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HomeMy WebLinkAboutRes2015-031 Sponsored by: Hunt CITY OF SEWARD, ALASKA RESOLUTION 2015-031 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA,AUTHORIZING AN AGREEMENT WITH ELECTRIC POWER CONSTRUCTORS (EPC) INC TO REPAIR LOAD TAP CHANGERS ON FOUR STATION TRANSFORMERS LOCATED AT LAWING, SPRING CREEK AND FORT RAYMOND SUBSTATIONS FOR A COST NOT TO EXCEED $70,500 WHEREAS,transformer renovation has been on the critical needs list for at least five years and funds were allocated for that purpose in the Electric Department's 2014/2015 budget; and WHEREAS, in October of 2012, Electric Power Constructors (EPC) conducted tests to determine the condition of all four substation transformers. EPC determined the windings of the transformers were in acceptable condition but found issues with all four load tap changers (LTC); and WHEREAS,in May of 2014,the Electric Department published an Invitation to Bid on the repairs recommended by the previous assessment and no bids were received; and WHEREAS,on February 13,2015,the Electric Department received a proposal from EPC to perform this work and the City of Seward Electric Department has had a positive working history with EPC; and WHEREAS, the parties have negotiated a scope of work at a fixed price of$70,500. NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD,ALASKA that: Section 1. The City Council,in accordance with SCC 6.10.120.A.10 and the recitals above which are incorporated herein, finds that it is in the City's best interest to sole source this work to Electric Power Constructors, Inc. Section 2. The City Manager is hereby authorized to enter into an agreement with Electric Power Constructors,Inc.of Anchorage,Alaska to troubleshoot and repair the Load Tap Changers on four(4) station transformers located at Lawing, Spring Creek and Fort Raymond Substations. Section 3. Funding for this contract in an amount not to exceed$70,500 is available within the 2015 Budget. Section 4. This resolution shall take effect immediately upon its adoption. CITY OF SEWARD,ALASKA RESOLUTION 2015-031 1 PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 13th day of April, 2015. THE CITY OF SEWARD,ALASKA I. ;�.1L. � , - M rianna Keil, Vice "ayor AYES: Casagranda, Terry, Squires, Butts, Darling, Keil NOES: None ABSENT: Bardarson ABSTAIN: None ATTEST: 1._!--..dig..■41 Jo anna Kinn", MC , ity Clerk (City Seal) • : , •••tigTE OF HLp,S•,. Agenda Statement y OF sets• Meeting Date: April 13, 2015 To: City Council � P A S� Through: Jim Hunt, City Manager From: John Foutz, Electric Department Manager Agenda Item: EPC Contract to repair electric transformers BACKGROUND & JUSTIFICATION: Transformer Renovation has been on the critical needs list for at least five years and funds were allocated for that purpose in the Electric Department's 2014/2015 budget. In October of 2012, EPC conducted tests to determine the condition of all four substation transformers. They found the windings of the transformers to be in acceptable condition but found issues with all four LTC's. They also found some potential issues with several of the transformer bushings. In May of 2014,the Electric Department published an Invitation to Bid on the repairs recommended by the previous assessment.No bids were received although EPC expressed an interest in that work, to be explored in the upcoming year. On February 13,the Electric Department received a proposal from EPC for the work in question. Over the next month, we have negotiated the scope of work to ensure that all of the work needed is accomplished. This contract is intended to address the LTC issues and perform such maintenance as is needed to ensure longer life and better reliability for these units.This is,in essence,a continuation of the work begun in 2012.EPC is the only company which responded to the 2014 solicitation.It is,therefore in the City's interest, as defined under SCC 6.10.120 A.10 to place this contract with EPC. INTENT: To enter into an agreement with Electric Power Constructors(EPC)Inc to troubleshoot and repair the Load Tap Changers(LTC)on the transformers located at Lawing, Spring Creek and Fort Raymond Substations. CONSISTENCY CHECKLIST: Yes No N/A Comprehensive Plan (1.3, 3.7.3.1, 3.7.3.2): Continue to upgrade and 1. expand utilities to meet existing needs and encourage future X development. 2 Strategic Plan : The mission of the City of Seward government it is to X provide quality leadership and economic wellbeing of its citizens 3. Other(list): X FISCAL NOTE: Funding for this project is included in the 2015 Electric Enterprise Fund Infrastructure account. Approved by Finance Department: .9e 4.1. 4,(24,..spJ ATTORNEY REVIEW: Yes No X RECOMMENDATION: 0 Council approve Resolution 2015- Authorizing the City Manager to enter into an agreement with Electric Power Constructors (EPC) Inc of Anchorage, Alaska to troubleshoot and repair the Load Tap Changers(LTC)on the four(4)station transformers located at Lawing,Spring Creek and Fort Raymond Substations for a cost not to exceed $70,500 and allocate funds. 9(e