CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Bid 18-036, Edward Hospital Substation Power Transformers, to Niagara Transformer Corporation for an amount not to exceed $1,202,072, plus a 5% contingency
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DEPARTMENT: Electric Utility
SUBMITTED BY: Mark Curran, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
The existing Edward Hospital Substation, which was commissioned in 2004, consists of two 7.5MVA transformers and indoor switchgear located in a prefabricated control house. Due to various campus improvements and expansion projects, Edward Hospital has requested a capacity increase, which will require the installation of two additional 7.5MVA transformers and associated switchgear next to the existing substation.
Two 7.5MVA transformers are being procured along with installation services, which includes factory and onsite testing by a third party and commissioning of the transformer. These transformers include advanced asset management capabilities to aid the Electric Utility in the identification and scheduling of proactive maintenance.
Edward Hospital is reimbursing the Utility for the labor and material costs of this project.
DISCUSSION:
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Advertisement Date: |
01/31/2018 |
Notices Sent: |
87 |
|
Opening Date: |
02/27/2018 |
Planholders: |
13 |
|
|
|
Bids Received: |
2 |
The following bids were received:
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Company Name |
Transformer 25XA |
Transformer 25XB |
Total Bid |
|
Niagara Transformer Corp. |
$601,036 |
$601,036 |
$1,202,072 |
|
Wesco |
|
|
Non-Responsive |
Wesco was found non-responsive because the vendor did not meet all of the mandatory specifications including, but not limited to, a full 5-year warranty for all in and out costs and using a NETA certified contractor for testing.
Staff contacted other planholders that did not attend the mandatory pre-bid meeting to determine why they did not attend. One vendor indicated that they did not provide turnkey solutions. Another vendor explained that they provide products and not services. The remaining planholders did not respond to staff’s inquiries.
Although there was only one responsive, responsible bid response, Niagara’s cost is in line with the Utility’s estimate and is consistent with the cost of the last transformer the City purchased.
FISCAL IMPACT:
CIP#EU85
The improvement of the Edward Hospital Substation, project EU85, is budgeted in the infrastructure expense account listed below. The total budget for this project is $2,000,000. The requested award of $1,202,072 plus 5% contingency is within budget. Additionally, Edward Hospital will be reimbursing the Utility for the cost of this project.
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Account Number |
Fund Description |
Total Budget Amount |
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40251300 551502 |
Electric Utility |
$ 10,612,000 |