HomeMy WebLinkAboutRes2022-044 Purchase from Potelcom & Wesco for Electric Wire & Transformers Sponsored by: Bower
CITY OF SEWARD,ALASKA
RESOLUTION 2022-044
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO
TWO PURCHASE AGREEMENTS: ONE WITH POTELCOM SUPPLY
FOR ELECTRICAL WIRE PRODUCTS, AND THE SECOND WITH
WESCO DISTRIBUTION FOR A QUANTITY OF 10 NEW 25-KVA
TRANSFORMERS IN A NOT-TO-EXCEED AMOUNT OF $115,991.50 TO
BE USED FOR NEW SERVICE INSTALLATIONS AND SYSTEM
REPAIRS
WHEREAS,each year, the Electric Department orders and purchases materials for use in
the spring/summer/fall construction season and for making system repairs; and
WHEREAS, electrical wire products of varying voltage capacities are used in overhead
and underground applications both in new service installations and in making system repairs; and
WHEREAS, 25-kva transformers are the ones most frequently used by the Electric
Department on its distribution system when completing new service installations or making system
repairs; and
WHEREAS, the Electric Department contacted the same three vendors for cost estimates
on the wire products and the 10 transformers, and
WHEREAS, the lowest bid for the wire products was submitted by Potelcom at $68,250
and the lowest bid for the 25-kva transformers was submitted by WESCO at $47,741.50.
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD,ALASKA that:
Section 1.The City Manager is hereby authorized to enter into two purchase agreements,one
with Potelcom Supply for electrical wire products and one with WESCO Distribution for 10 25-kva
transformers in a not-to-exceed amount of$115,991.50.
Section 2. Funding is hereby appropriated from account 15000-3000-7215 Operating
Supplies of the Electric Enterprise Fund.
Section 3.This resolution shall take effect immediately upon adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this the
29th day of March 2022.
CITY OF SEWARD, ALASKA
RESOLUTION 2022-044
T C Y FS �A
sty Terry, or
y
AYES: Osenga, McClure, Casagranda, Calhoon, Wells, Terry
NOES: None
ABSENT: DeMoss
ABSTAIN: None
ATTEST:
Brenda J. Ball , MMC
City Clerk
(City Sealy ••`•••••" • ••OF SEuq�V�• •.
t�• •....• .•• I•I
cre
oisPOR4
0�•�.
• = SEAL . •
•
• Ali �.• '
City Council Agenda Statement
r
Meeting Date: March 29, 2022
To: City Council
Through: Janette Bower, City Manager --
From: Rob Montgomery, General Manager - Electric
Agenda Item: Resolution 2022-044: Authorizing the City Manager to Enter into Two
Purchase Agreements: one with Potelcom Supply for Electrical Wire
Products, and the Second with WESCO Distribution for a Quantity of 10 new
25-kva Transformers in a Not-to-Exceed Amount of$115,991.50 to be used
for New Service Installations and System Repairs
Background and justification:
Each year, the Electric Department orders and purchases materials for use in the
spring/summer/fall construction season and for making system repairs. Key materials include 1)
electrical wire products of varying voltage capacities used in overhead and underground
applications, and 2) 25-kva transformers, the most frequently used transformers installed on
Seward's distribution system. Fortunately, some of the costs associated with purchasing these
materials is recovered through new service installations.
The Electric Department contacted three vendors to receive bids and the lowest bid for the wire
products was submitted by Potelcom Supply in the amount of$68,250.The lowest submitted bid for
the 10 transformers was provided by WESCO Distribution in the amount of $47,741.50.
Comprehensive and Strategic Plan Consistency Information
This legislation is consistent with (citation listed):
Comprehensive 3.7.1.4 "Continue to upgrade and expand utilities to meet existing needs and
Plan: encourage future development."
Strategic Plan: Reduce Energy Costs—Expand customer base within the Seward Electric utility area
Other:
Certification of Funds
Total amount of funds listed in this legislation: $
This legislation (✓):
X Creates revenue in the amount of: $ TBD — based on new service installations
X Creates expenditure in amount of: $ $115,991.50
Creates a savings in the amount of: $
Has no fiscal impact
Funds are (✓):
X Budgeted Line item(s): 15000-3000-7215 (Operating Supplies)
Not budgeted
Not applicable
Unassigned Fund Balance and Available Unrestricted Cash Balance Information
Fund (✓):
General SMIC x Electric Wastewater
Boat Harbor Parking Water F1 Healthcare
Motor Pool Other
Unassigned Fund Balance*: $ *unaudited numbers
Available Unrestricted Cash Balance*: $
Finance Director Signature:`'"
4
Attorney Review✓ Administration Recommendation
RYes X Adopt Resolution
X Not applicable Other: