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Home My WebLink About11 Purchase a Wire Reel TrailerAgendaItem#r11TRUCKEEDONNERItPublicUtilityDistrictCONSENTTo:From:Date:BoardofDirectorsStephenMooreMarch06,2019Subject:ConsiderationtoPurchaseaWireReelTrailer1.WHYTHISMATTERISBEFORETHEBOARDBoardauthorizationisrequitedforprocurementsinexcessof$15,000.2.HISTORYIn1993,thetraileristheconductorsconstructingDistrictpurchasedaFlemingthree-reelwiretrailer(Unit81).Thewiremainequipmentusedtostore,transportandfeedprimaryelectricalintoundergroundconduits.Thisequipmentisveryimportantforandmaintainingtheelectricaldistributionsystem.3.NEWINFORMATIONThiswiretrailerisinpoorconditionafter26yearsofuseandrequiresfrequentrepairstokeepitoperational.inaddition,thereelbrakeswereremovedinordertoacceptindustrystandardreelswhichhascreatedasafetyconcern.Unit81isattheendofitsusefulservicelifeandisinneedofreplacement.StaffhasinvestigatedseveralequipmentreplacementoptionsandhasdeterminedthemostusefulequipmentforElectricDepartmentoperationsisaFellingsmodelFT-24ThreeReelTurretTrailer.Sourcewell,formerlyNationalJointPurchasingAlliance,competitivelybidequipmentfromFellingTrailers,Inc.ofSaukCentre,MN,andothervendorsthroughacompetitivebidprocess.Section3.08.060oftheDistrictCode(JointPurchasingwithttheStateofCaliforniaandotherpublicagencies)permitstheDistricttotakeadvantageofotheragenciescompetitiveprocurementprocesses.FellingTrailers,Inc.isaqualifiedSourcewellvendor,andtheirbidisconsistentwiththeDistrictCoderequirements.StaffreceivedacostproposalfromFellingTrailers,Inc.foraFellingsmodelFT-24ThreeReelTurretTrailer.Thecostofthisequipmentis$46,128plustaxandfees.TheexistingFlemingThreeReelTrailercanbedeclaredsurplusandsenttopublicauction,withtheproceedsbeingusedtooffsetthecostofthenewequipment.Staffestimatesthevalueoftheexistingequipmentatapproximately$2,000.Afterthesaleoftheexistingequipmentthenetcostofthenewequipmentwillbe$44,128plustaxandfees.Thisequipmenthasamanufacturingleadtimeof13weeks. 4.FISCALIMPACTThistrailerisscheduledforreplacementin2023.TheDistrictwasoptimistictoanticipateausefullifeof30yearsforthisequipment.Inaddition,theequipmenthasbecomeunsafetooperate.AlthoughnotscheduledforreplacementinFYi9,sufficientfundsexistforthiscontingencypurchaseintheElectricVehicleReserveFund.ProceedsfromthesaleoftheexistingFlemingThreeReelTrailercanbeappliedtooffestthepurchaseofthenewequipment.5.RECOMMENDATION1.Declaretheexistingreeltrailer(Unit81)surplusandauthorizetheGeneralManagertodisposeofUnit81atpublicauction,applyingsalefundstotheElectricVehicleReserveFund.2.AuthorizetheGeneralManagertoexecuteacontractwithFellingTrailers,Inc.ofSaukCentre,MDforthepurchaseofaFellingFT-24ThreeReelTurrettTrailerinanamountof$46,128,plusa10%changeorderauthorizationforatotalnottoexceedcontractamountof$50,740,plustaxandfees.,zJoeHorvathMichaelD.HolleyElectricUtilityDirectorGeneralManager