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HomeMy WebLinkAbout8 Tahoe Donner Substation Maintenance Testing DONNE - AGENDA ITEM #8 Public MEETING DATE: September 7, 2022 TO: Board of Directors FROM: Keith Renshaw, P.E., Senior Electric Engineer Joe Horvath, P.E., Electric Utility Director/Assistant General Manager SUBJECT: Consideration of a Procurement for Substation Maintenance Testing Services Through Northern California Power Agency's Support Services Program Agreement APPROVED BY Brian C. Wright, General Manager RECOMMENDATION: Authorize the General Manager to execute a Confirmation under the Northern California Power Agency's Support Services Program Agreement for NorCal Power Services LLC to perform in-depth substation maintenance testing services at Tahoe Donner Substation in the amount of $50,473, plus a 10% change order authorization and associated Northern California Power Agency administrative fees of $1,345, for a not to exceed amount of $56,865. BACKGROUND: Consistent with industry standards, formal in-depth maintenance testing (in-depth testing) of substation equipment should be performed every 5 years. In-depth testing is critical to help maintain a safe, efficient, and reliable electric distribution system. While staff performs monthly visual inspections at all substations, staff has also developed a plan for in-depth testing to be performed at each of the District's substations. In 2020, testing was performed at Martis Valley Substation by a contractor because the scope of in-depth testing exceeds internal resource capabilities. Tahoe Donner Substation was commissioned in 1972 and had substantial upgrade and rehabilitation work completed in 2010. Since the upgrade, staff has performed regular inspections, minor repairs, and preventative maintenance activities necessary to sustain a reliable system. However, Tahoe Donner Substation is due for in-depth testing as it has not undergone this testing within the past 5 years. Page 1 of 3 ANALYSIS AND BODY: Staff contacted NorCal Power Services LLC (NorCal Power Services) to request a quotation to perform in-depth testing at Tahoe Donner Substation. NorCal Power Services provided a quote in the amount of$50,473 to perform these services (Attachment 1). Staff has reviewed the quotation provided by NorCal Power Services and determined it is comprehensive and consistent with industry standards, fulfilling the District's requirements. In September 2020, Northern California Power Agency (NCPA) awarded a multi-year contract with NorCal Power Services for substation testing and other services as part of NCPA's Support Services Program Agreement (SSPA) (Attachment 2). Section 3.08.060 of District Code (Joint Purchasing with the State of California and other public agencies) permits the District to take advantage of other agencies' competitive bid procurement processes. As a NCPA member, the District has the ability to utilize the SSPA for support services. The Board adopted Resolution 2016-26 (Attachment 3) approving the SSPA with NCPA on November 2, 2016. Through the SSPA, NCPA will administer the contract with NorCal Power Services on behalf of the District, and NorCal Power Services will perform the work. NorCal Power Services performed in-depth testing at the District's Martis Valley Substation under NCPA's SSPA in 2020. Therefore, staff recommends that the Board authorize the General Manager to execute a Confirmation under the NCPA SSPA (Attachment 4) for NorCal Power Services to perform in-depth testing at Tahoe Donner Substation in the amount of $50,473, plus a 10% change order authorization and associated NCPA administrative fees of $1,345, for a not to exceed amount of $56,865. Goals and Objectives: This item is in support of the following goals and objectives: District Code1.05.020 Objectives: 1. Responsibly serve the public. 4. Provide reliable and high-quality electric supply and distribution system to meet current and future needs. 5. Manage the District in an environmentally sound manner 6. Manage the District in an effective, efficient, and fiscally responsible manner. Strategic Goals: 1 . Manage for Financial Stability and Resiliency 2. Environmental Stewardship: Create a sustainable resilient environment for all of our communities. 4. Take the best of private sector thinking to modernize the utility and add value to our communities. FISCAL IMPACT: The Board approved Electric Department Operating Budget for FY22-23 included $477,703 for Substation Operations (GL account # 6.582) in FY22. As of July 13, 2022, the District has spent $252,043 of the budgeted amount with $225,660 remaining for FY22. Sufficient funds remain available in this account to cover both the forecasted Page 2 of 3 Substation Operations needs for the remainder of FY22 and the not to exceed amount of $56,865 for substation testing services at Tahoe Donner Substation. ATTACHMENTS: 1 — NorCal Power Services LLC Quote for Tahoe Donner Substation Maintenance Testing Services 2 — Multi-Task General Services Agreement Between the Northern California Power Agency and NorCal Power Services LLC 3 — Resolution No. 2016-26— Resolution of the Truckee Donner Public Utility District Approving the Support Services Program Agreement with the Northern California Power Agency 4 — Confirmation Under The NCPA Support Services Program Agreement Page 3 of 3