HomeMy WebLinkAbout _ 4.5(a)--Budget Reso & Change Order for Unit 5 Start Motor Replacement � � �' � � �
� � � ' � �' � � ' � ` CITY OF REDDING
REPORT TO THE CITY COUNCIL
MEETING DATE: May 6,2025 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 �,2��?t�2� �> �p�tt�,C�i ��t t�° 4�'3(It'2{}?.
nzettel@cityofredding.org btippin@cityofredding.org
SUBJECT: 4.5(a)--Approve Budget Resolution and Change Order to C-5661 for Unit 5 Start
1Vlotor Re lacement
Recommendation
Approve the following actions related to the Lang-Term Parts, Services and Inspections Contract
(G5661) with Siemens Energy Tnc. for repairs at the City of Redding Power Plant:
(1) Approve Change Order 48 to Contract 5661 to replace Generating Unit 5's start motor in
the amount of$1,019,902;
(2) Authorize the City Manager, or designee, to sign any documentation or change orders
necessary to finalize the project;
(3) Adopt Resolution approving and adopting the 75�h Amendment to City Budget
Resolution No. 2023-060 appropriating $1,019,900 for the Unit 5 start motor
replacement; and
(4} Find that Change Order 48 is categorically exempt from review under the California
Environmental Quality Act pursuant to Sections 15301 (Existing Facilities) and 15302
(Replacement or Reconstruction).
Fiscal Impact
The total cost for Change Order No. 48, including a contingency, is outlined below:
Descri tion Estimated Cost
Start Motor and En ineerin $653,900
Installation Services $118,102
Tax $47,500
Contin enc $200,�00
TOTAL $1,019,902
Report to Redding City Council Apri130,2025
Re: 4.5(a)--Budget Reso& Change Order for Unit 5 Start Motor Replacement Page 2
This project entails the replacement of the undersized starting motor for Generating Unit 5 to
restore proper functionality. Due to the extended lead time required for the design and
procurement of the new start motor and supporting structure, it is essential to finalize the change
order before the end of the fiscal year. Funding for this capital project will be sourced from bond
proceeds resulting in no fiscal impact to unrestricted reserves.
Due to ongoing political uncertainty in the United States, Siemens Energy cannot accurately
project future tariff rates. Consequently, the requested contingency amount includes a potential.
25 percent tariff on imports from Europe. If this tariff is enacted, the City Manager wi11 instruct
staff to amend the Change Order 48 to reflect the additional cost, if any.
Alte�native Action
The City Council may choose not to approve the project to replace the Generating Unit 5 start
motor and provide alternate direction to staff.
Backg�ound/Analysis
Generating Unit 5 has a power output of approximately 45 megawatts (MW) and uses waste heat
recovery to produce an additional 15 MW of steam power for Generating Unit 4. The combined
power generation of 60 MW accounts for approximately 30 percent of the 185-MW total
capacity of the Redding Power Plant. Generating Unit 5 is a critical resource for REU's power
portfolio.
There are two reasons that the start motor for Generating Unit S is no longer adequate for the
application:
(1) Over the past 20-years, changes in the control scheme of the generating unit have been
made by the manufacturer that have 1ed to increased power demand on the motor;
because of these changes, the motor frequently exceeds its amperage and temperature
rating, especially during summer months when it is most needed; and exceeding these
ratings pose personnel safety and equipment integrity risks;
(2) The changing power market is anticipated to increase the need for start cycles on
Generating Unit 5, which will increase the demands placed on the Inotor; it is unlikely
that the existing start motor will be able to meet the needs of the future power market
profile.
The start motor on Generating Unit 6 was replaced with a new motor in 2016. The new start
motor is oil cooled instead of air cooled, so it is better able to handle multiple starts, even on hot
days. By replacing the start motor on Generating Unit 5, both motors wi11 be the same and one
spare motor will serve both units. At the present time, two different motors are needed for spares.
Environmental Review
This repair is categorically exempt from review under the California Environmental Quality Act
pursuant to Sections 15301 (Existing Facilities) and 15302 (Replacement or Reconstruction).
Council Priority/City Manager Goals
This is a routine operational item.
Report to Redding City Council Apri130,2025
Re: 4.5(a)--Budget Reso& Change Order for Unit 5 Start Motor Replacement Page 3
Attachments
^Resolution
Siemens Energy Inc. Proposal for Unit 5 Start Motor Replacement
RESOLUTION NO. 2025-
A RESOLUTION OF THE CITY OF REDDING APPROVING AND ADOPTING THE
'75���H AMENDMENT TO CITI' BUDGET RESOLUTION NO. 2023-060
APPROPRIATING $1,019,900 FOR UNIT 5 START 1VIOTOR REPLACEMENT FOR
FISCAL YEAR 2024-2025
BE�T RESOL VE�BY THE CITY CO UNCIL OF THE CITY OF REDDING
THAT Budget Resolution No. 2023-060 be and is hereby amended as follows:
FUND DIVISION DESCRIPTION INCREASE DECREASE
211 8093 REI7—Capital/PP 1Vlajor 1Vlaint �1,019,900
THAT account titles and numbers requiring adjustments by this Resolution are as follows:
USE SOURCE
OF FUNDS OF FUNDS
Decrease(Increase)Fund Balance
211-8093-2910000-00000 Fund Balance $ 1,019,900
Increase Expenditures
2ll-8093-7800058-00000 REU-Power Plant $ 1,019,900
Total $ 1,019,900 $ 1,019,900
THAT the purpose is to appropriate $1,019,900 for unit 5 start motor replacement for fiscal
year2024-2025.
I HEREBY CERTIFY that the foregoing resolution was introduced at a regular meeting of the
City Council of the City of Redding on the 6th day of May, 2025, and was duly adopted at said
meeting by the following vote:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
JACK MUNNS, Mayor
ATTEST: FORM APPROVAL:
SI�ARLENE TIPTON, City Clerk CHRISTIAN M. CURTIS, City Attorney
s � � �n � n� s
� n� r��r
.
i
��
nl{t
�i
� t
4
a
"r"'w�w.r`r`nr, '� s� F �
�rr ii��� �� '1s 1�i
��v��u �3"S �� � a��£�t
J � ��s
�j F �
t
i }t}ft{¢� ����s
� ��r�n}� t���#'�'j;;.
+�� � s��y r t �t�t�4�
� { il
f
� ,
�
�'
�
�
mwu��'a�s.�Aw3,'ta3�
r fir Ic � t
Redding Power Plant
5�242276�21 , ReV. 4
March 31 , 2025
Firrn Proposal
Siemens Energy is a tradernark licensed by Siemens AG.
Siernens-Energy.corn
.� ��.m ,� � �� �: �, ��..�., ,-.� �.�..
0 14NOV2024 ats all Initiallssue.
01 06DEC2024 ats All Removed new start motor scope
02 27FEB2025 ats All Update pricing
03 21 MAR2025 ats all Add spare start motor
04 31 MAR2025 ats all Added oil piping welding, FS Price Breakdown,
Deduct for welding
� � �
Ko I b Digitaily signed by Kolb Edward
DN,cvrKolb Edwerd,c=DE,
o-Siemens,
E�'"��� ������ba e�20 50331 092212�06'00'
TECHNICAL
Confidential - This Firm Proposal, including all of its attachments, exhibits, appendices, etc.
("Proposal") is provided "as-is"for your evaluation of Siemens Energy, Inc. as the provider of work
discussed therein and contains information that is Confidential to and solely owned by Siemens
Energy, Inc. Your acceptance, viewing or storage of this Firm Proposal is an acknowledgment of
a confidential relationship between you and Siemens Energy, Inc. We require that this Firm
Proposal be returned or destroyed when no longer required for the purpose identified herein. This
Proposal and any information obtained from this Firm Proposal may not be reproduced,
transmitted, disclosed or otherwise used, in whole or in part, without the prior written
authorization of Siemens Energy, Inc.
Copyright 2025 Siemens Energy, Inc. Page 2 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
I f t fis
1. 1 T CTI .........................................................................................................
2. X C TIV 5 Y..............................................................................................
�2,1 PROJECTOBJECTIVE--------------------------------------------------------------------------------------------5
3.0 SC(�PE (3F SUPPLY OVERVIEW...................................................................................6
3�� Start Motor Replacement(Mounting Plate, Piping & Coupling for installation of
customer's stock Siemens Start Motor with a Spare Start Motor for customer's inventory)-----6
�.;� Excl usions ---------------------------------------------------------------------------------------------------------9
�,� O b I ig ati o n s--------------------------------------------------------------------------------------------------------9
3,� E nvi ron me nt, H ea Ith a n d Safety------------------------------------------------------------------------- 10
3.� Field Service Scope------------------------------------------------------------------------------------------- 10
4.0 COMMERCIAL..........................................................................................................11
�.� PRI CI N G S U M MARY------------------------------------------------------------------------------------------- 11
�.� PRICI NG BASIS AN D ASSU M PTIONS--------------------------------------------------------------------- 11
�.� TERMS & CON DITIONS -------------------------------------------------------------------------------------- 12
4.� VALIDITY--------------------------------------------------------------------------------------------------------- 1 Z
�t i S H I PM E NT AN D I N COTERM S------------------------------------------------------------------------------ 1 Z
�.�i I N VOI CI N G AN D PAYM ENT TE RM S---------------------------------------------------------------------- 1 Z
�.�7 CHAN G E O RD E R----------------------------------------------------------------------------------------------- 13
�.� CANCELLATION------------------------------------------------------------------------------------------------ 13
4.� CO M M E RCIAL CO M M E NTS & CLARI F I CATI O N S----------------------------------------------------- 14
EXHIBIT C — FIE�D SERVICE OVERHAUL DETAILED SCQPE QF WORK.............................16
C-1 DURATION / SHIFT ARRANGEMENT/ PERSONNE�........................................................ 16
C-2 T&M PRICING BREAKOUT............................................................................................ 16
PE IX........................................................................................................................1
APPENDIX A-1 - GENERAL. C(?MMENTS...........................................................................19
APPENDIX B-1 — DIVISION OF RESPONSIBILITIES (DOR),,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,20
APPENDlX B-2 — FIE�D SERVICE COMMENTS & CLARIFICATIONS ..................................23
Copyright 2025 Siemens Energy, Inc. Page 3 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
1 . I I
Siemens Energy, Inc. (hereinafter, "Seller") appreciates the opportunity to present this Firm
proposal, Quotation No.: SF242276021, Revision 4, including all of the attachments, exhibits,
appendices, etc. ("Proposal") to Redding Power (hereinafter, "Buyer") for the services described
therein.
A review of this Firm Proposal will demonstrate the overall value-added benefit SEI brings as it
relates to your Unit 5 Start Motor Upgrade project. More than 100 years of experience with steam
turbines, gas turbines, generators, compressors and pumps is a key component of the SEI portfolio
of services designed to support your operating plant. We are confident of our ability to deliver the
highest quality service.
Thank you for considering SEI to perform this service. Please feel free to contact me if you have
any questions regarding this Firm Proposal.
Best Regards, r S I � r tl
Client Manager: P�rchaser's Contact etails
Contact:Jaeryd Loader
Robert Harwick Tel:+1 (530) 215-9953
Tel:+1 (310) 245-4695 Email: `Ic�ad�r@cit o�reddir� ,tsr
robert.k��ruvick@si�rr�ens-�r��r .cc�rr�
Equipment etails
Serial Number: B000532
Project Development Manager: Customer Tag Number: Unit 5
Harpal Singh Equipment Model: SGT-800
Tel:+1 (713) 346-1688
h�r alsir� h@si�r��r�s-er�er ,corr�
LTP Project Manager:
Arturo Deleon, Jr.
Tel: +1 (407) 462-8428
�rt,deieor�@siera��r�s-�r�erqy.cc��rr
Copyright 2025 Siemens Energy, Inc. Page 4 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
. TI
2�,� 1 CT JECTIV
The objective of this firm quotation for the Redding Power Plant unit B000532 is to
replace the existing starter motor at the CT5 unit with their inventory starter motor
1 CS101198-1, and supply with a spare start motor, to be stored at the buyer's storage
facility as per Seller's storage and preservation guidelines, to ensure future
serviceability and availability.
Copyright 2025 Siemens Energy, Inc. Page 5 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
. i
�.� Start Motor Replacement (Mounting Plate, Piping & Coupling for
installation of custo er`s stock 5ie ens Start otar ith a Spare Start
otor far custo er"s inventary)
The ABB start motor installed on your Unit 5 (see fig. 1) is currently entering the
limited phase of its life cycle which means that the manufacturing end of this
motor is close.The ABB start motor is replaced by a Siemens start motor
(previously purchased) which is the current standard for the SGT-800 new
engine deliveries and settings to current VFD installed at site.
n .�����,t��
��4 �
�;Y Itrk.714 x b �� � d'tl�k'+ .�W}��.a
3Y ttY.tr4 1 {{yt�pJnSY?k< ti:r,
'a4151. ,�,�e,` �
y; �4
t t " r * ��lL �Pf�
� ' ���4,� �y� +�., �'�+"w ��J�y�Jy�fSVt�C � �}F
� tt� �t :
�lfj � � �}���ii,� ' v
M f �,,' ��Y',;
��'4�
a
t a r � ���
r �
} '
�; ��f',
a�""�r� 4� �, �,
,A ���n {��� .
���7 w�"`` �, l
�4x�� «n` } � �,'.`; "`�
s,d:9
M�ild h �, t
I I� �
r
du��� � �
r;�it�+ � 3y � „�+ � 0 ,.i'� f ^�
`�„�� �r<�' a�l :�
f
w ���;
.v�,p �� � ,k6S"x �������,
9�r� '. �n . ti�;'
�s�;��l���lli�j,�t���` },r` � ��y��1k�� fw
j �i���j�r� � ' A����i ����#r .: t�'tr`t�4 a� rra�
��+��i`����t����� ��, t t �r r r ��`'
s�� �^ y
!J i i�2t£F "� � I, ' 1y�4; � ,',�� ��$ { � ;�,4
l t s� t�€ Jj��� f� ff
��
M�f)jY
�
�� �� zt��� �_ { ,� 4 ����, �,���� ���
��tii �:- �kR`�f� '4 Y.a .t... r r Y�s �,� ft? , �tF '' ti'
�+r`'m��r�i�, } t,�,{�'u�'::n r„ ,`.� ,.� . .. �����`,iu.�ra.,� ;{� vr� :°t u ,.
Fig. 1 Position of the Start Motor
The change from the ABB to Siemens start motor will also result in that a new Start
motor support (see fig. 2) must be mounted on the start motor podium. Lubrication
oil pipe installation will change in comparison to the ABB installation and additional
cooling oil pipes installed (see fig. 3). New coupling is needed between the starter
motor and bevel gear due the different shaft attachment on the start motor.
Copyright 2025 Siemens Energy, Inc. Page 6 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
� yqfi .n{����' }bF'�
� �b
�� �� �rs
� r
�"At���� ��
�` vn;� �r
,,,,„
�r r,:���`�� � ,,�,����i"°�
�, i w�� r�9, .
°vr rrh �ilY"
� � �, t����� V
1, h' �.;`
� t�.
� G x��
�rrv",
���.
� ��"
� ;r�,. 4 �,�..r., :
Figure 2:The new start motor support in red.
l � ���
1 ��
1,. � �,,;�
�*� �� ��
�� � � �� �
C�:�,.n� �, �'_���^.�..¢�,>�
�,, �,
<
� � �.a�::��.��w��
� . _
��.� 1
�, � �. �
.. `� � ��.���� ���
" `°� �� ��>>�� {� �
� �,�� t� ..
� �_�����,�
� � � ,��,._�
Scope of Supply
Start motor replacement
Following parts will be included in the exchange kit except the start motor:
One (1) Start motor support
One (1) Set Lubrication and cooling oil pipes
One (1) Flexible Coupling between start motor and bevei gear
One (1) Set Mechanical Installation material (bolts, nuts, etc.)
One (1) A standalone Start Motor is offered as spare
Note:VFD setting parameters will be delivered by the Seller.
Copyright 2025 Siemens Energy, Inc. Page 7 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
Project Management and Engineering
Siemens manages the project to secure delivery according to plan. Project meetings
on site are excluded.
Function and safety analyses
As a result of the services specified in this document, neither will a functional
expansion be impiemented, nor will the machine concept be changed. The safety
concept and the existing safety system will be kept mostly unchanged with only
smaller modifications (higher safety with the new failsafe trip block).
As a consequence, Siemens scope of supply does not include any services to
establish and/or prove conformance of the whole system with the machinery
directive or other regulations and laws.
Participation in Customers safety analyses is not included in the scope. If required,
please forward an inquiry to Siemens.
Factory Acceptance Test, FAT
Not included in delivery.
Performance Test
Not applicable.
Engineering and documentation
The followinq enqineerinq is included:
• Engineering of the required modifications for the installation of the new
motor.
The followinq documentation is included:
• Control System Program (source codes)
• Dismantling and Installation documentation:
• Installation instructions
• Red-marked circuit diagrams, layouts, apparatus lists and connection
tables.
• Red-marked external cable and connection tables (if applicable)
• Updated Control cubicle circuit diagrams, layouts, apparatus lists and
connection tables (after installation)
• Updated external cable and connection tables.
• Component manuals/data sheets
• Updated assembly drawings (motor installation)
Documentation will be delivered in one (1) copy of each (electronic only). All
documents will be in English versions.
Document formats, layouts and contents will be according to supplier standard.
Copyright 2025 Siemens Energy, Inc. Page 8 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
Within 2 weeks after request, the client shall provide the supplier with complete and
updated drawings and appiication software back-ups for the unit as requested by the
supplier to fulfill the contract. Unforeseen faults, delays and costs in the project caused
by faults and errors in the client's documentation cannot be held against the supplier.
Instailation
Installation material (cables, wires, marking, etc.) are not included.
The customer shall be responsible for checking cables and checking/calibration of field
instrumentation and hand over test certificate together with checked and green
marked documentation for the installation to the commissioning engineer.
:��� Exclusians
The main exclusions from the Seller include but are not limited to:
• Parts and software changes not mentioned in section 3.
• Sound measurements.
• The warranty will not be applied to systems and components that are outside
of this scope of supply.
• All local requirements for certification.
• Counter flanges, gaskets and bolts at terminal points.
• Check cables and check/calibration of field instruments.
• Any new findings based on site Works have been excluded from the Suppliers
project schedule.
�.� li ations
Obligations of the Buyer are listed:
• Buyer must confirm that the upgrade is accepted by local authorities
• Buyer shall perform checks and assessments of equipment and systems that
are not provided by Seller
• Buyer to provide necessary assistance personnel to carry out defined scope
of supply. Personnel required from the Customer as listed:
o Mechanical Helper
o Skilled Electrician according to Seller's qualifications
o Operator
Buyer shall provide necessary assistance regarding:
• Transport of materials on site
• Office and sanitary facilities close to working area (maximum distance should
be 50 meters)
• Safe disposal of demounted material, scrap and waste.
• Access to the customer workshop
• Workshop facilities and machine tools when required
• Obtaining all licenses, permits, government authorizations and taxes
required to permit the suppliers personnel to perform their obligations.
Copyright 2025 Siemens Energy, Inc. Page 9 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
�,4 Environ ent, ealt an Safety
In line with the Seller's continuous work for a better environment and a safer
workplace, the customer is responsibie for adhering to our Environment, Health
and Safety (EHS)procedures, according to Seller's standard EHS requirements.
�,� Fiel Service Sco e
Seller wili provide the labor and materials to perform the following:
• Removal of obsolete Start Motor
• Installation of Customer's stock Start Motor
• Installation and welding of oil piping
• Commissioning
Personnel:
• One (1) Commissioning Engineers
• One (1) TFA
• One (1) Craft Labor Supervisor
• One (1) Welder
• Two (2) Millwrights
Duration —4 days.
Assuming resources already onsite for 2026 C inspection.
Customer to supply replacement andior modification of 690 vac supply.
Please see Exhibit A for Pricing breakdown and Appendix B-1 for Division of
Responsibility and Appendix B-2 for Field Service Comments and clarifications.
Copyright 2025 Siemens Energy, Inc. Page 10 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
. I
4.� P ICI S Y
Section ltem 2025
Ref.' No. 5cape;of Work Firrn Pricing ' Lead 7irne
Siemens Start Motor
Replacement/Installation
3.1 1. Materials including $ 328,020 38 Weeks ARO
engineering support(see
section 3.1)
3.1 2, A standalone Start Motor is
offered as spare � 325,880 38 Weeks ARO
Field Service for Installation Outage crew,4
and Commissioning, Time
3.5 3. and Material Estimate, Days
$ 118,102
reflects LTP field service 1-12-7 Shift
discounted rates. Arrangement
Option, price deduct if Buyer
3.5 4. provides welding and {� ������} � 2 Days
assembly of oil piping
�.� ICI SIS SS TI S
a) Due to the prevailing political climate, the price set forth in this letter does not
account for any potential tariffs that may be imposed as a result of importing any
of the goods to the United States, whether currently foreseeable or not. In the
event that such obligations arise, to the extent such tariffs alter the price, it shall
be adjusted accordingly at the sole expense of the Buyer.
b) Prices do not include any State, Local, or Federal Taxes; costs of fees, permits,
licenses or bonds; or freight and insurance as applicable.
c) This proposal is based on SEI standard manufacturing specifications and
inspection plan. Any requests for deviation from these standards will have to be
requoted.
Copyright 2025 Siemens Energy, Inc. Page 11 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
d) Each scope item quoted per the above pricing is subject to prior sale and is based
upon acceptance of a signed purchase order in the applicable factory, service
center or field service branch location with necessary information and
authorization to proceed and release for manufacture, repair or mobilization.
e) The price breakouts supplied are for evaluation only and are not to be considered
as standalone efforts by SEI unless specified. As such, should Purchaser choose
to perform only various portions to the total price, the scope preferred will have
to be requoted.
f) Aside from the above, the Client has not reported any other 3rd party field
modifications to the equipment and has similarly not reported any existing aero-
performance, mechanical, reliability,and/or metallurgical issues with the existing
equipment. This statement was considered in developing the scope of supply,
price and delivery quoted herein; if this statement is not accurate, the Client
should provide additional details on any existing issues or modifications that
should be considered in Siemens Energy'evaluation. Failure to disclose 3rd party
unit modifications may result in scope, price and delivery adders if brought forth
after order placement. In addition, 3rd party unit modifications not reported to
Siemens Energy may void any warranty claim.
4.� TE S C ITI S
Seller hereby offers to perform the services detailed in this Proposal, governed
by the �ONG TERM PARTS, SERVICES AND INSPECTIONS CONTRACT C-5661 is
entered into as of September_, 2011 (the"Effective Date"), by and between
the CITY OF REDDING, a municipal ("Buyer"), and SIEMENS ENERGY, INC., a
Delaware corporation ("Seller")., in effect at the time the work is performed.
�.� VA�1 I
This proposal is valid for sixty (60) days, unless otherwise extended, modified, or
withdrawn in writing by SEI. The return of a purchase order or any other
reasonable manner of acceptance communicated to SEI during such validity
period will be sufficient to form an agreement on the terms and conditions of this
proposal.
4�.� S IP E T 1 C TE S
For the Start Motor Replacement, described herein:
a. Hardware will be ready to ship in approximately 32 weeks after receipt and
acceptance of a purchase order.
b. Incoterms: delivery, title, and risk of loss or damage shall be DAP Redding
Power Plant in accordance with INCOTERMS 2020.
c. Freight costs are not included in the price quoted; they are additional and
prepaid and shall be invoiced at cost plus ten percent(10%). Estimated freight
costs are $22,000.
��� 1 V ICI Y E T TE S
Hardware and Engineering Payment Schedule:
Copyright 2025 Siemens Energy, Inc. Page 12 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
1) 50% with order placement
2) 50% upon notification of readiness to ship
Invoices for time and material or extra work billing may be issued approximately
weekly.
Final invoices will be issued based on 100% completion of the work scope.
Payments are due and payable net within thirty (30) days from the date of each
invoice.
�.� C E
If the Buyer decides to move forward with this upgrade, a change order to the
LONGTERM PARTS, SERVICES AND INSPECTIONS CONTRACT C-5661 will be
issued as per the change order process defined in the contract to capture the
changes. , to "Notwithstanding any statement to the contrary in this change
order, the parties agree that the only terms and conditions that shall be
applicable to this purchase order are contained in LONG TERM PARTS, SERVICES
AND INSPECTIONS CONTRACT C-5661, in effect at the time the work is
performed. No other conditions printed on the face or back of this purchase
order shail apply."
�.� C C LL TI
Cancellation Charges: The Buyer may terminate or cancel, for convenience,
further performance of all or any portion of the Purchase Order at any time by
written notice to Seller. The scope of supply and all hardware that has not been
shipped prior to cancellation shall remain the property of Siemens Energy, Inc.
The Buyer shall be charged a cancellation fee in accordance with the following
graph:
���.
�
�..
�
�
�
�
� ��
�
�
�
�
� ��
�
�..
�
�
�
� ��u
�
� � � �, �
�a���a���:�����.�c�r���:�������
Copyright 2025 Siemens Energy, Inc. Page 13 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
�4.� C CI L C TS CL IFIC TI S
4.9.1 Customer utage Satisfaction Survey
SEI is dedicated to providing our customers with exceptional world class
service. Within five to fifteen days after completion of your outage, you may be
asked by ComSim to participate in an outage satisfaction survey. As a valued
customer,your participation in this process is greatly appreciated. Your feedback
allows us to continualiy improve the quality of the service that SEI
provides. Please include the name and phone number of your company's
representative that should receive this survey on your purchase order or provide
to your SEI Client Manager.
4.9,2 Expart/Import Compliance
Purchaser acknowledges that SEI is required to comply with applicable
export/import laws and regulations relating to the sale, export, import, transfer,
assignment, disposal and use of the Products and information provided in the
performance of the Services, including any exportlimport license requirements.
Purchaser agrees that such goods or information shall not at any time directly or
indirectly be used, exported, imported, sold, transferred, assigned or otherwise
disposed of in a manner which will result in non-compliance with any
exportiimport laws and regulations. SEI's continuing performance hereunder is
conditioned on compliance with such exportlimport laws and regulations at all
times.
4.9,3 an on re-exparts to ussia and elarus:
SEI hereby prohibits to the Purchaser, and the Purchaser agrees, not to re-export
andior forward directly or indirectly, to Russia or Belarus for use in Russia or
Belarus any goods (hardware and(or software andlor technology and related
documentation, regardless of the mode of provision) sold, supplied, transferred,
or exported by SEI to the Purchaser under this project.
SEI shall be entitled to terminate this Agreement by written notice in the event
of a breach by the Purchaser of the obligation pursuant to the article above. Upon
termination, the Purchaser shall pay to SEI all costs and damages incurred by SEI
from such termination. In any case, the Purchaser shall pay SEI liquidated
damages in the amount of 20 % of the purchase price.
Notwithstanding the provision in the article above,the Purchaser shall indemnify
and hold harmless SEI in full from and against any claim, proceeding,action,fine,
loss, cost and damage asserted by public authorities or other third parties against
SEI arising out of or relating to a breach by the Purchaser of the obligation under
this Agreement and the Purchaser shall compensate SEI for all losses and
expenses incurred resulting thereof.
4.9,4 Starage Facility ption
SEI's services business engages in the business of storing equipment in Qualified
SEI Storage Facilities ("QDRSFs") on behalf of its clients. To accommodate project
Copyright 2025 Siemens Energy, Inc. Page 14 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
delays and/or maintenance scheduling or delivery changes, SEI offers its clients
at their sole discretion and convenience, that they may provide instructions in
writing at any time for SEI to store the equipment subject to this order in one of
its qualified storage facilities after completion of the above quoted work scope.
Such storage shall be in accordance with SEI Terms and Conditions for the
Storage of Client Equipment. An additional installation and removal fee for the
equipment may be quoted if required. Client acknowledges that it holds title to
the equipment in storage.
Copyright 2025 Siemens Energy, Inc. Page 15 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
i i - i i �
C-1 DURATION /SHIFT ARRANGEMENT f PERSONNEL
��������,��
REU CT5 Start Motor Upgrades
Preliminary Start Date 2025-04-14 Quratlon Shift schedu€e
Estimated Completion Dafe 2026-04-97 4 Days 1-12-7 Shift
Pricing quoted af the foElowing ra#es:
8E1 PL1727 2024
Final pricing wiil t�e bi[ied in accordance with the Terms and Conditions and ftate 8heets In effect af the time of work execution.
C'2 T � 'i.� T
C
"�'�"�'" lk�1 �1��Ek� .. k5t��t� �` �'�� .
���. ���� �P
;�ti
�2EU�T�S St�r4 l�lc�trac U��ra�Ees
�� ' �t���� .. �
" d� 're�� .
Standard Time N�u€Iy 32.Q US[}42t7�f� p.�} U��t 42Q.C3ti sJ��}13,440_t�t�
C�v�rt�me Hcrurty 1F.Q iJS(��3{?.f?t} t�.Q USD 63G�.Qt} t�fi�1(7,#JBJ.(}4
� '�
���.
� _ 6�` �., �
�tandard Trme H�ur1y �2.t3 4JS[7 36(�.(7t3 p.(} USI7 36�.t3tl US�?'11,�20 i7t7
�vertime �Ic�urly 1�i.t# �!S[��4t�.�(} (}.� L3SC�5�t�.t�C} t3;�7�,64f}.C7f�
� "�
���� ���� �� � : � ;
"��"�����a���� :-
�t�sndard Time �iour]y 5_(1 U i�333_(}�3 p.(} US�333.t3EI US�}1,665 flCD
1
����
�� . �. ' �� �� � .. �-f�} .
St�ndacd�firne . Hc�urly 32.C� USI�2�5.QQ p.p t�SC1255.GlC} lJSt3�,1fit�.QQ
t3uertime Flcattt�y 16.C1 �1 aC7�85.Q4 {}.� �l�C)385.4{� l3SL7 6,16�.{}{3
�
�
'�' tt�F� . . �€et�d 1� "���
��i� ��#�t�t�� �i�+�ie;
� .' � : . ���'
Tr�vel�f�rsdard T�me Haur3y 1fi.(} USL7 24t3_Cltl p.� E1�[�2��i tYC� �l�1�3,84(1.f3�
�tand�rd Time N�ur3y 1f,.� USt7 2��2.t}(} (�.p USE�24(I_�7i1 1JSD 3,844.Q�
LL�vv�rEime Ncru�y f3.t� �7SI3 36{�,(�Q (}.CI LlSQ 36t�.�JC3 t1S[3 2,�8C1.t7C�
� " �
�"� .< ,,.
�tand�rd Tom� Hc�ur3y �r4_t� F�SC?143.C�t1 p.p llS[�185.9�t U5[�9,152.i7t�
(7ve�tirne Hcrur#y 32.C7 CiSI�214.5t} p_t� USC?37£#.�� U�E��i,�3�i4.tl{�
St�#ltti�I ' �3^�E7$6,2�t1.Utt
�rlanpc�wer Hours Ts�t�l US��6,249,�t1
Copyright 2025 Siemens Energy, Inc. Page 16 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
�"�c��n�i���i�Ia� Qc��r�titge �JC��I €►u�ati�r� �+rlc��+a� "tc�tat
REU CT5 Start Mator Upgrades
ScafEoiding 9.t10 Lump Sum 0.4Q 27,838.40 27,638.00
GRS 1Q6Q3{Start Mcator Coupir�g tooi) 1.�(3 Monthfy 9.00 1,300.�0 'I,300.QQ
Haist Rigging Rack Klt 1.�0 Monthly 1.00 1,950.�4 1.950.�p
Taol Shipping 1.00 Gost+15°I 1,00 1,300,00 1,�OO.t70
Weiding Equtpment and Cflnsumables 1.d0 Monthly 1A0 1,95Q.t}4 1,954.Q0
8ubtotal 34,158.��
�� �G1 ci� �� � . "�`
�czt51[}etrlt�b-W�td2r L€�rrsp�urrt 1.t1[} 1,825.(1f} 1,825.t}U
�3aiEy Expen�€�s UUetder Per Shrfit fi,C3tl 3�5 t�� 9,�8Q.(�(}
Da�Ey Expense Per 5hift 92.QQ 3�5.C1fl d,�4�7.t�t�
�ac�E P�r€�iem Per Shift 1�.C3(7 154.4t7 2,7Q4.t34
Su�total 1t#,�4�.O�S
�ttb�t���� C���}'��'�,��4.Q�
�11SG�JCICi� -�..��[�13,"���.�{}
EStllnatet�TC�tai i��D�['!$,1�I�1.��
�urrency tl.S.I�t�19�r
Copyright 2025 Siemens Energy, Inc. Page 17 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
i
A-1 GENERA�COMMENTS
B-1 DIVISICIN OF RESPQNSIBILITIES
-2 FI L S VIC C TS C IFIC T1 S
Copyright 2025 Siemens Energy, Inc. Page 18 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
I -1 -
1. Re-Use of Existing Components
Existing components that will be re-used are assumed to be undamaged, free from significant
defects, and in serviceable condition. Any components found to be unusable will be identified to
the Client and quoted at the time of discovery. Costs and/or delays associated with unusable,
existing components will be the sole responsibility of the Client.
2. Compressor Noise
Noise measurements are subject to many environmental factors beyond SEI control; thus, no
guarantee of maximum noise level shall be made. Any estimated sound pressure levels provided
are for information only. SEI is willing to assist the client with any required corrective action at
the client's expense. Assistance can include aid in design, construction, and installation of suitabie
modifications to reduce the noise to an acceptable level.
3. Special Shipping Packaging
The supplied components will be packaged for either long- or short-term storage and wood
packaging may be fumigated depending on the end-user location or preferences. If no special
shipping packaging is necessary or required by the client, SEI will proceed with employing internal
shipping and packaging standards.
Note:SEI shipping packaging standards can be suppiied upon request.
4. Specialized Cleaning for Chlorine Service
Chlorine gas can react with any residues of grease,wax,or oil present in the compressor flow path.
This exothermic reaction has the potential to cause a chlorine-iron fire. As such, SEI highly
recommends that specialized cleaning of compressor flow path components in direct contact with
process gas is conducted during the assembly process. This scope is not included with this offer
but can be quoted separately by a SEI service center specifically approved for servicing chlorine
units.
Copyright 2025 Siemens Energy, Inc. Page 19 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
i -1 - iii ' � � � t )
The following DOR is sourced from Redding Long Term Parts, Services and Inspectians Contract Dated
September 6, 2011. The following listing is generic and specifies key resources. Not all resources are necessary
for the proposed scope of work and assigns responsibility for their supply either to SEI or Purchaser.
l��t�: � = ��c�p� �����r���r�t, � -� �+���+�r���b��, � = �+�����t� ���I�r �c�y��°
� � � *��
a � �, i � � g � t� �� t' � r $� �� ' s,
�, � � e.�` &v x . � � �q � ��
��:'� `` � ��� �.+ !n. 6 9�,�. .�' � �a'� 3S .e���a u �� , f .��a �Y&�'Y'�''�s�.s�.���^s,t .:�fi.€�e .�f�6������ua r i&_
������+r��� ������f v��ir� ��c9 �rcav��� � �����i�t� ���r�i�rrr��ra�
� �
��t� � .
��vi���t�e �v�i���il�� c�f r� ��r�� ���� � ��t�. � � .w
��vi��r c���T'�r�i�� s������ tc�c��� �i���i����y���p1��d �i�� r�������,
����I���� � � �i�#�r b�r°��r��� ����r��� �., �c�rc���ca�� ���� � �
ir������,��ic�� �r�d ��rr�c�v��.
.�
��v���v �i���ir�� �����r�r����� �r�� �r�►�r�r�� ���car���rt���i�r�s ����ar�� � �
���� �.
F���ri��r����� �n� ���f���din �� �i��r����� ��d ���� �� �r�►t. F� �
��vi��r f�r�k �r�ca�� r� �ir�rn����. �t �
����+��g����s �r�d ����� r�t r���i��rn���� �r�� �r�v��� � �
���t�rr�r���t�����r��.
���r���v�ir� ���t�c���� r��u"�������� �r�� �r�vi�� r���r�r�t�r�d������ � �
����r� �u ��rrr��r���l f�r� r�����ica� ����t�r��.
���#�v������g� �r�d ���I���r� r�qu�r�rra�r��� �r�� ���vid� � �
r� rr�rn�r�d��i�r��.
���ri��v ��r���� ����i�l� �[�a�'�t� ��` �� �re�g��� t� ���t��� ��br��,
�c��►�� �r�d ����r rr��teri��� �� n�� �r���r c�r�r� ��� ir����� ��r� �����rr��r�� F� �
�h�� r��y����� ������ �r�c���r���c�r��� �r��l���.
�����s� � �i���r��3 ���� �r�f����r���r� b �� �r� .
Copyright 2025 Siemens Energy, Inc. Page 20 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
� ������ � �r
� '� �Y .� � �3s,�T� r �v�n,X� t, 4� att NwyY 'f6 Y fi Y � ] �� i��b'n Y �� #�i . (47k P 4��.�i>W t� aE 7 �,�}`
�
���. a� r ��z ,It�4,�.�i" `s"����;�<�� .��tiw���`��tdt i o�`��,xr? ���,?s�uz, �x; �����;�i'�� ��i(������'i �$t�t�.�'�$x§,; ? pfY��l#��r`rs�����.�
�����+d� �'���� ����r������ �"������i��� ��t� �������i��t��� r��,�ir�� ��t��
� ��� �`����� ��� �������������d d ������������ ��� �� ����
� �d�r� "��������� �� ���� �����r f���1�����������a��� �� .
�r��id� ������� � ����� �������� t�i� �����t�� � ����t�����
������������ � ������ ��"r������t����� ��i��� ����� �������� �
��t� ������ � ��a�� `�[�t����� t�� ��t���� �r����
������ ���� ���� �� �
���
t�t� �����i������ ��r��r���������� �t�����. ;�
�����r������� � ������. �t
��������������� �����
��������� ��d ���� �� �I ����a� �, � ��������r�� �� ���t��r��, �
����.
�����r���������`�r����r���� ��� ���� ;� r� r����� ����c��� � �� ��t��i��, �
�� r� ����d-0
��r��f��� ���t�����������r���r��}� �� ����s����. �
`�" a.� ;., . �e't y�,v '.�§ .t .t.�,��,�t��,�a�x�?�a�+: a �`' s e�: � rn, ji ��� r9t;�,M�'��, ;.... .;�';t^�u.t�.�; xt t';�c.,�;�;9�i� f(2r,#��,a�x`��ti, ¢��'�� �x, ��,�..� a a��,' lax.,�,ds�x j.�',.'�.
" ,F�,�... 4 '� a�'§,x.t t�s�., s,:: Y �� '� � �t4, . �2 r�a�£�. ` ,yx.tv..:< y t , .,��.,��, s. P .�9 r . a
�'�:�£sa.�t�'f�#,�.3'��:��a�,�+ :, �#�, ����st���;�u�S�`�kF��"�*r,�..�x��da�,r,��y�;at��r i�.€.��.a�,..'�x s'�"13Yrr�eao-4r=�, 3,"h„2�,,.,.�a.. �l,��y��rk§,a��`�,� .7`�.��.�x°F.;, aa,�,�7's,;���+�aki'�6� ,,.w, ��,,�a:'a�s"�i<f�"�i�a.:"..
t������ ����� ��°°����► ���� ����dl��r� ��d �b���� ���� �� r������� . � ,�
��������� ��� �E����� � . � �
��������r��� �� ����d ����+���r���ti���. � .
��� ����`s�y ���,�t�� �� �������I� r��r�� �r�r�� ��������r��� � �
������t � �� ���� � �����t�r�r� � ���� �.
,� " .¢? � �� :�' , �F r a t s: £��`�63:. #���`d'`'rY �.,z °�4�`� � 4 �'�"' s,�«� s,��� f p� � {������!a ���;���"�f��a�s�z�s�i��`�#���k� u��:� �'��,mvt}yat��a',���.
�
°�p �
� : � ; r.. ,r � : .,c ... . .o-�s� ...vi .�k� �F.F��;. "..�.���z�S , ! �;e° ,r f ,9,e��,�t�Y a a§,�v,..is mX4�,#�� 3 E, tr e.r..�a 3 k h� ;d�' i «v�,�+w.Y,.:,.. #,.s}u'yx ba�.r S,#�,"'��a'+`�G4�+: `�'�"`+w�w�'�7.'�,
�rc���d����� �����������������. ,�
����id ������ tc������������"T��or�����r�� �r��r��tc�r��o���� �� r������� � _
������ � �� �.
�� r��3�b�� r����ri���#�����������r� ��� �k �
��r�� ��� ��v� � �����r� ���ri�� ��� �����i��. �
�r����� ���, ��� ��r�� ����r ��, ���� �r�, c�����a���� ��� �
���r� ����� ������� .
������������rbir� � ���I� �� �����r����y��p����r����� �� �r�i�;
�� ���t � l��� ����`r��t�� ������� .� b�r�� ��� i�����C ���� �d �
r� ���6���t� x
�'r�r���� ��`����r�� ���� � ���� ���� ������ ��z� �� r�� �ir��€�r � ��������..
Copyright 2d25 Siemens Energy, Inc. Page 21 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
���������� ��� ��.
'���t�r rr�����lo���� c������tc�il������ c��������t�C. "`.. ��� �
.��
�r���i�t ��r f�r�i�rz��r������f. ;�
#� p;g$.�*���.y[�gys�g�g��Yg�p� #� � #} ��+ $ @g �p {;gp@�¢� yy@+'�}qyp�o�g �g�) gp� Eyy . �
S�d��L�o Cti,"&�Ik&i Sel:i%b.t�d�iJ�� �l. �&6�C5 �0?d� iAPifMvld�idi 6m+'"�"'hd°�SdYF�� SbS� �m�'»i�#&�a ....
�� t3 i : � �4+Vff��i!#k�*+�4�7����LT�����b��bF��t�kII 4C��5✓�G ...... �LMd���1{bv'✓E 4� � . � ..
� L+€�V'G'*�» �� . ..
�r��sd�����r��f���rr p�������r���� r���ir�d���a���r�r�t��r����d�rir�� �
r��t��"t���t�r�����d�€r�t���#���riti��,
m��. o-
�`��a��d�i�s�+�+�i�r����ti���ti�r�c�f er���c���r��v������r��a��s�� �ric�r�� �
�t�f� ��m
l���il��r��t��c��u e�r����r���rd�c�r�� ����ti�`t����, 7C
� �'�c��ii� rr����r�����r���r���r� �r�cl��i� ���r�������d��r�fi�����r�r�. � �,w
���`��r��� � �c��c.� ��t�nd�r� r�� ��t�����ti��. r �
t��r�npr����������� ��t���i,��ra�p�t�����r���r���r�.�r ,����F� r���ir��r��r� �
�c�r���.
�,�.,, .�
�
��1��� ����r
��g� � �'�` � � �, �`� �" ��a7� r�a��� �� � �� �� �*�����" ��$� �� �� ; � ;�,� ���� � � �
+.�'�'.r,u�"s » � rs�=k�^.�,��'��Fi€��.4 `�.�� �� � �is 5 ���. �E� h:�ri±F.�',t�'� � ��� s°°Es "� r�� i j� r±��+� }�1 ��.
,. p
,� ' x, , � �z, � • k �S �.ti,< xi� 3f n � nr��s?��„ s�s#.t. l,.�=, ,:Ar��.rs
�� � ...., t�, ,a,� . . s,:,
pg �+g. �jy qq�{ �+, ,,., .. .... . . . � .w. .. ..
I'"������r�,7t��*'��C`���GJ�9���r��'#� �'����������������� I"I6l�'tiF w���� . �. . .
, ���� �����i`J�e7�:�..,�k
't����i� �a���i�t� � , �r� ��� a � �
m.
�t�r� ���r� ���r��l��a������r tii�������1�� r� u�r��t�. �
�r��it��t��� �sr� i�r� ��r°�d t���������t�rb� �.,�.,�.,�a,w. ��
� � � } ��r��frc�r��#�z ��r�� �
��6�`r�rrr��t�a����r� ���e������t��
�c��pe���t���rc������ I�a��������nd���, �r����r��fc�r��iprr��r�t��� �
r �l�i�a �f� �� t���f��r�f°���r����
C�p�r���e�r��f�����gi���d���s�"tr�g, t�#li�� ������td �����ip����i�o�J��i�g �
��� ��r��i���r����,c���� I��ar� �s�� ���a�����.
�..
�3��s�����c��������a���i�������cs�������ir�t������d��r��r��i �
�r����1���ic�r��f�r�r��r�i���as���e:t �w
��rt�c���l�r�e��� l���r�����f�t�s�i«��b��� �n�������t b�������. �
����b�����i�a����t€c�s���s�'�e�����t��c�1� ���� � �..,
����s��6������r�i��a���c�rt�rt���������� �t�ir�����ir��rsa�����1 �
�c��t��r��� �sb��t���i��� t�rai�r��. `
��nt�����s�c���� ���c�f 3��� �ir��w �
Copyright 2025 Siemens Energy, Inc. Page 22 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
'T���� r���ir�����d di� a����� `��. � .,�.,
.�.�.__ �
�il�l���a ���gr�� i��� ` ���pr������ �S���I����p��r�t����t€�� �
�`��rt�� �t��t��b����',
.�.����, �
�8� ���( ��r��c�c�� : �����2�Q�`�3�g��p�����o�����t���� t���� �
���� w �� m� �.
���.
�r��6� �t�r��. �
__.�.�..�..�..� �
������r��i��I��r���g�a����, �r��#��r��rt��t��r��r��1k�� ������ �
� ����i "��th��t����� �c��r,�t���� �r���� �����1��ti���i���i��,
��r� a���t� � �ai ���t ���r� I�r�t���ai���r���. �C
�� �in���t����� �
��m �� ��.
�il��,�h��pr�r�t��:ti�r��� �fc���i����n��i���#�rink�r�����r����r b� � _
t���� � r��
C��-�i��f€���i����i����������r�b�a����� ° i��� c�ir�� � � � �� ��,
�mw��
�t�fft����et�rs�t rr�r��t��r�t 6�y d� �����r��r��p s��r����r�� �������r�
��€����r����i���'T�� ���i��E����t��aE�ra���� �k�r���rr.�� rr��s�ia�� X
I�������i� .
�,�,��
��t�ts��1 c����r��b����l���f����r��:��r �s������a��#��� �r��l r��°��{l��
t�t��crr�����r����r�t���d��ca�t��r�r�r���t�����������������n�i�� �C
�ar r���r�������r fre�rr� ��f�r�� ��� r��ta�lit� 6������f��r.
�� �
� �`"h��� ��t������ ���I� ��� �r���� ����� �����s���d ��� �rr� ��t� � ����t����
I — I I 1 I 1
This offer is subject to the comments and clarifications specified below. The intent of these
comments is to better define the scope of work and responsibilities of all parties in performing the
required work.
1. Removal of bolts, studs, pins, keys and other parts by burning,freezing,drilling, machining
or by other abnormal means if required shall be provided on a T&M basis as Extra Work
under our current published rate sheet. The Purchaser shall furnish new hardware when
destructive removal is necessary at no charge to SEI. SEI will discuss this abnormal
procedure with the Purchaser unless the problem occurs off hours, and a schedule delay
would result.
2. Monitoring for and removal andlor disposal of all hazardous material such as asbestos
bearing materials, lead carbonate, etc. are not included in SEI proposal.
3. Removal and reinstallation of the fire protection system, including fire protection
instrumentation, electrical equipment and instrumentation, conduit and piping are not
included in this proposal. All electrical disconnects (motors, generator bus, etc.) are to be
performed by Purchaser.
4. The Purchaser will provide all spare parts. �ack of spare parts when needed may delay the
completion of work. Any such delay will be billed to the Purchaser on a T&M basis per the
current rate sheet. Large spare parts and materials, which cannot be transported easily by
hand, are to be provided by the Purchaser directly on the equipment deck or under the
station crane prior to the outage start date.
5. Supplier will provide general tooling for the scope of work. No special tooling required.
Copyright 2025 Siemens Energy, Inc. Page Z3 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
6. The Purchaser is responsible for the proper operation and availability of the overhead
crane. A crane inspection is required, and a load test performed prior to the outage (no
more than 12 months prior). The crane shall be made available to SEI and its
subcontractors on a priority basis; however, SEI will share the use of the crane in order not
to adversely impact the outage completion. Any and all crane delays/problems will result
in a delay charge to Purchaser.
7. In the event that the Purchaser provides scaffolding, SEI Quality Assurance guidelines
require that the Purchaser ensures that the scaffolding is inspected by qualified personnel
prior to each shift. The Purchaser is to ensure that qualified inspection personnel are
available each day that the scaffolding is in use.
8. The Purchaser is responsible for directing SEI regarding where to place heavy loads on the
equipment deck (i.e. lay down location, rotors, etc.) in order to comply with the design
floor-loading plan.
9. In order to assure effective communication and timely response to project needs, it is
expected that the Purchaser will provide a Plant Contact with EWA signatory authority on
a 24-hour basis for the work duration for assistance during the outage to avoid delays of
the project. The Purchaser and SEI would each provide persons for interfacing, with the
authority to represent their companies during the time SEI is performing work.
10.The craft manpower loading, and work schedule may change depending on the work
scope, inspection findings and at SEI discretion. Any schedule float on SEI tasks will be the
exclusive property of SEI.
11. Rotating and stationary component repairs beyond what is explicitly included in this
proposal are not included in the price. SEI can offer repair as an option and, dependent on
requirements, can either complete the repair on site or ship parts to one of SEI's authorized
workshops.
1 z.Should disassembly andlor inspection findings reveal that machining is necessary, the
Purchaser will be notified, and a quote revision will be made in accordance with the Extra
Work and Contingency Planning
13.SEI will communicate inspection findings and any recommended repair scopes to the
Purchaser at the conclusion of the inspection process.
14. Purchaser will remove and replace the lubrication oil and the control fluid, if required, and
inspect and clean the tanks. The Purchaser will provide the necessary jumpers and/or
fittings to complete lube oil and control fluid flush. Normal flush time is 1 Z hours and SEI
recommends this duration even in cases when new oil is supplied.
15. It is anticipated that there will be no delays caused by the Purchaser for safety related
issues, special permitting requirements, work area admittance, plant admittance, or safety
meetings and pre-outage orientation during the entire outage exceeding a total of 2 hours
per person. Such delays impact the schedule and will be billed on a T&M basis per the
current rate sheet. SEI shall not be held responsible for delays resulting from the actions of
the Purchaser or other personnel not subcontracted by SEI.
16.Checking the coupling alignment is included in the price. (The SEI standard methods are
rim and face dial indicator, reverse dial indicator, and straight edgelfeeler gauge.) Major
realignment (moving the case), if required, will be considered Extra Work and will affect
the outage duration and cost. The determination will be made when the coupling
reference readings are recorded following the unit cool down.
Copyright 2025 Siemens Energy, Inc. Page 24 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
17. Final oil circulation/flushing is recommended prior to placing the equipment in service is
not included in the scope of work. This service may be provided on a Time and Materials
basis.
18.The above scope of work does not include mechanical start-up support. Any required time
for start-up support will be billed on a Time and Material basis.
19.SEI and the Purchaser will coordinate a milestone schedule for interface points(i.e. oil tank
draining, electrical hook-up and disconnects, I/E personnel needs etc.) after the receipt of
the order. One pre-outage meeting at site is recommended to review this proposal,tooling
and parts.
20. Electrical Requirements
a. 110V, 30 amp service
b. 480V, single phase, 60 amp service
c. 480 volt, single phase, 100 amp service
21. Pneumatic Air Requirements
d. a.110-150 psi shop air for pneumatic tooling
22.Containment and disposal of inspection chemicais are the Purchaser's responsibility.
23. Installation of the equipment shall be conducted in accordance with the installation
manual. In the event of a conflict between the proposal scope and the installation manual,
the installation manual shall take precedence.
24. Installation of the equipment is predicated upon the existing foundation being suitable for
continued service without any modifications. Any deficiencies that would prevent direct
installation of the new equipment shall be the sole responsibility of the Purchaser to repair,
correct, or modify. Any delays to the overall project schedule shall be handled in
accordance with Contract Extension
25. In the event that process piping is misaligned to the equipment causing excessive stress
on the flanges, corrective actions will be the responsibility of the client.
26.All parts replaced will be disposed of at the Service Center.
27. Notwithstanding anything to the contrary, a signed letter of acknowledgement that the
client has purged and cleaned the equipment must accompany all equipment orders
shipped to SEI. R Service Center Representative may provide the letter of
acknowledgement template.
28.Quoted repairs that are not released by the client within 45 days of will be moved from the
shop work area for safety reasons.The equipment will be stored at another location within
our facility until the work is released for repair.
29.All inspection findings are made in reference to OEM and Industry specifications,
tolerances, and standards.
30.Shift ArrangementlDuration
Any change in the shift arrangements specified above may result in price changes for
additional overtime and inefficiencies that result from either acceleration or deceleration
of the work or as a result of extra work.
SEI holidays are not included and the premium portion would be extra.
31. Extra Work
Copyright 2025 Siemens Energy, Inc. Page 25 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
Any additional work including but not limited to, repairs, additional fitting of components,
and re-alignment of internal or external components performed by SEI which is beyond
the scope of work defined in this offer wili be billed on a time and materials basis in
accordance with Field Service Rates in effect at the time the work is performed and/or as a
firm price offer if performed in one of our repair facilities.
32. Mobilization
Mobilization is also contingent upon assembiing the necessary equipment from our tool
facilities located in the USA. SEI has already assembled kits which contain as much of the
required equipment as can be generally applicable.
Additionally, our estimated costs for mobilization are based upon being able to use a
dedicated truck shipment of tools from our facilities to your site. Should less than the
requested time of 90 Days between receipt of an order and site mobilization require the
use of expedited shipping arrangements andlor overtime in preparing the equipment, the
additional cost will be charged as extra work.
33.Contingency Planning
Should inspections findings and subsequent Engineering recommendations show that
additional repairs are required; SEI will make every attempt to provide any needed repairs
depending upon the immediate availability of resources. Immediate contact should be
made with your District Office representative to identify resources andlor to develop a
contingency plan.
34. Replacement Parts
Purchaser warrants that any and all third party parts which may be the subject of any
performance under this agreement shall be (a) fully compatible with the corresponding
part, component, equipment or material of the Original Equipment Manufacturer (OEM)
in terms of form, fit, and function; (b) timely provided to SEI hereunder; and (c) capable of
installation in the same manner and within the same time as the corresponding OEM part,
component, equipment, or material.
Purchaser assumes the entire liability and risk arising out of or resulting from third party
parts. The warranties and remedies set forth in this offer does not apply to third party parts
or performance relating to third party parts, and SEI disclaims any and all warranties and
remedies, whether statutory, express or implied (including all warranties of
merchantability and fitness for a particular purpose, and all warranties arising from course
of dealing or usage of trade), or otherwise, for or with respect to third party parts or
services on third party parts, or any OEM components repaired or replaced by a third party.
35.Obstacles of Interference
Any obstacles of interference that may be encountered by SEI prior to or during the outage
which may hinder or prevent SEI from performing the work outlined in this offer will be
removed by the Purchaser, if required, or SEI will complete the necessary removal and
invoice as extra work.
36.Site Safety and Security
Safety and security training and screening are based on SEI standard policies. This proposal
does not include additional time andlor expenses that may be required to meet site/project
specific safety and security requirements unless specified otherwise in this proposal.
Copyright 2025 Siemens Energy, Inc. Page 26 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
Special requirements including, but not limited to,sitelproject specific background checks,
drug testing, safety training or certifications, or badging will be considered Extra Work.
37. Delays
Delays in performing the work, out of SEI control, will be considered and billed as extra
work. The price and schedule offered assumes that Purchaser will supply or arrange for
the required support resources as defined in the Division of Responsibilities, in a timely
manner.
38.Weather Delays
The prices and schedule durations make no allowance for extension in outage duration
and/or delays in work progress as a result of inclement weather. Any outage extension
and/or delays in work progress due to inciement weather will be documented and billed
additionally in accordance with the extra work and outage extension provisions of this
proposal. Purchaser is responsible for providing weather protection.
39.Crane(s), Lifting Devices and Rigging
Purchaser is responsible for ensuring that all Purchaser supplied cranes, lifting devices and
rigging are available in good Working condition and are inspected and certified per all
applicable local,state and federal safety requirements. Purchaser is responsible for making
sure that all documentation and certifications are available for review by SEI prior to the
outage.
40. Priority Use of�rane
The above price is based on SEI having priority use of the crane during all work. Delays in
work due to the crane not being available, would be considered extra work.
41.Contract Extension
This offer is based on performing all the required work in continuous succession. Any
extensions to the contract in performing the work out of the control of SEI shall be
considered Extra Work and billed according to the rate schedule valid at the time work is
performed. This also applies to Stand-by charges and additional expenses incurred.
Additional equipment or tool rental shall be billed as necessary (if applicable).
42. Hazardous Material and Waste
SEI has adopted a waste minimization program and will only bring to the site the quantity
of these materials necessary to perform the intended work scope. Material Safety Data
Sheets for all applicable materials brought on site shall be submitted to Purchaser for
review and acceptance.
Any hazardous material or waste generated, as a result of the work performed by SEI, or
any unused portions thereof, will be disposed of by and to the account of Purchaserv
SEI will not be responsible for the removal or disposal of any asbestos material, which may
be encountered during the project. The price offered assumes that Purchaser has removed
all asbestos bearing material prior to the start of the SEI work scope.
43.Asbestos Containing Materials
In no event shall SEI be obligated to install, disturb, handle, remove or dispose of any
asbestos containing material (ACM) andlor any presumed ACM that may be encountered
during the project. The price offered assumes that all ACM has been removed by Purchaser
Copyright 2025 Siemens Energy, Inc. Page 27 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
prior to the start of SEI Work scope. There may be additional costs associated with Working
in or around an asbestos environment. These include, but are not limited to, asbestos
education and protective clothing. SEI will inform Purchaser of these costs as they arise.
This effort, if required, wili be Extra Work.
44.Thermal Insulation
Removal, replacement and clean-up of thermal insulation will be performed by Purchaser.
Should Purchaser require that this Work be performed by SEI as part of the outage Work
scope, SEI will subcontract this Work to a qualified subcontractor. SEI personnel are to be
protected from any environmental hazards associated with the removal, replacement and
clean-up of thermal insulation. Disposal of all thermal insulation material generated as a
result of this Work will be performed by Purchaser.
45. Lead Coatings
Testing for lead content in paint and other coatings must be performed by Purchaser prior
to the start of the outage. Nowever, if requested by Purchaser, SEI can perform the testing
for lead content prior to disassembly as Extra Work. In either case if lead is detected, in
any concentration, using any recognized analyticai method (including but not limited to
XRF, Field XRF, Chemical SpotTest, etc.), Purchaser is responsibleforthe lawful and timely
removal and disposal of the lead-containing materials. Purchaser is also responsible for
any Delays to SEI as a result of the lead coatings.
46.Confined Space
This inspection on Purchaser's Unit may require SEI's personnel to enter and Work in a
confined space and would be affected by OSHA 29 CFR 190.146, "Permit Required
Confined Space Law". This law requires the monitoring of air in confined spaces as well as
a written permit system, the training of attendants and entrants, constant communication
and a rescue team. SEI requests the following support from Purchaser in order to comply
with this Law.
1. Perform air sampling of the confined space and clear the vessel for entry.
2. Provide a dedicated "qualified attendant" to stand by the opening, maintain contact
with the entrants and to activate the rescue team, if necessary.
3. Provide access to a rescue team. The members of the rescue team must all be Red
CrossICPR certified, SCBA certified, etc. and must have successfully performed a rescue
at that location with a mannequin or employee.
SEI can provide items 1 and 2 at an additional cost, if requested by Purchaser. However,
due to the unique requirements of the rescue team, Purchaser is to provide the
requirement of item 3.
47.Welding
ASME Code rules shall be fully complied with where this procedure is used on ASME B & PV
Code, ASME B31.1, or National Board Inspection Code ANSIINB-23 fabrication.
For non-Code applications Siemens Energy Engineering may waive specific WPS variable
rules. Turbines and electrical generators and their associated equipment are not covered
under the scope of the ASME B& PV Code Sections or under ASME 631.1 and therefore the
welding operations are not specifically governed by any ASME construction code
requirements. Wherever practical the intent of these Codes is met in the engineering
Copyright 2025 Siemens Energy, Inc. Page 28 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.
design and fabrication, however, the final acceptance of the design and fabrication shall
be determined by Siemens Energy Engineering.
When the fabrication is not covered under the scope of the ASME Code,welding procedure
and welder performance may be qualified in accordance with ASME B & PV Code Section
IX or, where applicable, in accordance with EN ISO 15609-1 : latest revision (contents of a
WPS for arc welding}, EN ISO 15614-1 : latest revision (weld procedure qualification for arc
and gas welding of steels and arc welding of nickel alloys) and EN 287 Part 1-latest revision
(weider qualification for steels). Final interpretation of this specification or of Code
questions associated with this specification shall be made by Siemens Energy Engineering.
Copyright 2025 Siemens Energy, Inc. Page 29 of 29 SF242276021,Rev.4
All rights reserved. Siemens Energy, Inc.Confidential March 31,2025
Siemens Energy is a trademark licensed by Siemens AG.