CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
title
Approve the award of Option Year #1 to Contract 24-122, Electric Equipment Painting, to BP&T for an amount not to exceed $500,000
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DEPARTMENT: Electric Utility
SUBMITTED BY: Brian Groth, Director
BACKGROUND:
The City Council awarded Contract 24-122, Electric Equipment Painting, to BP&T on May 21, 2024, for a one-year term through June 1, 2025, with two one-year options to extend. The purpose of this contract is to maintain an on-call contractor to provide services including welding, patchwork and painting to maintain metallic exteriors of transformers, switches, fuse cans and other metal electrical equipment for the Utility.
The Electric Utility (Utility) performs ongoing condition assessments to identify units that need to be repaired and painted. By proactively repainting faded or rusted electrical equipment, the Utility has successfully extended the life of the equipment. Since 2021, 607 devices have been repaired and painted; 109 of those completed last year with an additional 22 being completed so far this year. Currently, as part of the equipment inspection program, staff have identified approximately 75 units needing repairs and painting.
DISCUSSION:
During the original term of the contract, BP&T has demonstrated good performance in its work. In 2024, work was successfully carried out both in the field and at the Electric Service Center. BP&T efficiently cleaned, prepped, and painted substation interior switchgear that had sustained arc flash damage, achieving outstanding results. The final outcome has exceeded expectations, especially considering the unfavorable condition of some of the transformers and switches.
Numerous positive comments from residents have highlighted the Utility's efforts in revitalizing these devices. Furthermore, communication with BP&T, both internally and with external customers, has been exceptional. BP&T has provided regular updates that ensure that staff are well-prepared for additional work and help facilitate the timely completion of the final steps, including the re-labeling and stickering of equipment.
Based upon the vendor’s performance, the Utility recommends extending the contract for the first option year. BP&T has agreed to maintain the rates and terms provided for under the contract. The term of the option year will be from June 1, 2025, to May 31, 2026, with one option year remaining.
FISCAL IMPACT:
CIP#: N/A
Electric equipment painting is expensed to the Equipment Maintenance account listed below. The Electric Utility included $400,000 in the 2025 budget for painting equipment. The budgeted amount is sufficient to cover expenses that will be realized in 2025, and staff will ensure there are sufficient funds in the 2026 budget to cover the remainder of the option year.
|
Account Number |
Fund Description |
Total Budget Amount |
|
40251300-531303 |
Electric Utility Fund |
$700,000 |