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HomeMy WebLinkAboutRes2022-091 Electric SwitchSponsored by: Bower CITY OF SEWARD, ALASKA RESOLUTION 2022-091 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING THE CITY MANAGER TO PURCHASE FROM SOUTHERN STATES, LLC, A HORIZONTAL CIRCUIT SWITCH IN A NOT -TO -EXCEED AMOUNT OF $247,300 FOR INSTALLATION IN THE SPRING CREEK ELECTRIC SUBSTATION, ALLOWING SEWARD CREWS TO CONNECT/DISCONNECT TRANSMISSION LINES OR OTHER COMPONENTS TO -AND -FROM THE SYSTEM FOR PLANNED OR UNPLANNED EVENTS AND APPROPRIATING FUNDS WHEREAS, Southern States, LLC, was chosen to provide the horizontal circuit switch following an Invitation to Bid (ITB) conducted by Dryden & LaRue, Seward Electric's engineering contractor, where Southern States was the only vendor responding with an estimate and appropriate operational specifications; and WHEREAS, the new horizontal circuit switch is part of the Phase I infrastructure rebuild planned for Nash Road in 2023; and WHEREAS, the new switch is needed to replace the existing circuit switch, which is beyond its service life and in deteriorating condition; and WHEREAS, the new switch will allow crews to connect and disconnect high -voltage lines or other components to and from the system to make system repairs during planned maintenance outages and unplanned system events; and WHEREAS, the fast interrupting speeds of the new switch will significantly reduce potential issues on the system, resulting in better protection of substation transformers or other system components for improved reliability. 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 purchase a horizontal circuit switch for the Spring Creek Substation to replace the existing and deteriorating switch to ensure better protection of transfonners and other key components and improved systern reliability. Section 2. Funding in the amount of $247,300 is hereby appropriated from the Phase I Infrastructure Project budget via the approved Revenue Bond from Electric reserves account no. 15000-0000-3400 to Electric Critical Infrastructure Fund contracted services account no. 15340- 9411Zi&IIIIL0 Section 3. This resolution shall take effect immediately upon adoption. CITY OF SEWARD, ALASKA RESOLUTION 2022-091 PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 22nd day of August, 2022. erry, AYES: Osenga, McClure, Casagranda, DeMoss, Calhoon, Terry NOES: None ABSENT: Wells ABSTAIN: None ATTEST: lK j�� / ' Brenda J. Ballo/K MMC City Clerk l V i"liiC,l i ,SEAS,. i ''•�4F ALPS�.'`• City Council Agenda Statement Meeting Date: August 22, 2022 To: City Council Through: Janette Bower, City Manager From: Rob Montgomery, General Manager - Electric Agenda Item: Resolution 2022-091: Authorizing the City Manager to Purchase from Southern States, LLC, a Horizontal Circuit Switch for the Spring Creek Substation in a Not -To -Exceed Amount of $247,300, Allowing Seward Crews to Connect/Disconnect Transmission Lines or Other Components to -and -from the System for Planned or Unplanned Events and Authorizing Funds Background and justification: Phase I infrastructure work is expected to get underway in the spring of 2023. As part of the Nash Road construction, the old and deteriorating horizontal circuit switch currently in the Spring Creek Substation must be replaced. The purchase of and installation of a new circuit switch has been included in the overall Phase I cost estimate provided by engineering consultant, Dryden & LaRue. In seeking a vendor for the new circuit switcher, three recognized industry vendors were contacted by Dryden & LaRue (engineering contractor for Seward) as part of an Invitation to Bid and asked to provide estimates. Only one vendor, Southern States, responded with an estimate that included all operational specifications. In addition to replacing the existing circuit switch, the new switch will also meet the specs necessary to operate at 115kV instead of 69kV, should such an increase be warranted. The fast interrupting speeds of the new switch also will greatly reduce issues on the system, resulting in better protection of substations transformers. A new circuit switch at the Spring Creek Substation, along with the other upgrades planned for Nash Road, will improve service reliability to the area for the next 30-plus years. Comprehensive and Strategic Plan Consistency Information This legislation is consistent with (citation listed): 3.7.1.4 "Continue to upgrade and expand utilities to meet existing needs and Comprehensive Plan: encourage future development." Strategic Plan: Reduce Energy Costs — Expand customer base within the Seward Electric utility a rea Other: Certification of Funds Total amount of funds listed in this legislation: $ 247,300 This legislation (✓): Creates revenue in the amount of: X Creates expenditure in amount of: Creates a savings in the amount of: Has no fiscal impact $ $247,300 ON Funds are (✓): Budgeted Line item(s): X Not budgeted Revenue Bond funding to Contracted Services (15000-3004-7009) Not applicable Unassigned Fund Balance and Available Unrestricted Cash Balance Information Fund (✓): General SMIC Electric Wastewater N Boat Harbor ParkingWater F1 Healthcare Motor Pool Other Unassigned Fund Balance*: $ 2,752,589.09 *unaudited numbers Available Unrestricted Cash Balance*: $ 7,456,747.46 Finance Signature: ��Z* 9�� Attorney Review RYes Attorney Signature: ✓ Not applicable Comments: Administration Recommendation e✓ Adopt Resolution Other: PWA