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HomeMy WebLinkAbout11 FY24 Electric Motor Repair AGENDA ITEM #11 Public Utility District m MEETING DATE: November 1, 2023 TO: Board of Directors FROM: Chad Reed, Water Utility Director SUBJECT: Consideration to Dispense with Competitive Bidding and Negotiate Directly with Vendors for the FY24 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 FY24 Electric Motor Repair services. B) Authorize the General Manager to negotiate directly with vendors for the FY24 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 the District's operation and maintenance needs. Historically, staff presented this item under the annual procurements to the Board for consideration in the December timeframe, before the start of the next fiscal year. Services procured under this action are routine and recurring in nature. The staff has determined the importance of this item and has historically included it in annual procurement approvals to increase efficiencies and avoid downtime while waiting for electric motor repair services to be secured. 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 on October 3, 2023, and the bid openings were held on Friday, October 20, 2023. No responsive bids were received. The District received one bid, but it was determined to be non-responsive due to the bid submittal not being signed. ANALYSIS AND BODY: Page 1 of 2 Page 129 of 143 One option could be to repost the bid for these services. However, due to the limited vendors that have historically participated in the competitive bidding for these motor repair services, it is unlikely that reposting this procurement would result in additional bid submittals. Staff would recommend that the Board make a finding to dispense with competitive bidding for the FY 24 procurement of Electric Motor Repair and authorize the General Manager to negotiate directly with vendors. GOALS AND OBJECTIVES: District Code 1.05.020 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. District Code 1.05.030 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 FY24-25 Budget includes funding for these electric motor repair services. ATTACHMENTS: None Page 2 of 2 Page 130 of 143