CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Bid 23-124, Insulated Conductors, to The Okonite Company for an amount not to exceed $3,688,836 and for an 11-month term
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DEPARTMENT: Electric Utility
SUBMITTED BY: Brian Groth, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
The Electric Utility maintains an inventory of insulated conductors for use throughout the year based on anticipated needs for various projects and emergency repairs. The conductors are of various types and sizes and are used in the extension and/or replacement of electric distribution underground infrastructure to ensure the availability of an electric power supply to customers.
In May 2023, the Electric Utility issued Bid 23-124, Insulated Conductors, to contract with a vendor to supply conductors for inventory at the Electric Service Center warehouse. Due to market conditions, this material is not planned to be delivered until 2024.
DISCUSSION:
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Advertisement Date: |
05/10/2023 |
Notices Sent: |
327 |
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Opening Date: |
05/30/2023 |
Planholders: |
19 |
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Completed Bids Received: |
04 |
Bids were received from the following vendors:
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Vendor Name |
Proposed Cost |
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Universal Utility Supply |
NON-RESPONSIVE |
|
The Okonite Company |
$3,688,836 |
|
Wesco Inc. |
$4,619.890 |
|
Fletcher Reinhardt Company |
$7,051,560 |
Four bids were received for insulated conductors. Universal Utility Supply was deemed non-responsive. Procurement staff reached out to the vendor to confirm pricing and the vendor confirmed they mistakenly submitted incorrect costs, which made them the second lowest bidder.
The term of this contract is one year from the date of award to May 31, 2024, with one, one-year option to extend.
FISCAL IMPACT:
CIP#: N/A
Insulated conductors are expensed to the Operating Supplies account listed below. Given the lead time on this item, staff is not expecting to expense any of this award until 2024. While the 2024 budget for this account has not been evaluated yet, staff will ensure the appropriate amount is budgeted to accommodate this award within the 2024 budget.
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Account Number |
Fund Description |
Total Budget Amount |
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40101300 541407 |
Operating Supplies |
TBD |