HomeMy WebLinkAbout1979-01-29 Min - Board 4V?
SPECIAL MEETING
JANUARY 29, 1979
The Special Meeting of the Board of Directors of the Truckee Donner Pub-
lic Utility District was called to order by President Maass in the District
office at 7: 15 P.M.
ROLL CALL: Directors Kuttel , Maass and Sutton were present. Directors Hatch
and Huber were absent.
EMPLOYEES PRESENT: A. Milton Seymour was present.
CONSULTANTS PRESENT: District Engineer Cook was present; District Counsel
Grumer was absent.
OTHERS PRESENT: Don Strand was present.
INCREASING SUBSTATION CAPACITY AND FINANCING THE PROJECT
Discussion and possible action - Review of recommendations re bid awards -
Award of bids - . power transformers, voltage regulators, reclosers
The Chairman noted the Directors were in receipt of a letter dated January
10, 1979, from Edward J. Wittman of R. W. Beck and Associates which included a
chart setting forth a comparison of bids received on Contract No. 1 - power trans-
formers, voltage regulators and reclosers. A copy is attached to these minutes.
He further noted that Mr. Merriman (R. W. Beck and Associates) has advised him
that all -the bidders have extended their quotes until January 31 , 1979.
Mr. Seymour made note of an inter-office memo prepared by Bob.Slattery,
General Foreman, and copied to all Directors. The memo, a copy of which has
been attached to these minutes for reference, related to the capacity of the
present Truckee Substation and the Tahoe Donner Substation and estimated re-
quirements of the substations for the summer of 1979. (Mr. Slattery 's memo
mentioned proposed loading and transfers which will provide adequate service
through the 1979 summer. )
The Manager stated that he has been in contact with General Electric re-
garding the power transformers and .also has been in touch with Sierra Pacific
Power. Although it was not originally Mr. Seymour' s intent that the Board
award the transformer bids at this meeting, he stated , General Electric has
advised that unless the District gives them an award by January 30th, they will
not be able to hold to the August 17, 1979 shipping date. Time factors relat-
ing to the installation of the transformers were discussed.
Mr. Seymour expressed concern regarding possible snags with the proposed
joint venture with Sierra Pacific Power Company ;(1 20kV project) . He suggested
ordering a transformer that is capable of either 60,000 or 120,000 volts to
insure that the District wi 1 l be able to make use of the equipment even if the
proposed project does not go through. He spoke with Jerry Canning and Max Jones,
both of Sierra Pacific; they have advised that, if the project is delayed for
several months , Sierra Pacific is capable of supplying the District with ap-
proximately 2 megawatts of additional power through their substation in Truckee
(near the mi 1 l) on a temporary basis. Mr. Seymour noted, however, that Sierra
Pacific has indicated they wi l l be going forward with the .120kV project; Mr.
Gremban, Executive Officer, S.P.P.Co. , has given his approval of the project -
the right-of-way agents are presently working on the matter, and it is expected
to be carried through to completion.
Mr. Seymour recommended that the District award the bid for l20kV trans-
formers at this time. He noted, though, that the District called for and has
received bids on 60kV transformers. District Counsel and Mr. Merriman suggest-
ed to Mr. Seymour that the Board award the order based on the bid for 60kV
transformers, then authorize a change order for 120kV transformers. ( I't was
noted that the regulators and reclosers do not change with the primary voltage) .
Discussion ensued relating to the joint venture, power requirements, loads,
equipment and equipment cost.
Relating to the legal questions raised by R. W. Beck and Associates '
letter of January 10, 1979, Mr. Seymour advised that, verbally, Mr. Grumer
1/29/79 Pg. 1
stated he could find no problem with either General E 1 ect r i c's or Wedco's
exceptions to the bid. Relating to the irregularity pertaining to tax (sales
tax) on regulators bid by Siemens Allis, the Chairman noted that in no way
could the Board waive this irregularity.
Mr. Seymour advised that General Electric submitted (the low) bid for
Schedule B, regulators; Wedco submitted the only bid for Schedule C, reclosers.
Director Kuttel moved that the Board award the bids, Schedule A, B and C,
as presented by R. W. Beck. The President stepped down from the Chair in order
to second the motion. The Manager clarified for Director Sutton that Schedule
A is for power transformers in 60kV size from General Electric. The President
advised that General Electric is the low bidder for both Schedules A and B.
Wedco is the only bidder on Schedule C. Mr. Seymour clarified for Director
Sutton that the voltage regulators and reclosers would be necessary for in-
terim manipulation of the system operation.
Director Sutton requested that the record show she intends to vote no
on the motion as made, but she would be willing to vote in favor of an award
of Schedules B and C based on Mr. Seymour' s statements and the verbally con-
veyed advice from Counsel having to do with waivers and exceptions on the
bids .
Mr. Seymour recommended ( if the award of Schedule A was not made) that
there be an immediate authorization to go to bid again on higher voltage
transformers upon the receipt of a letter agreement from Sierra Pacific cov-
ering the l 20kV substation.
ROLL CALL: Kuttel , aye; Sutoon, no; Maass, aye. MOTION FAILED.
Director Sutton moved that the District award bid Schedule B for voltage
regulators to General Electric Supply Company in the amount of $49,050 with
the exceptions waived as recommended by Counsel . The motion was seconded by
Director Kuttel . ROLL CALL: Hatch, absent; Huber, absent; Kuttel , aye; Sut-
ton, aye; Maass, aye. SO MOVED.
Director Sutton moved to award bid Schedule C for reclosers to Wedco,
Inc. in the amount of $43,452 for six reclosers with the exceptions waived as
recommended by Counsel. Director Kuttel seconded the motion. ROLL CALL:
Hatch, absent; Huber , absent; Kuttel , aye; Sutton, aye; Maass, aye. SO
MOVED.
Director Sutton asked that the record show she is st i l 1 dissatisfied
with the lack of definitive plan by the District for the upgrading or ex-
pansion of substation capacity. Director Sutton moved that the matter be
placed on the February 5th agenda including the Manager's recommendation
that the District go back to bid for power transformers in some size. MOTION
DIED FOR LACK OF A SECOND.
Director Sutton moved that the matter of going to bid on the power
transformers of some undetermined size be placed on the agenda for the next
meeting, and that all the information regarding possible agreement with
Sierra Pacific for a joint substation site and some decision by the Board
of the financing of the substation expansion also be placed on the agenda.
The motion was seconded by Director Kuttel . ALL AYE BY VOICE VOTE. SO MOVED.
SPECIAL MEETING OF 1/30/79
The President noted that the Special Meeting scheduled for Tuesday, Jan-
uary 30, 1979, is to be cancelled since only three Board members would be able
to attend. Mr. Seymour was asked to notify Mr. Marron and ascertain available
dates for a rescheduled meeting.
EXECUTIVE SESSION
The President adjourned the meeting to Executive Session at 8:05 P.M.
to discuss legal and personnel matters.
RETURN TO PUBLIC SESSION
The meeting was reconvened to Public Session at 10:05 P.M.
ADJOURNMENT
There being no action resulting from Executive Session, the Chair ad-
journed the meeting at 10:06 P.M.
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
B y
J les A. Maass
Susan M. Craig, Executive Secretar
1/29/79 pg• 3
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COP I ES "FO:
R. VV. BECK AND AssddiAqVYJ � �
[J District- .
ENGINEERS AND CONSULTANTS D� _,� I
'bistrict
PL"NING N 15 1979 }maydin —GENERAL OFFICE
DESIGN El Supt, Jf '
RATES ..... SEAITLE,WASHINGTON 98101
ANALYSES 206-&2-5000
[VALUATIONS
MANAGEMENT
FILE NO. WW--1415-ESI.-MA Januarly 1-0, 1979
302LJ
Mr. A. Milton Seymour, Manager
Truckee-Donner Public Utility District
Post Office Box 309
Truckee, California 95734
Dear Milt :
Subject .
- Contract No. 1 Power Transformers,
V,Dltage Re.Lujators and Reclosers
In response to J--,*Lm Maass t January. 3, 1979 , request
we submit the following simplified summary of our December.
12, 1978 letter of recommendation concerning the bids for
Contract No, 1.
Bid Schedule A .------T&.Iower Transformers
The apparent lowest evaluated bidder is General
(-I
Electr_-*i.c Supply �,,onipany (GESCO) . Your attorney should
review the warranty specified by GESCO to dE�termine if it i s
acceptable to the District ,,
We contacted GESCO by telephone on January 9,
1979 , and the
0, y confirmed that by quoted price will. remain
firm for del.ivery at the job site no later than August 31.,,
1979 . They wi,li confirm the earliest delivery date when an
order is placed by the District ,
4.
Assum3.ng that the noted exceptions can be waived.b
the District , we recommend that the District award Bid
Schedule A for four (11) power transformers to the General
Electric Supply Company in the amount of $166 ,066 , We
further recommend that .,-. subject to the above exceptions , the
District purchasi.-, the spare parts as quoted in the amount of
Bid Schedule B -- Volt,_aGe Regulators
The apparent lowest bidder is the General Electric
Mr. A. Milton Sey-n-iotzr (2) January 1.0 1979
Supply Company (GESCO) . GESCO took exception to the specif ied
warranty and oil as in the case of the power transformers .
Our comments an.d :r-,ecommendations that your attorney review
the p-Poposed warranty for acceptability are similar to those
quotec'.1 above for the Bid Schedule A -- Power Transformers ,, •
We contacted GESCO by telephone on January 9,
1-979 , and they confirmed, that their bid price and delivery
will -tlemain as qtioted thro-ugh. January 3 1., 1979 . Assuming
that the exceptions can be waived by the District , we recommend
that the Distriict award Bid Schedule B for three (3) voltage
regulators to the General Electric Supply Company in the
amount of $49,05�0 .
Bold Schedule C - Reclosers
O,i"ily one bid was received for this item and that
was by WEDCO, Inc ., quoting McGraw-Edison' s circuit reclosers .
We have to-day contacted WEDCO Inc . to verify that
their quoted price and delivery will remain as quoted through
JanuarY' 31, 1979 .
Exceptions that have been taken to the Contract
Documents include : p'.r-3ogress payments_, the "Contractor' s"
liabilities , cancellation, warranty and shipment , Your
attorney should tleview the exc%:,=.1ptions to determine if they
are ac cep cable to the District .
On the basis of -this evaluation and analysis and
assuming that the exceptions can be waived by the District ,
4,
we recorruTiend t1,Lat the District award Bid Schedule C for six
(6) reclosers to WEDCO,, Inc , 'in the amount of $43,452 .
Very truly yours .,
Re We, BECK AND ASSOCIATES
lesl-
-00
Edward J. Wittman
Partner and Manager
Western. Design Office
EJW/lp
Enclosure