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HomeMy WebLinkAboutRes2001-161 I I I Sponsored by: Janke CITY OF SEWARD, ALASKA RESOLUTION 2001-161 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A CONTRACT WITH VALLEY DETROIT DIESEL ALLISON TO REBUILD GENERATOR #4 AS OUTLINED IN THEIR PROPOSAL DATED NOVEMBER 19, 2001 FOR AN AMOUNT NOT-TO-EXCEED $300,000 WHICH INCLUDES START-UP EXPENSES AND RELOCATION EXPENSES WITH A SEPARATE CONTRACTOR WHEREAS, Valley Detroit Diesel Allison is the only factory authorized and trained distributor on the West Coast, including Japan, for EMD machines; and WHEREAS, it is in the public interest to waive the normal bidding process per City Code Section 6.10.115, Section 6.10.120, and Section 6.10.130, with the City Council making the following findings: (1) it is in the best interest ofthe City to issue the purchase order because Valley Detroit Diesel Allison is the exclusive Factory Authorized Distributor for General Motors - Electro-Motive Division (EMD) and will rebuild Generator #4 with Genuine EMD factory service parts and Factory Trained and Certified Technicians will perform and complete the specified overhaul of the EMD 20-645-E3 engine per the EMD's recommended procedures; (2) the price of the quote received appears reasonable given the specifications and completion date; (3) a lengthy bid process would extend the time the generator would be inoperable, and since it is important to have all 6 Generators on-line in the event of an emergency, there is insufficient time to complete a lengthy bid process and obtaining a significantly lower price is unlikely given the lead time and the specifications required; (4) sufficient measures have been taken to protect the public interest by ensuring that the City is receiving a reasonable price and will receive a rebuild that meets the City's specifications within the necessary time constraints; (5) the cost of this overhaul will ultimately be paid by the benefitting utility customer. CITY OF SEWARD, ALASKA RESOLUTION 2001-161 WHEREAS, Valley Detroit Diesel Allison has prepared and submitted to the City of Seward a proposal to repair Generator #4 at Ft. Raymond Substation for approximately $257,987.00, including start-up and commissioning of the unit after rebuild; and WHEREAS, the moving expenses for the generator to and from A VTEC are approximately $20,000; and WHEREAS, a contingency of $22,013 is included for a total authorization of $300,000. NOW, THEREFORE, BE IT RESOLVED BY mE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The City Manager is authorized to enter into a contract with Valley Detroit Diesel Allison at a price of$257,987.00 to rebuild and start-up, including commissioning, of Generator #4 at Ft. Raymond Substation with a contingency of $22,013 . Section 2. The City Manager is authorized to enter into a contract with a company yet to be selected for an amount not-to-exceed $20,000 to move Generator #4 from Ft. Raymond Substation to the A VTEC Facility and back. Section 3. It is in the public interest to waive the normal bidding process per City Code Section 6.10,115, Section 6.10.120 and Section 6.1 0.130, with the City Council making the following findings: (1) it is in the best interest of the City to issue the purchase order because Valley Detroit Diesel Allison is the exclusive Factory Authorized Distributor for General Motors - Electro-Motive Division (EMD) and will rebuild Generator #4 with Genuine EMD factory service parts and Factory Trained and Certified Technicians will perform and complete the specified overhaul of the EMD 20-645-E3 engine per the EMD's recommended procedures; (2) the price of the quote received appears reasonable given the specifications and completion date; (3) a lengthy bid process would extend the time the generator would be inoperable, and since it is important to have all 6 Generators on-line in the event of an emergency, there is insufficient time to complete a lengthy bid process and obtaining a significantly lower price is unlikely given the lead time and the specifications required; I I I CITY OF SEWARD, ALASKA RESOLUTION 2001-161 (4) sufficient measures have been taken to protect the public interest by ensuring that the City is receiving a reasonable price and will receive a rebuild that meets the City's specifications within the necessary time constraints; (5) the cost of this overhaul will ultimately be paid by the benefitting utility customer. Section 4. Funding to be from Electric Fund Retained Earnings, account 501-0000-3050. Council to appropriate $300,000 from Account 501-0000-3050 to Account 501-5110-5930 and authorize spending for this project to carry over to calender year 2002. Section 5. This Resolution to be effective immediately upon passage. PASSED AND APPROVED by the City Council ofthe city of Seward, Alaska, this 26th day of November, 2001 THE CITY OF SEWARD, ALASKA ~L _ r1~- l1' Edgar Blatchford, Mayor AYES: Brossow, Calhoon, Clark, Orr, Shafer NOES: None ABSENT: Blatchford, Branson ABSTAIN: None ATTEST: (City Sea~,"III1"" ,,~~ OF SI2v:..'", ~..' ~..... ......... ~A'~. .:' CJ ...;.'.c?>po.Q;......:'>'..... <::. ~ . ~v -"""I)"-~~.'V II'- = l~" ___ ~\ ~ .. . . '"' ... .: S14'AL : ::: =:.L:J :e. u ~ : = ';, .. --- .. .. -=.. (j') \vl'. tt" .e ~ -;;, ~'. "'~'~ 1 ..~~..,:~,/ '~-;,/'::: O.,..;l::,\....p[:r...~:> <I, r,..., ...... "'''ill'''~\