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Home My WebLink About _ 4.5(a)--Modification of Bid 5507 - 200 and 600 Amp Elbows and Assemblies � � �' � � � � � � ' � �' � � ' � ` CITY OF REDDING REPORT TO THE CITY COUNCIL MEETING DATE: January 21, 2025 FROM: Nick Zettel, Director of ITEIVI NO. 4.5(a) Redding Electric I7tility ***APPROVED BY*** � ��. ; � _ � v �� „ �� 1c ct c, yrectc� �ii' e in� tri�ttt32ity I•°�t;?t��:� �_ �p�it�,C�i ��t t�, l,'��,'2{}°�. nzettel@cityofredding.org btippin@cityofredding.org SUBJECT: 4.5(a)--Modification of Bid 5507 - 200 & 600-Amp Elbows and Assemblies Recommendation Approve amending the previously awarded Bid Schedule No. 5507, 200- & 600-Amp Elbows and Assemblies to OneSource Supply Solutions and Anixter Inc., from an annual evaluated price of$291,484.50 to an increased annual not-to-exceed amount of$1.25 million per contract year based on line item evaluated pricing. Fiscal Impact The purchase of 200- and 600-Amp Elbaws and Assemblies was included in Redding Electric Utility's (REI� General System Improvements Fiscal Year 2023-25 Biennial Budget, as well as the Aging Infrastructure Replacement Project for Electric Utility Line Construction Services. Tn the five-year plan presented to the City Council, REU anticipated that these projects might be bond-funded. Alternative Action The City Council (Council) could choose not to approve the amendmen� to the award amount and provide alternative direction to staff. Backg�ound/Analysis On September 17, 2024, the Council approved the award of Bid Schedule No. 5507 to OneSource Supply Solutions and Anixter Inc. in the evaluated amount of $291,484.50. Bid Schedule No. 5507 is a routine bid to purchase 200- and 600-amp elbow assemblies, allowing REU to order materials as needed based on evaluated quantities and warehouse inventory. These elbow assemblies are necessary to support REU's residential and commercial development and provide emergency replacement availability for existing faeilities. Report to Redding City Council January 15,2025 Re: 4.5(a)--Modification of Bid 550�-200 and 600 Amp Elbows and Assemblies Page 2 In the initial bid, material quantities were estimated based on historical usage and the anticipated pace of the underground cable replacement program. However, since the bid was awarded, it became evident the quantity estimate used for the bid was too low for the projected need of elbow assemblies. Due to the accelerated pace of underground cable and associated infrastructure replacement, REU is on track to make significantly more progress next year than originally projected for this bid. Additionally, extended material lead times require proactive procurement to ensure project continuity. Lastly, by increasing the authorized purchase limit, staff will place orders at current contract pricing to avoid any potential increases from looming import tariff increases. Staff requests that the Council increase the annual contract authorization limit to $1.25 million to support this accelerated pace and mitigate potential delays. This increase wi11 ensure sufficient materials are available to replace aging infrastructure, meet the demands of new customer connections, and address emergency cable failures as they arise. Envi�^onmental Review This is not a project defined under the California Environmental Quality Act, and no further action is required Council PrioNity/City ManageN Goals This agenda item is a routine operational item. Attachments ^September 17 - Bid No. 5507 Council Report ^Bid Tab � � �' x �a � � � � ° � � � � � � CITY OF REDDING m� REPORT TO THE CITY COUNCIL MEETING DATE: September ]7, 2024 F'ROM: Nick Zettel, Director of ITEM NO. 4.5(b) Redding Electric Utility ***APPROVED BY*** ��' � �� Wr�w�� ,�� .� o � nzettel@cityofredding.org btippin@cityofredding.org SUBJECT: 4.5(b)--Award of Bid Schedule No. 5507 - 200 & 600 Amp Elbows and Assemblies Recommendation Authorize the following relative to Bid Schedule No. 5507, 200- & 600-Amp Elbows and Assemblies for the City of Redding Electric Utility: (1) Award Bid Group I, II, and III to OneSource Supply Solutions for an annual evaluated price of$291,484.50; (2) Award Bid Group I and II to Anixter, Inc. as a secondary provider, to be used when the primary provider cannot supply the materials in time to meet project deadlines; (3) Authorize the Purchasing Officer to extend the bid award annually with OneSource Supply Solutions and Anixter, Inc. through July 31, 202�, if mutually agreeable, with all terms and conditions remaining the same and price adjustments in direct proportion to a Producer Price Index; and (4} Authorize the City Manager or designee to approve an additional $60,000 to the bid award as a contingency per fiscal year. FiscaZ Impact The purchase of 200- and 600-amp elbows and assemblies was included in Redding Electric Utility's (REU) General System Improvements Fiscal Year 2023-25 Biennial Budget. If capital expenses related to these efforts are projected to exceed the approved budget, staff will return with additional recommendations related to budgetary adjustments and financing options. Alte�native Action The City Council could choose not to award the bid to OneSource Supply Solutions and Anixter, Inc. and provide alternative direction to staff. Report to Redding City Council September 9,2024 Re: 4.5(b)--Bid Schedule No. 5507,200-& 600-Amp Elbows and Assemblies Page 2 Background/Analysis This routine annual bid to purchase 200- and 600-amp elbow assemblies allows REU to order materials as needed based on evaluated quantities and warehouse inventory. These elbow assemblies are necessary to support REU's residential and commercial development and provide emergency replacement availability for existing facilities. These assemblies are also required to support REU's planned infrastructure replacement projects, contributing to increased system reliability. Staff separated Bid Schedule No. 5507 into three separate bid groups: (1)Bid Group T—200Amp Elbows and Assemblies, (2) Bid Group II—600Amp Elbows and Assemblies, and (3) Bid Group III —Mounting Bracket and Parking Stands. This format allows for more competitive pricing for different groups of similar equipment. On August 14, 2024, staff opened two bid proposals. Based on overall cost and product pricing analysis, staff recommends awarding Bid Groups I, II, and III to OneSource Supply Solutions. Staff recommends awarding Bid Groups I and II to Anixter, Inc. as a secondary provider, to be used when the primary provider cannot supply the materials in time to meet project deadlines. Envi�^onmental Analysis This is not a project defined under the California Environmental Quality Act, and no further action is required. Council Prio�ity/City ManageN Goals This agenda item is a routine operational item. Attachments ^Bid Schedule 5507 Results CITY OF REDDING PURCHASING DIVISION-TABULATION OF BIDS BID: 200-Amp/ 600-Amp Elbows &Assem OneSource Anixter Supply BID SCHEDULE NO. DATE OF OPENING 5507 Wednesday,August 14, 2024 Wyatt Hopwood TIME OF OPENING Nick Zettel 3:00 P.M. QTY DESCRIPTION Group 1 $95,129.50 $93,997.30 Group il $165,135.50 $165,137.00 Group Iii $32,400.00 $32,350.20 Evaluated Total For All Groups $292,665.00 $291,484.50