HomeMy WebLinkAbout8 Dispense Bidding and Negotiate Directly w Vendors Electric Motor repairs TRUCKEE - AGENDA ITEM #8
Public District
MEETING DATE: February 1, 2023
TO: Board of Directors
FROM: Chad J. Reed, Water Utility Director
SUBJECT: Consideration to Dispense with Competitive Bidding and Negotiate
Directly with Suppliers for the FY23 Procurement of Electric Motor
Repair Services
APPROVED BY
Brian C. Wright,' General Manager
RECOMMENDATION:
a) Make a finding to dispense with competitive bidding for the following FY23 Electric
Motor Repair services.
b) Authorize the General Manager to negotiate directly with suppliers for the FY23
procurement of Electric Motor Repair services for a not to exceed amount of
$150.000.
BACKGROUND:
Regular and timely procurements of repairs to electric motors are critical to District
operation and maintenance needs. Preapproval of contracts for services of a critical
nature are paramount to ensuring critical equipment is repaired and working. When
traditional bidding practices are used increase outages and downtime will be observed,
for this reason the water department is trying to be proactive and procure the process
before the outage.
The Water Department utilizes electric motors to pump groundwater to higher elevations;
and provide water pressure to homes that are too close to the same elevation gradients.
When electric motors fail, the ability to move water or provide additional pressure is
impacted which could result in an interruption of service and impede fire protection
capacity. The speed at which these motors can be repaired is critical to operations.
Bid advertising for electric motor repair services began in October 2022, and the bid
openings were held on Monday, November 14, 2022. No responsive bids were received.
ANALYSIS AND BODY:
One option could be to repost the bid for these services. However, due to limited vendors
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that supply this service, there is a high degree of uncertainty if reposting the bid will yield
a different result. For this reason, staff has consulted with other districts in the region and
identified two vendors that perform this service. After identifying these vendors staff
inquired of the two vendors to ensure interest and availability. One of the vendors had
concerns about performing the work with the proposed schedules that are critical to the
work flow at the District. The other vendor has an established record with the District for
being able to perform the work in the allotted times and expected quality. Staff believes
that reposting the bid would not solicit additional bids since staff has only been able to
identify two venders in the region that perform this service and would require additional
staff time and resources.
Alternatively, the Board could make a finding to dispense with competitive bidding and
allow the General Manager to negotiate directly with the vendor(s) for the necessary
services of electric motor repair.
Furthermore, staff would recommend authorizing the General Manager to negotiate
directly with vendors for the FY23 procurement of electric motor repair.
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.
6. Manage the District in an effective, efficient, and fiscally responsible manner.
Strategic Goals:
1. Manage for Financial Stability and Resiliency
4. Take the best of private sector thinking to modernize the utility and add value to our
communities.
FISCAL IMPACT:
The Board approved FY23 Budget (GL 2..7.691.00.670 of $206,000 includes funding for
these electric motor repair services. Actual cost incurred for this type of service in FY22
and FY21 where $13,628 and $5,289 respectively.
ATTACHMENTS:
None.
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