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Home My WebLink AboutRES2025-103 Electric Power Constructors DELETEDDELETED from Agenda Sponsored by: Sorensen CITY OF SEWARD, ALASKA RESOLUTION 2025-103 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING THE CITY MANAGER TO ACCEPT THE PROPOSAL FROM ELECTRIC POWER CONSTRUCTORS (EPC) FOR THE REBUILD OF THE LAWING SUBSTATION IN AN AMOUNT NOT TO EXCEED $5,200,000 WHEREAS, the City of Seward Electric Department is actively pursuing the 69kV to 115kV transmission system conversion to align with the City's future Shore Power Substation Project; and WHEREAS, Electric Power Constructors (EPC) has submitted a detailed proposal to construct the new Lawing Substation in coordination with the Ft. Raymond and Spring Creek Substations to provide 115kV and 25kV service for the City of Seward; and WHEREAS, EPC's proposal, dated August 19, 2025, includes the complete rebuild of the Lawing Substation at a cost of $4,274,988.18, which includes construction survey, civil site preparation, transformer and breaker foundations, bus work, grounding, fencing, lighting, and associated electrical installation work; and WHEREAS, the City will provide the 6 MVA substation transformer, 115 kV breaker, and control building, with the control enclosure estimated at $850,000 to be purchased separately by the City; and WHEREAS, EPC has sequenced construction to ensure system reliability during transition and anticipates project completion by late fall/winter of 2026, provided long -lead materials are ordered promptly; and WHEREAS, approving this proposal and authorizing the necessary funding will keep the City's electric system upgrade schedule on track and support the long-term goal of integrating the 115kV Shore Power Substation by December 2027. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The City Council hereby authorizes the City Manager to accept the proposal with Electric Power Constructors (EPC) for the Lawing Substation Rebuild Project in an amount not to exceed $5,200,000, which includes a contingency to cover the purchase of the control building and potential price fluctuations for long -lead materials. CITY OF SEWARD, ALASKA RESOLUTION 2025-103 Page 2 of 2 Section 2. Funding for this project in the amount of $5,200,000 shall be derived from the Electric Enterprise Fund Capital Project Account designated for transmission and substation upgrades associated with the 115kV conversion. It will be appropriated through the City's last infrastructure bond scheduled for possible issuance by the end of May 2026, and/or other financing funding. Section 3. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska this 27th day of October 2025. THE CITY OF SEWARD, ALASKA DELETED from Agenda Sue McClure, Mayor AYES: NOES: ABSENT: ABSTAIN: ATTEST: DELETED from Agenda Kris Peck City Clerk (City Seal) 1 1 1 City Council Agenda Statement Meeting Date: October 27, 2025 To: City Council Through: Kat Sorensen, City Manager From: Taylor Crocker, Electric Operations Supervisor Subject: Resolution 2025-103: Authorizing the City Manager to Accept the Proposal from Electric Power Constructors (EPC) for the Rebuild of the Lawing Substation in an Amount Not to Exceed $5,200,00 Background and justification: The City of Seward Electric Department is in the process of converting its transmission system from 69kV to 115kV to support the upcoming Shore Power Substation Project and ensure long- term system reliability and capacity for community growth. The Lawing Substation, originally constructed in the 1970s, requires a full rebuild to meet 115kV design standards and integrate with the system upgrades planned at the Ft. Raymond and Spring Creek Substations. Electric Power Constructors (EPC) submitted a proposal dated August 19, 2025, for the Lawing Substation Rebuild Project at a total cost of $4,274,988.18. EPC's proposal includes site preparation, structural and electrical installation, foundations, grounding, bus work, and fencing, and has been sequenced to ensure continued power delivery during construction. The proposal also includes coordination for reconfiguring the Ft. Raymond Substation to 115kV to support the Lawing Substation cutover. The City will separately procure a control building estimated at $850,000, bringing the total projected cost to $5,124,988.18. To account for contingencies and any material price fluctuations, staff recommends authorizing a not -to -exceed amount of $5,200,000. This project is critical to maintaining the construction schedule for the 115kV Shore Power Substation, slated for completion in 2027, and is a major milestone in modernizing Seward's electric infrastructure to support economic development, port electrification, and renewable integration. Comprehensive and Strategic Plan Consistency Information This legislation is consistent with (citation listed): Comprehensive Plan: Strategic Plan: x Other: Certification of Funds Total amount of funds listed in this legislation: $ 5,200,000 This legislation (✓): Creates revenue in the amount of: Creates expenditure in amount of: Creates a savings in the amount of: Has no fiscal impact x Funds are (✓): Budgeted Line item(s): Not budgeted Not applicable $ 5,200,000 $ Affected Fund (✓): General Boat Harbor Motor Pool Available Fund Balance Yes SMIC Parking Other x Electric Water Attorney Signature: Not applicable Comments: $ Wastewater Healthcare Note: amounts are unaudited Finance Director Signature: Attorney Review Administration Recommendation Adopt Resolution Other: