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Sponsored by: Oates <br /> law <br /> CITY OF SEWARD, ALASKA <br /> RESOLUTION 2010 -076 <br /> A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, <br /> ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A <br /> SOLE SOURCE CONTRACT WITH CHUGACH ELECTRIC <br /> ASSOCIATION TO REPAIR THE TRANSMISSION LINE AND TO SPEND <br /> UP TO $1,000,000 FOR THE TOTAL PROJECT AND APPROPRIATING <br /> FUNDS <br /> WHEREAS, the electrical transmission line has damage in several places between Seward <br /> Highway Mile marker 18 to 37; and <br /> WHEREAS, these damages pose an immediate threat to the City's electrical power and the <br /> City Electric Department does not have the capability for the repairs; and <br /> WHEREAS, during a June 21 working session the City Council was presented an estimate <br /> provided by Dryden & LaRue, Inc. Their estimated repair and self generation cost was $830,000 to <br /> $1,500,000, these figures included $234,000 to $500,000 operating the City's emergency back up <br /> generators. The generator operating cost depends on the time the power is off in support of the <br /> repairs. The low estimate is based on if all repairs are accomplished simultaneously, thereby, <br /> reducing the time the power is off. If the repairs are not done simultaneously the backup generator <br /> cost could rise as high as an estimated $492,000; and <br /> WHEREAS, Chugach Electric Association can execute the repairs and charge the City their <br /> cost; and <br /> WHEREAS, Seward City Code §6.10.120(A)(7) exempts the City from the requirements of <br /> competitive procurement procedures where the City may contract for services with a public utility <br /> corporation at a price or rate determined by state or other government authority; and <br /> WHEREAS, over the years, the Regulatory Commission of Alaska approved CEA tariffs for <br /> costs of various work activities, and CEA will charge the City its costs in accordance with approved <br /> tariffs; and <br /> WHEREAS, the City Council finds that it is in public interest to waive the normal bid <br /> process per SCC 6.10.130 to pursue a sole source contract with Chugach Electric Association to <br /> accomplish the repairs, based on: 1) RCA's approval of Chugach's costs; 2) Chugach's technical <br /> expertise and greater capabilities; and 3) the urgency of the repairs. The City Manager notified the <br /> City Council of the pending emergency contract during the work session of June 21, 2010. <br /> NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY <br /> ,,„ OF SEWARD, ALASKA that: <br />