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Home My WebLink AboutRES 2008-32 - Board TRUCKEE DONNER Resolution No. 2008 - 32 Directing that competitive bidding be dispensed with in the purchase of 15kV Primary Underground Cable WHEREAS, the Electric Utility Department purchases 15kV Primary Underground Cable for our new customers and District needs; and WHEREAS, Okonite is the only cable manufacturer that meets the District's specifications for 15kV Primary Underground Cable; and WHEREAS, Okonite has an In-House mixing and compounding of their Okoguard (EPR) compound and Okoguard semicon compounds and has a totally integrated EPR system and this is required in the District specifications and there is no other product that can be considered equal; and WHEREAS, the Okonite Company will provide, free of charge, any reasonable engineering support requested by Truckee Donner PUD's Engineering Department. Additional support via Okonite's R&D laboratory and personnel for the analysis of Truckee Donner PUD's cable projects will be provided upon request; and WHEREAS, Okonite Company has the ability to serve Truckee Donner PUD best with their local manufacturing plant in Santa Maria, CA and 2 west coast stocking locations. This is the only cable manufacturing facility on the west coast of all manufacturers; and WHEREAS, Okonite has offered a 3-Year 2009 -2011 Blanket Agreement for 15kV Primary Underground Cable and will offer future blanket agreements after this; and WHEREAS, purchasing 15kV Primary Underground Cable from another vendor would not be desirable and would be costly to the District and would not provide cable that meets the District's specifications; and WHEREAS, various California court decisions, including Graydon v. Pasadena Development Agency, 104 C.A. 3d 631 (1980), hold that if the subject of a contract is such that competitive proposals would be unavailing or would not produce an advantage and the advertisement for competitive bids would thus be undesirable or impractical, a public agency may dispense with competitive bidding; and WHEREAS, due to the facts set forth above, competitive bidding would be unavailing and would not produce an advantage to the District and the advertising for competitive bids would not produce an advantage to the District and would be undesirable; and Resolution 2008-32 1 WHEREAS, Public Utilities Code Section 20206.4 generally requires that the District seek competitive bids in connection with the purchase of goods; and NOW, THEREFORE, BE IT RESOLVED by the Board of Directors that it adopts the above stated recitals as its findings. BE IT FURTHER RESOLVED BY THE Board of Directors that for the reasons set forth above, the District finds that competitive bids for the purchase of a 15kV Primary Underground Cable, would be unavailing and would not produce an advantage to the District and the advertisement for competitive bids would not produce an advantage to the District and would be undesirable and costly. BE IT FURTHER RESOLVED that the District shall therefore dispense with competitive bidding for the acquisition of 15kV Primary Underground Cable. PASSED AND ADOPTED by the Board of Directors at a meeting duly called and held within the District on the 5th day of November 2008 by the following roll call vote: AYES: Directors Hemig, Sutton, Taylor and Thomason NOES: None ABSENT: Director Aguera TRUCKEE DONNER PUBLIC UTILITY DISTRICT By Tim F. Taylor, PAmicl4nt ATTEST: Michael D. Roilley, District Clerk Resolution 2008-32 2 Q THE OKONITE COMPANY QUALITY CABLES SINCE 1 B7B 10/20/2008 ONE ANNABEL LANE SUITE 212 SAN RAMON CA 94583 TEL: 925-830-0801 FAX: 925-830-0954 QUOTATION PREPARED FOR: TRUCKEE DONNER P.U.D. TRUCKEE DONNER P.U.D. OKONITE REFERENCE: 64-80534-001 NET WEIGHT SHIP PRICE ITEM QUANTITY DESCRIPTION 1000 FT WEIGHT 1000 FT PRICES QUOTED ARE SUBJECT TO METALS ESCALATION, DE—ESCALATION IN ACCORDANCE WITH ITEM EXPIRATION DATE. PRICES ARE VALID FOR SHIPMENTS SCHEDULED FROM 1/1/09 THROUGH 12/31/11, SUBJECT TO METALS ESCALATION/DE—ESCALATION. 001 200, 000 ' 1/C 1/0 19X ALUMINUM — SS — 753 $2223 220 OKOGUARD EPR — 030 SC EPR 16 X #14 SOLID COPPER CONC EXPIRES WIRES — 050 OKOLENE PE W/3 RED 12/31/11 STRIPES — SEQ PRINT — 15KV METAL WEIGHT LBS PER 1000 FT: COPPER 207 ALUMINUM 99 APPROX O.D. INCHES 1 . 161 OKONITE PRODUCT CODE: 161-23-3072 CATALOG SECTION 2 SHEET 035 002 100, 000 ' 1/C 500 37X ALUMINUM FILLED 1740 $4769 STRAND —SS— 220 OKOGUARD EPR - - 040 SC EPR — 16 X #12 SOLID EXPIRES COPPER CONC WIRES — 080 12/31/11 OKOLENE PE W/3 RED STRIPES — SEQ PRINT — 15KV METAL ToJEIGHT LBS PER 1000 FT: COPPER 331 ALUMINUM 469 APPROX O .D. INCHES 1 . 736 OKONITE PRODUCT CODE: 162-23-3093 Page 1 of 3 0 THE CKONITE COMPANY QUALITY CABLES SINCE 1 B7B CATALOG SECTION 2 SHEET 036 ------------------------------------------------------------------------------ ------------------------------------------------------------------------------ METAL BASE: (SEE BASIS IN ESCALATION SECTION) COPPER 3 .354000 ALUMINUM 1 . 269550 REEL AND CUT CHARGES WILL APPLY FOR LENGTHS 500 FEET OR LESS . F.O.B. SHIPPING POINT TERMS : 1/2%10DAYSNET30 LENGTH TOLERANCE: MINIMUM -0% MAXIMUM +05% PRICES QUOTED HEREIN DO NOT PERMIT EXACT LENGTHS OR REDUCED TOLERANCES, UNLESS SPECIFICALLY NOTED. STOCK ITEMS : SUBJECT TO PRIOR SALE. ************************************* * ATTACHED FILE ENTITLED * THE OKONITE COMPANY * OKONITE-TERMS-AND-CONDITIONS . PDF, * FORM PART OF THIS QUOTATION. * BY ANTHONY G LARKIN ON SHIPMENTS 5, 000 LBS . AND OVER, ORDINARY FREIGHT ALLOWED TO DESTINATION (NEAREST FREIGHT STATION OR COMMON CARRIER DELIVERY POINT) TO AND WITHIN ALL STATES EXCEPT ALASKA AND HAWAII . SHIPMENTS TO THESE TWO STATES ARE FREIGHT ALLOWED TO PORT OF EMBARKATION. ON SHIPMENTS OF LESS THAN 5, 000 LBS . - NO FREIGHT IS ALLOWED. ESCALATION: PRICES QUOTED HEREIN ARE THOSE IN EFFECT TODAY, AND ARE PREDICATED ON IMMEDIATE RELEASE FOR MANUFACTURE AND SHIPMENT AS SOON AS COMP- LETED. THESE PRICES SHALL BE ADJUSTED FOR CHANGES IN THE PRICE OF METALS (COPPER, STEEL, LEAD, ALUMINUM) , WHICH MAY OCCUR BETWEEN THE DATE OF QUOTATION AND THE DATES SHIPMENTS ARE MADE. ALL SUCH ADJUSTMENTS WILL BE MADE AGAINST THE NET PRICE AFTER ALL DISCOUNTS AND WILL BE CALCULATED USING METAL WEIGHTS QUOTED HEREIN. ORDERS RECEIVED WITHOUT CUTTING LENGTHS OR FOR SUBSEQUENT RELEASE, SHALL BE BILLED AT PRICE IN EFFECT ON THE DAY RELEASE IS RECEIVED AND SHALL BE ADJUSTED THEREAFTER FOR CHANGES IN THE PRICE OF METALS (COPPER, STEEL, LEAD, ALUMINUM) , WHICH MAY OCCUR BETWEEN THE DATE OF RELEASE AND THE DATES SHIPMENTS ARE MADE. 3ASIS : COPPER: COMEX PER NY TIMES/WALL STREET JOURNAL, CURRENT MONTH SETTLE PRICE, PREVIOUS DAY CLOSING. Page 2 of 3 ,---0THE OKONITE COMPANY QUALITY CABLES SINCE 1 878 ALUMINUM: METALS WEEK - INGOT. LEAD: LONDON METALS EXCHANGE (LME) SETTLE PRICE. STEEL: AMERICAN METALS MARKET - COLD ROLLED SHEET CLASS 1 . RETURNABLE REEL CHARGES MAY APPLY AS APPLICABLE. (END OF QUOTATION) Page 3 of 3 THE OKONITE COMPANY BENEFITS OF A UTILITY PARTNERING PROGRAM The Okonite Company introduced the Alliance Partnership concept to our industry, and continues to lead in the development and evolution of full service partnering relationships. The Okonite Company has established and administered a growing number of successful partnership arrangements with customers throughout the country such as: Centerpoint Energy, Kansas City Light and Power, United Illuminating, Pacific Gas and Electric, Tucson Electric Power, Indianapolis Power and Light and many others. Common to all of these relationships are demonstrable improvements in supply chain economics including: reductions in inventory levels, shorter manufacturing lead times, product standardization and continuous improvement, with a constant emphasis on improved quality assurance. Okonite's commitment to unequaled quality in the Electric Utility industry extends back over our more than one hundred and thirty(130) year history. This commitment has been enhanced over the years by our unique ESOP form of ownership and our sizable capital expenditure programs which have resulted in geographic decentralization of our six manufacturing facilities. In the last few years we have invested in excess of$300 million in facility improvements. Our recent expansions and modernization of our Santa Maria, CA; Richmond, KY and Orangeburg, SC facilities continue to keep Okonite ahead of the curve in state-of-the-art wire and cable manufacture. It is important to emphasize under this subject that although all the cable products offered will be manufactured and stocked in our Santa Maria, CA facility, Okonite has triple plant compatibility and redundancy for the manufacture of the rubber insulated products included in our proposal. The Okonite Company is presently the largest supplier of EPR Medium Voltage cables to the utility industry. Our OKOGUARD EPR insulation system was developed almost forty years ago and has provided outstanding service and reliability to our growing list of customers. Our Orangeburg, SC compound facility manufactures OKOGUARD in a State-of-the-art, clean room environment that insures the highest reliability in our products. This level of sophistication is unmatched in any other EPR insulation facility in the country. This in-house compounding and full vertical integration of compound manufacture through finished cable delivery, give Okonite 100% control over product quality. You can be certain that everyone in the Okonite organization will be totally committed to our Long Term Partnering Alliance with Truckee Donner PUD; and that we have the corporate resources, determination and experience to continue to make it a meaningful and productive arrangement for both companies.