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HomeMy WebLinkAbout7 Tahoe Donner Subtation Rebuild Agenda Item # 7 TRUCKEE DONNER PTI�ublic Utility District ACTION To: Board of Directors From: Sanna Schlosser Date: July 15, 2009 Subject: Consideration of the Award of a Construction Contract for the Tahoe Donner Substation Rebuild Project 1. WHY THIS MATTER IS BEFORE THE BOARD Board approval is required for expenditures in excess of $15,000. 2. HISTORY The District is rebuilding the Tahoe Donner Substation to improve coordination with the adjacent transmission line, improve protection of our equipment, and provide compliance with current code requirements. The District awarded the engineering contract for this project in November 2007. The equipment purchase contracts were awarded in December 2008. Engineering design was completed by the consultants in May 2009. The bid period was from June 3 to July 1, 2009. 3. NEW INFORMATION The bid opening for this project was held at 2:00 PM on July 1, 2009. Three bids were received. A summary of the bids is given below: Bidder Location Revised Bid Price PAR Electrical Contractors Reno, NV $622,247.70 NAES Power Contractors Hillsboro, OR $635,696.90 System 3 Carmichael, CA $778,000.00 At the time of bid opening, the apparent low bidder was NAES Power Contractors with a bid of $612,192.00. However, upon reviewing this bid, two mathematical errors were identified. After correcting these errors using the procedures described in the bid documents, the bid total from NAES Power Contractors was revised to $635,696.90. The bid from PAR Electrical Contractors had a minor irregularity regarding the acknowledgement of Addendum No. 1 and a minor mathematical error which did not affect the total bid price. The bid from PAR was then determined to be the lowest responsive bid. Construction will take place over two years. The work to be done this year includes replacing existing underground feeder getaways from the substation and installation of the new control enclosure. The balance of the work will be performed in 2010. 4. FISCAL IMPACT The FY 2009 Capital Budget includes $605,314.00 for this project, funded by rates. Expenditures anticipated for 2009 are approximately $160,000.00. The balance of the funds and costs for this contract will be included in the FY2010 Capital Budget. Additional costs will be incurred associated with construction inspection, environmental compliance and geotechnical services. It is also recommended that the Board of Directors authorize a 10% allowance for change orders at this time. 5. RECOMMENDATION Award the Tahoe Donner Substation Rebuild-2009 Contract to PAR Electrical Contractors in the amount of$684,247.70 which includes a change order allowance of 10%, or$62,000. .D Stephen Hollabaugh Michael D. Holley Assistant General Manager General Manager