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HomeMy WebLinkAboutA001 - Council Action Form dated May 13, 2025ITEM #:55 DATE:05-13-25 DEPT:ELEC SUBJECT:EMERGENCY GENERATOR SYSTEM FOR THE POWER PLANT COUNCIL ACTION FORM BACKGROUND: There are two battery banks within the Power Plant responsible for powering controls systems and emergency oil pumps for critical systems such as turbine bearings and hydrogen seals on the generators. The battery banks can provide a limited window of power during a loss of internal generation or grid power. In the event there is no power for multiple hours, as occurred during the 2020 derecho, the Plant is at risk of losing the critical controls and emergency oil pumps. On October 10, 2023, City Council awarded a contract to Farris Engineering of Omaha, Nebraska to design the emergency generation system for the Power Plant. Originally, it was anticipated that a stationary generator would be installed at the Power Plant and funding was incorporated into the Capital Improvements Plan anticipating a stationary generator. After further investigation it was determined that a portable emergency generator, along with the installed building system capable of quickly connecting the generator, would better suit the needs for the Electric Services Department. A portable generator would not only be able to serve the needs of the Power Plant, but would also have the flexibility to be moved to remote locations to power other equipment in an emergency. In addition, a portable generator is significantly less expensive than a stationary generator. On March 11, 2025, City Council approved preliminary plans and specifications for the Emergency Generation System for the Power Plant. An Invitation to Bid was advertised on the Current Bid Opportunities section of the Purchasing webpage and a Legal Notice was published on the websites of a contractor plan room service with statewide circulation. On April 23, 2025, two bids were received as shown below. BIDDER LUMP SUM BID AMOUNT Engineer's Estimate $450,000 Van Maanen Electric, Inc. Newton, Iowa $310,670 Price Electric Des Moines, Iowa $352,820 Staff reviewed the bids and determined the low bid from Van Maanen Electric Inc, of Newton, Iowa, is acceptable. Funding for this contract is available in the Critical Electric System Generators Capital Improvements Project, which has a current balance of $1,150,000. 1 ALTERNATIVES: 1. Adopt a motion to: a. Accept the report of bids b. Approve final plans and specifications c. Award a contract to Van Maanen Electric, Inc. of Newton, Iowa, in the amount of $310,670. 2. Award a contract to the other bidder. 3. Reject bids and direct staff to rebid. CITY MANAGER'S RECOMMENDED ACTION: Loss of power for an extended period in the Power Plant could lead to damaged equipment and hazardous situations. A portable emergency generator and building system capable of quickly connecting the emergency generator allows for the option of continued power to these critical systems and the ability to prevent these situations. Therefore, it is the recommendation of the City Manager that the City Council adopt Alternative #1 a-c as stated above. 2