CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
title
Approve the award of Bid 23-051, Tree Trimming, Tree Removal and Disposal of Debris, to Lewis Tree Service for an amount not to exceed $324,720.50, and for an 18-month term
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DEPARTMENT: Electric Utility
SUBMITTED BY: Brian Groth, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
The Electric Utility (Utility) has approximately 69.34 miles of overhead transmission and distribution conductors throughout the City. Trees and other landscaping have been planted in the vicinity of these conductors and routine tree trimming is important to ensure reliability for the system as well as safety of the public. The Utility has developed a four-year rotation schedule for the trimming of trees adjacent to overhead conductors. The Utility’s line clearance tree trimming around overhead conductors and underground facilities is outsourced to contractors.
In addition to the overhead transmission and distribution conductors, there are over 10,000 underground transformers, switches, and electrical enclosures on the electrical system. Over the years, many of these have been identified to have obstructions of some sort, including vegetation obstructions. Over 800 obstructions have been cleared and approximately 300 still require attention. With the cable injection program and equipment inspection program the Utility currently underway, reports of additional vegetation obstructions come in daily adding to the number needing to be cleared.
In the past, the Utility used the line clearance tree trimming contractor to perform this work. The reallocation of crews from overhead tree trimming to underground tree trimming was not efficient and often created scheduling issues. Having a second contractor performing this work allowed for dedicated crews on both projects and allowed for cross utilization of contractors when needed. To date, this has proven to be beneficial to the Electric Utility in efficiency, customer relations, and overall cost reductions.
In March 2023, the Utility issued Bid 23-051, Tree Trimming, Tree Removal and Disposal of Debris, to provide tree trimming services throughout the City specifically for the underground electrical system.
DISCUSSION:
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Advertisement Date: |
03/15/23 |
Notices Sent: |
342 |
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Opening Date: |
04/04/23 |
Planholders: |
21 |
|
|
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Completed Proposals Received: |
3 |
Bids were received from the following vendors:
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Vendor Name |
Proposed Cost |
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Lewis Tree Service |
$1,070,958.40 |
|
Asplundh Tree Expert LLC |
$1,074,616.40 |
|
Trees R’ Us, Inc. |
$1,634,300 |
Bids received came in higher than expected. Due to the bid results coming in over budget, staff negotiated a bid award that would maintain basic services within the approved budget; therefore, reducing the hours of services making the final bid amount reduce from $1,070,958.40 to $324,720.50. Lewis Tree Service has agreed to maintain the rates provided for in the revised offer to bid. Lewis Tree Service also performs line clearance tree trimming for the Utility and the utility has been satisfied with their work and response time.
The term of this contract is from date of award through December 31, 2024, with three, one-year options to renew.
FISCAL IMPACT:
CIP#: N/A
Obstruction and non-line tree clearance work is budgeted in the Operational Services account listed below. Electric has budgeted $155,000 for this type of work in 2023. Although the total award exceeds the 2023 budgeted amount, the award expands 18 months and as a result will push into 2024. A portion of this award will be accommodated in the 2023 budget, and staff will ensure this is re-budgeted to cover the remaining cost in 2024.
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Account Number |
Fund Description |
Total Budget Amount |
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40251300 - 531308 |
Electric Utility |
$908,951 |