the next lowest bidder. FUNDING: Available within the Department's Financial Plan and Bu Line n eAen s io ns geE- 9) Voky MrIheFtnance UirectorA an N, Vallow, Electrictility Director PREPARED BY: Hans Hansen, Manager, Engineering and Operations Attachment (bid evaluation) c: City Attorney Purchasing Officer APPRQVF_D� Flynn - City anager Medium VQItage Cable with EPR Insulation May 2003 22,500"ft, of 750 kcrnil Bi.O.d.er Price incl, tax, Comments (weeks) The Okonite Company 72,052,43 Comments 1-3 Pirelli POwer Cables 76,319-33 12-14 Page Elect. Go. ClE Wire & Cable 84,004.59 Page Elect. Co. CME Wire Cable 12 The Ke to Company 93,066,91 12 6-8 Western States, Kerite 95,447,64 7-9 Hendrix.Wire and Cable Co. 71,664.53 Bid TR-XLPE type cable 8 ILJIN El ectriG Co,, Ltd, No bid 12,80070 Bid TR-XLPE type cable Nexans Energy USA, Inc, No bid Pirelli Power Cables 13,606.83 Southwire CompanXbiad ....... ��ai No MMMMM:!�' ibzl I 00i ILJIN Electric Co- Ltd. MM...� Bidder Price incl. tax. Comments t�eiiy� (weeks Dell The Okit e Company 1-3 Pirelli Power Cables 1-3 Page Elect. Co. CME Wire Cable 14,22100 age Elect, Co, CME Wire & Cable 53,677.16 12 The Kerf.te Company 16,326,28 67,08623 6-8 Western States, Kerite 16,744.35 7-9 7-9 Hendrix Wire and Cable Co, 12,80070 Bid TR-XLPE type cable ILJIN Electric Co,, Ltd. 8 Pirelli Power Cables 13,606.83 Did not meet specifications No bid 12-14 ILJIN Electric Co- Ltd. No bid Na bid Nexans :energy USA, Inc, No bid Southwire Company No bid Bidder Price incl. tax, Comments t�eiiy� (weeks The The Oke.nite Company 51,29938 1-3 Pirelli Power Cables 52,291.08 12-14 age Elect, Co, CME Wire & Cable 53,677.16 12 The Korite Company 67,08623 6-8 Western States, Kerite 68,79622 7-9 Hendrix Wire and Cable Co. 51,200.65 Bid TR-XLPE type cable 8 ILJIN Electric Co,, Ltd. No bid Nexans Energy USA, Inc, No bid Carati�wir Ce�rrirty Na bid Gable evaluation EPR MayO.As RESOLUTION NO, 2003-103 A RESOLUTION OF THE O REJECTING THE LOW BIDS AND AWARDING THE WHEREAS, in answer to notice duly published in accordance with law and the order of tHs City Council, sealed bids were received and publicly capered on May 28, 2003, at. 11;00 a.m. for 78,500 feet of 750 kemil, #410 and #110 AWG, 15 kV, EPR insulated underground cables, described in the specifications therefore approved by the City Council on May 7,2003; and WHEREAS, said bids have been compared, checked, and tabulated and a report thereof filed with the City Manager as shown can the attached marked Exhibit "A„i and WHEREAS, the specifications requested bids on two different type of cable insulation, namely crosslinked polyethylene (TR-XLPE) and ethylene propylene rubber (EPR) with different sizes within each type. The bidders were informed that the City was in the process of evaluating the two types of cable and that only a portion of the cables being bid would actually be purchased; and WHEREAS, following the bid opening on May 28, 2003, all the bids received were evaluated and similar cable sizes within each insulation type were compared. This cost comparison over the cables' life coupled with a number of Cather advantages gained by using EPR insulation yields the recommendation to award the bid for the actual cable requirements to the low bidder meeting the specifications, The Okonite Company, of San Kamran. The low monetary bidders, Hendrix Wire and Cable Co, in all categories and Pirelli Power Cables in the #4/0 AWG category, did not meet the specifications, and therefore, it is recommended to reject these bids; and WHEREAS, erne of the advantages with EPR cable over TR-XLPE are. longer expected service life; cable is more flexible resulting in easier installation with associated labor savings; cable has higher ampacity (load carrying capability); and is resistant to "treeing” a phenomenon causing cable failure in T€ -XLPE cables. EPR insulated cable has been adopted as the standard by several area utilities, including PG&E, Merced, and Turlock Irrigation Districts; and WHEREAS, the City Manager recommends rejecting the low bids from Hendrix Wire and Cable; Co. and Pirelli Power Cables for failure to meet specifications, and further recommends awarding the bid for the purchase of 78,500 feet total of 750 kcrnil, ##4/0 and #1I0 AWG, 15 kV, EPR insulated underground cables to the next responsible bidder, The konite Company, of San Ramon, California, in the amount of $137,241,19. NOW, THEREFORE, BE 1T RESOLVED that the Lodi City Council doe hereby reject the low bids from Hendrix Wire and Cable Co, and Pirelli 'ower Cables for failure to meet specifications, and further awards the bice for the purchase of 78,500 feet total of 750 k rnil, #410 and #1I0 AWG 15 kV, EPR insulated underground cables to the next responsible bidder, The Okonite Company, of San Ramon, California, in the amount of $137,241,19. Dated: June 18, 200 I hereby certify that Resolution No. 2003-103 was passed and adopted by the City Councif of the City of Lodi in a regular meeting held June 18, 2003, by the following vote, AYES: COUNCIL MEMBERS — Beckrnan, Hansen, Howard, Land, and Mayor Hitchcock NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None SUSAN J. BLACKSTON City Clerk MOSEMEMEM Medium Voltage Cable ith EPR Insulation May 2003 .:i . . Bidder i €i.Comments live Th 4 -.k 3. Pirelli powercePles 76,319.33 12-14 page EfwL OG, OME WireCable 84,004,59 12 The Kerite Company 93,066,91 6M . Western States, Kerite 96,447.6 7-9.: Hendrix Wire. . dbi oa 71,6.64.53 Bid TR-XLPE type cable 6 I JIN Electrio Co,, L.td, No bid x very USA, lncc o bid !""7 --T 7Thes t MO. f Comments � iiv rit : a 1-375tdder Page F-IOOL CID. CME Wire & CatAe 14,223:00 1 The ;petite.ePompany 16,326.28 6-8 tat , 35 16,7y 4 7a Frp� #'gyp-� Hendrix Cable } 12,800.70 Bid 'y X{ type cable Pirelli Power Cables 13,608.83 Dad not meet specifications 12-14 JOIN i tri ; o,, L>td, No bid Nexans' i er y USA, Inc, No bid Southwire Co.' any No bid. Bidder FTheOkonitwCompany Price incl. tax., Comments Defive ek 51,299,78 1-3 Pirelli Power Cables 52,291.06 12-14 Page Elec.L Co. CME Wire Cabie 53,8 7.16 12 itissKerite Company 67,x6.3 6-8 - western Statos, Kerite 68,796.22 7-9. Hendrix Wire and Oable Co. 51,200,65 Bid TR-XLPE type cable 8 ILAN Eliorpiric o:. Ltd, No bid Nexans Eriergy USA, Inc. No bid Gabie Ovalvafloii laic :MayO As