HomeMy WebLinkAboutA001 - Council Action Form dated June 9, 2026ITEM #:25
DATE:06-09-26
DEPT:ELEC
SUBJECT:POWER PLANT MAINTENANCE SERVICES CONTRACT - CONTRACT
RENEWAL
COUNCIL ACTION FORM
BACKGROUND:
The Electric Utility has two gas-fired, high-pressure steam generation units within the City’s
Power Plant, referred to as Units No. 7 and 8. These units require regular professional
maintenance and repair. This work consists of both emergency and planned repairs and
service. Services include 1) boiler maintenance and repairs, 2) structural steel, 3) pump and
piping work, and 4) other miscellaneous mechanical Power Plant work. The repair of the
equipment on these generation units requires professional trade crafts such as laborers,
millwrights, and steam/pipe fitters.
On March 14, 2023, City Council awarded the Power Plant Maintenance Services Contract to
Waldinger Corporation, of Des Moines, IA. This contract included the option for the City to
renew in one-year increments for up to four additional years. This is the third renewal out of
four possible renewal periods.
Council should note the rates that will be charged by Waldinger Corporation will
increase 4% compared to the current year, as indicated on the bid document.
Staff recommends that these services continue to be outsourced on an annual renewable
contract basis. The benefits of having a contract for these services in place include the
following:
1. Consistency of work and quality from a single contractor.
2. Reduction in the City’s exposure to market forces regarding prices and availability for
labor, travel, and supplies in preparation for a scheduled outage.
3. Rapid contractor mobilization to start emergency repairs, thus reducing generation
downtime.
4. Saved City staff time obtaining quotes, evaluating bids and preparing specifications and
other procurement documentation.
The approved FY 2026/27 Power Plant operating budget includes $120 ,000 for this
ser vice. Invoices will be based on contract rates for time and materials for services
actually performed.
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ALTERNATIVES:
1. Approve the contract renewal with Waldinger Corporation, of Des Moines, IA, for the
Power Plant Maintenance Services Contract for July 1, 2026 through June 30, 2027, in
an amount not-to-exceed $120,000.
2. Reject the renewal option and instruct staff to seek new competitive bids.
CITY MANAGER'S RECOMMENDED ACTION:
This work is necessary to ensure that a qualified professional firm will respond to both
scheduled and emergency needs for Power Plant maintenance. The renewal contract
will control costs by having established billing rates. Funds will be expended only as
work is required and in accordance with approved invoices. Therefore, it is the
recommendation of the City Manager that the City Council adopt Alternative No. 1 as stated
above.
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