HomeMy WebLinkAbout10 Backup Generator for PSOMTRUCKEE DONNER
Public Utility District
MEETING DATE: July 6, 2022
TO: Board of Directors
FROM: Chad J. Reed, Water Utility Director
AGENDA ITEM #10
SUBJECT: Consideration of an Emergency Backup Generator Rental
Agreement for Water Pumping Facilities
APPROVED BY
RECOMMENDATION:
Brian C. Wright, General Manager
Authorize the General Manager to execute a rental agreement with Holt of California to
rent an emergency backup generator & cabling at the monthly rate of $8,800 for the
duration of up to three months with a total rental cost of ($26,400) plus a ten percent
change order allowance, for a total not to exceed amount of ($29,040) plus any additional
taxes and fees that may apply.
BACKGROUND:
NV Energy Public Safety Outage Management (PSOM) events are triggered by climatic
conditions presenting an elevated risk of wildfire ignition by electric utility infrastructure.
As these fire events have become more prevalent over the past decade the probability of
a PSOM event happening has also increased.
The Truckee Donner Public Utility District is solely fed by 11 active groundwater wells.
These wells require power to pump water and the power can be interrupted during PSOM.
The duration of a PSOM power interruption can be from hours to days. The District's
potable water storage is not sufficient to last during peak summer demand periods, in the
event of a prolonged power outage event without continued groundwater pumping supply.
The District has installed emergency backup power at 3 of the 11 existing well sites to
date, however during the higher water demands experienced in the summer season
additional wells will be necessary during a potential PSOM event. Having additional wells
equipped with back-up generation, coupled with the District's water shortage contingency
plan (placing restrictions on potable water use), the District will be better prepared to
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manage water supplies through prolonged outages.
ANALYSIS/BODY
Staff has determined a mobile generator sized at 400kw will offer the most flexibility in
determining placement at water facilities based on the system needs at any given time.
During the process of trying to procure a rental emergency backup generator staff has
learned from several vendors that renting a unit this size will be very challenging due to
fact that a large inventory of the units have already been reserved by larger investor
owned electric utilities throughout the state. One vendor advised they have reached out
to neighboring states and again found no similarly sized units are available.
Staff has looked into the rent to own model since monies have been allocated to procure
a generator of a similar size. The vendors have informed staff that they are not currently
selling the rental units due to the lack of replacements. After needing to rent an
emergency backup generator in the previous two summers, staff has determined that an
additional generator needs to again be secured for this coming high fire season. Staff's
recommendation is to secure one of the remaining rental units to ensure additional
pumping capacity is available during prolonged power outage events.
Goals and Objectives:
This item is in support of the following goals and objectives:
District Code1.05.020 Objectives:
3. Provide reliable and high quality water supply and distribution system to meet current
and future needs.
6. Manage the District in an effective, efficient and fiscally responsible manner.
Strategic Goals:
1. Manage for Financial Stability and Resiliency.
FISCAL IMPACT:
The actual duration necessary for the generator rental will not be known until much later
into the summer, at which time weather forecasts and fire threat assessments will be
more accurate. Therefore, staff is recommending a not to exceed amount of $29,040 to
secure the generator for a period of up to three months. If, based on updated wildfire risk
assessments, the generator is needed for an additional length of time, staff will bring an
item before the Board for additional procurement authorization.
The 2022 Budget for water power supply costs (2.7.682.10) is $1,433,728 and 2021
Actual was $1,368,170. Based on YTD 2022 actual costs incurred and forecasted 2022
costs for this account; staff estimates the budget is sufficient to cover this generator rental
cost in 2022.
ATTACHMENTS:
None.
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