HomeMy WebLinkAboutA001 - Council Action Form dated October 13, 2026ITEM #:27
DATE:10-13-26
DEPT:ELEC
SUBJECT:PURCHASE OF TRANSFORMERS FOR ELECTRIC SERVICES
DEPARTMENT
COUNCIL ACTION FORM
BACKGROUND:
This award is for the purchase of electric transformers necessary to meet the
anticipated needs of the Electric Services Department. These transformers are kept on
hand in order to ensure availability, which will enable staff to replace failed transformers
quickly. They are also necessary to meet the anticipated needs of the Electric Services
Department for new services and maintenance activities. Typically, these transformers are
used to provide service for commercial and residential applications.
Lead times have become a challenge for many vendors of critical electric inventory
components due to supply chain issues. To address the Electric Department's future need for
transformers, staff issued a Request for Quotation (RFQ) for a one-time purchase of specific
transformers, separated into two equipment groupings: single-phase pad-mounted
transformers and three-phase pad-mounted transformers. On September 18, 2026, an RFQ
document was posted to Ames Bids, the electronic bidding site.
Bids were received on September 29, 2026. The bids are shown in the table below. The table
reviews the bids in two ways: 1) The "Response Total Cost" column is based on the unit cost
of the transformers as bid by the supplier; 2) The "Evaluation Cost" reflects the unit cost of the
transformers plus an "energy loss" component that considers losses in the transformer under
no-loss and low-loss operation. Transformers that are less efficient under this evaluation are
shown as costing more in this "Evaluation Cost" column.
SINGLE-PHASE PAD-MOUNTED
TRANSFORMER GROUP**
Response Total
Cost* Evaluation Cost*
BORDER STATES
Ames, IA $69,243.14 $73,844.14
WESCO DISTRIBUTION
Des Moines, IA $72,330.93 $76,754.31
VERIDIAN ELECTRIC
Monroe Township, NJ $79,382.23 $84,049.57
1
RURAL ELECTRIC SUPPLY COOPERATIVE
(RESCO)
Ankeny, IA
$80,017.67 $83,054.33
FLETCHER REINHARDT COMPANY
Cedar Rapids, IA $80,378.40 $84,979.40
TECHNOLOGY INTERNATIONAL
Lake Mary, FL $81,587.50 $86,254.84
ECHO ELECTRIC SUPPLY
Ames, IA No Bid No Bid
THREE-PHASE PAD-MOUNTED
TRANSFORMER GROUP**
Response Total
Cost* Evaluation Cost*
RURAL ELECTRIC SUPPLY COOPERATIVE
(RESCO)
Ankeny, IA
$148,369.87 $190,838.17
WESCO DISTRIBUTION
Des Moines, IA $159,971.42 $206,916.60
BORDER STATES
Ames, IA $164,343.14 $211,144.94
FLETCHER REINHARDT COMPANY
Cedar Rapids, IA $173,471.61 $220,273.41
VERIDIAN ELECTRIC
Monroe Township, NJ $187,425.48 $237,563.54
TECHNOLOGY INTERNATIONAL
Lake Mary, FL $209,613.00 $259,751.06
ECHO ELECTRIC SUPPLY
Ames, IA No Bid No Bid
*Price is inclusive of 6% State of Iowa Sales Taxes Plus 1% Local Tax.
**Bid evaluation was performed line by line. Full bid tab is attached.
For the Single-Phase Transformer Group, Border States was the lowest responsible,
responsive bidder (for both the Response Total Cost and Evaluation Cost) to offer
transformers that met all specifications. WESCO Distribution was the lowest bidder on Bid
Line 2, however, the bid was found to be non-responsive, as the manufacturer is not
approved.
For the Three-Phase Transformer Group, RESCO was the lowest responsible,
responsive bidder (for Evaluation Cost) to offer transformers that met all specifications.
RESCO was also the bidder for Response Total Cost on Bid Lines 4 and 5. WESCO
Distribution was the lowest bidder for Response Total Cost on Line 6, however RESCO had
the lowest Evaluation Cost.
2
Of note, Border States included an "Order Note from Cooper Power" in its bid: "All
prices here represent those in effect at time of quotation and are subject to change at a
minimum of 30 days prior to shipment."
Staff does not anticipate that the potential for price adjustment would be significant enough to
warrant awarding the bid to the next lowest-cost vendor, which also has a Price Adjustment
Clause. The price adjustments will be handled by a change order to the contract at the time
the order is placed in accordance with the City's Purchasing Policies.
This contract will be funded from the Underground System Improvements/Transformers
account in the adopted FY 2026/27 budget. The available budgeted amount is $400,000.
ALTERNATIVES:
1. Award the following contracts for the purchase of inventory for Electric Services;
Payments will be based on unit prices and quantities ordered, inclusive of all applicable
sales taxes:
a. Award a contract to Border States, of Ames, IA, in an amount not-to-exceed
$69,243.13.
b. Award a contract to RESCO, of Ankeny, IA, in an amount not-to-exceed
$148,369.87.
2. Direct staff to award one or both contracts to other bidders.
3. Reject the bids.
CITY MANAGER'S RECOMMENDED ACTION:
Transformers are critical to provide reliable electric service to customers of the Ames
Municipal Electric System. It is important to purchase transformers at the lowest
possible cost with minimal risk to the City. It is also imperative to have transformers
available to meet customer needs in the short-term as well as the long-term. Therefore, it
is the recommendation of the City Manager that the City Council adopt Alternative No. 1, as
described above.
ATTACHMENT(S):
FINAL Bid Tab by Line.pdf
3
Local Consideration Local Consideration
1 Manufacturer Lead Time ARO No Load Loss Load Loss
Supplier QTY UOM Estimated Price Extended
Border States 13 EA TRUE $2,597.37 $33,765.81 COOPER 13 WEEKS 55 372 $33,765.81 $330.00 $744.00 $34,839.81 TRUE
WESCO Distribution 13 EA $2,803.00 $36,439.00 78 248 $36,439.00
Technology International, Inc.13 EA $3,000.00 $39,000.00
Fletcher Reinhardt Company 13 EA $3,015.00 $39,195.00
2 Manufacturer Lead Time ARO No Load Loss Load Loss
Supplier QTY UOM Estimated Price Extended
Border States 5 EA TRUE $2,928.95 $14,644.75 COOPER 13 WEEKS 75 498 $14,644.75 $450.00 $996.00 $16,090.75 TRUE
WESCO Distribution 5 EA $2,935.00 $14,675.00 82 449 $14,675.00 $16,065.00 Hitachi is not approved.
Technology International, Inc.5 EA $3,150.00 $15,750.00
Fletcher Reinhardt Company 5 EA $3,400.00 $17,000.00
3 Manufacturer Lead Time ARO No Load Loss Load Loss
Supplier QTY UOM Estimated Price Extended
Border States 5 EA TRUE $3,260.53 $16,302.65 COOPER 13 WEEKS 101 587 $16,302.65 $606.00 $1,174.00 $18,082.65 TRUE
WESCO Distribution 5 EA $3,297.00 $16,485.00 104 578 $16,485.00
Fletcher Reinhardt Company 5 EA $3,785.00 $18,925.00
Technology International, Inc.5 EA $4,300.00 $21,500.00
4 Manufacturer Lead Time ARO No Load Loss Load Loss
Supplier QTY UOM Estimated Price Extended
RESCO (Rural Electric Supply Coo 3 EA $13,802.15 $41,406.45 ERMCO 12 weeks 102 1,680 $41,406.45 $612.00 $3,360.00 $45,378.45
Border States 3 EA FALSE $14,967.67 $44,903.01 COOPER 20 WEEKS 110 2,109 $44,903.01 $660.00 $4,218.00 $49,781.01 FALSE
Fletcher Reinhardt Company 3 EA $15,799.00 $47,397.00
Eaton / Cooper
WESCO Distribution 3 EA $15,934.00 $47,802.00 310 1,546 $47,802.00
Technology International, Inc.3 EA $19,700.00 $59,100.00
5 Manufacturer Lead Time ARO No Load Loss Load Loss
Supplier QTY UOM Estimated Price Extended
RESCO (Rural Electric Supply Coo 3 EA $17,435.48 $52,306.44 ERMCO 12 weeks 180 2,862 $52,306.44 $1,080.00 $5,724.00 $59,110.44
WESCO Distribution 3 EA $19,017.00 $57,051.00 436 2,977 $57,051.00
Fletcher Reinhardt Company 3 EA $20,138.00 $60,414.00
Eaton / Cooper
Technology International, Inc.3 EA $23,500.00 $70,500.00
6 Manufacturer Lead Time ARO No Load Loss Load Loss
Supplier QTY UOM Estimated Price Extended
WESCO Distribution 1 EA $44,653.00 $44,653.00 1,548 10,532 $44,653.00
Fletcher Reinhardt Company 1 EA $54,312.00 $54,312.00
Technology International, Inc.1 EA $66,300.00 $66,300.00
LOSS EVALUATION
25 KVA SINGLE-PHASE PAD-MOUNTED DISTRIBUTION TRANSFORMER, 120/240 SECONDARY VOLTAGE
37.5 KVA SINGLE-PHASE PAD-MOUNTED DISTRIBUTION TRANSFORMER, 120/240 SECONDARY VOLTAGE
50 KVA SINGLE-PHASE PAD-MOUNTED DISTRIBUTION TRANSFORMER, 120/240 SECONDARY VOLTAGE
150 KVA THREE-PHASE PAD-MOUNTED DISTRIBUTION TRANSFORMER, 120/208 SECONDARY VOLTAGE
300 KVA THREE-PHASE PAD-MOUNTED DISTRIBUTION TRANSFORMER, 120/208 SECONDARY VOLTAGE
1500 KVA THREE-PHASE PAD-MOUNTED DISTRIBUTION TRANSFORMER, 277/480 SECONDARY VOLTAGE
LOSS EVALUATION
LOSS EVALUATION
LOSS EVALUATION
LOSS EVALUATION
LOSS EVALUATION
2027-033 - Page 14