Loading...
HomeMy WebLinkAbout _ 4.5(a)--Award of Bid Schedule No. 5584 - System Hardening Equipment � � �' � � � � � � ' � �' � � ' � ` CITY OF REDDING REPORT TO THE CITY COUNCIL MEETING DATE: June 3,2025 FROM: Nick Zettel, Director of ITEIVI NO. 4.5(a) Redding Electric Utility ***APPROVED BY*** � �� .� �� , � �1c ct c, �yrectc� �ii' e in� tri�ttt32ity 5,'1)�?t�2� te�r� , ;� � ' �:r ��"?g/"�p?� nzettel@cityofredding.org btippin@cityofredding.org SUBJECT: 4.5(a)--Award of Bid Schedule No. 5584 - System Hardening Equipment Recommendation Authorize and approve the following relative to Bid Schedule No. 5584 — System Hardening Equipment for the City of Redding Electric Utility: (1) Award Bid 5584 to OneSource Supply Solutions for an annual evaluated price of $208,450.05; (2) Authorize the Purchasing Officer to extend the bid award annually with OneSource Supply Solutions through March 31, 2028, if mutually agreeable, with all prices, terms and conditions remaining the same; and (3} Authorize the City Manager, or designee, to approve an additional $83,000 per fiscal year as a contingency to account for unforeseen cost escalations including, but not limited to, tariffs and global supply chain disruptions. Fiscal Impact The purchase of System Hardening Equipment was included in Redding Electric Utility's (REU) General System Improvements Fiscal Year 2023-25 Biennial Budget and the Overhead/Underground Infrastructure Replacement Project for the Electric Utility Line Construction Services. These efforts are expected to continue into the Fiscal Year 2025-2027 Biennial Budget cycle. In the five-year plan previously presented to the City Council (Council), fiinding for this, including General System Improvements, was anticipated to be funded by bond proceeds. If capital expenses associated with these efforts are projected to exceed the approved budget, staff will return with recommendations for any necessary budgetary adjustments. Alternative Action The Council could choose not to au�ard the bid to OneSource Supply Solutions and provide alternative direction to staff. Report to Redding City Council May 28,Z025 Re: 4.5(a)--Award of Bid Schedule No. 5584 -System Hardening Eauipment Page 2 Background/flnalysis This routine annual bid to purchase System Hardening Equipment allows REU to order materials as needed based on evaluated quantities and warehouse inventory. System Hardening Equipment are materials that enhance the resilience and reliability of the power system by reducing the likelihood of faults that cause electrical ares. These materials are necessary to support REU's wildfire mitigation program and include equipment such as nonarcing fuses, covered jumper wire, fault indicators, and wildlife equipment guards. These assemblies are also required to support REU's planned infrastructure replacement projects, contributing to increased system reliability, and provide emergency replacement availability for existing facilities. On April 15, 2025, staff opened two bid proposals. Based on overall cost and product pricing analysis, staff recommends awarding Bid 5584 to OneSource Supply Solutions. Due to ongoing political uncertainty in the United States, vendors cannot reliably project future tariff rates. The requested contingency includes the standard 20 percent allowance for unforeseen cost escalations, as we11 as an additional allowance to cover a potential 20 percent tariff on imported materials associated with this bid. If such a tariff is enacted, the City Manager will direct staff to amend the purchase agreement to reflect any resulting cost increase. Tf the total cost exceeds both the base award and all authorized contingency amounts, staff will be instructed to cancel the award and initiate a new bid solicitation. Envi�^onmental Review This is not a project defined under the California Environmental Quality Act, and no further action is required. Council P�^io�ity/City ManageN Goals This agenda item is a routine operational item. Attachments ^5584 Bid Tab CITY OF REDDING PURCHASING DIVISION-TABU�ATION OF BIDS BID: System Hardening Equipment OneSource Supply Solutions Anixter BID SCHEDU�E NO. DATE OF OPENING 5584 WEDNESDAY,April 16,2025 Zettel TIME OF OPENING Hopwood 3:00 P.M. ITEM QTY DESCRIPTION UNIT PRICE UNIT PRICE Evaluated Total $ 208,440.05 $ 234,158.00 Corrected Total ��C��3.�G��.(�� S. Froeber-Purchasing Division