CITY OF PACIFICA
COUNCIL AGENDA SUMMARY REPORT
12/11/2023
1 SUBJECT:
Resolution - Approve Purchase Agreement with C&D Power Inc for Purchase and Rental of Generator for Sharp Park Pump Station
RECOMMENDED ACTION:
Adopt a Resolution that:
A. Authorizes the City Manager to award and execute a Purchase Agreement for a new generator, including a 12-month generator rental, with C&D Power Inc.; and B. Appropriate $300,000 from Fund 34 Wastewater Sewer CIP fund balance to Sharp Park Pump Station R&R Project; and
C. Approves a total project budget of $335,789.63, including a 10% contingency of $30,500; and
D. Authorizes the City Manager to execute all documents related to the purchase and rental agreement.
STAFF CONTACT:
Eddie Pastrano, Collection Systems Manager
(650) 822-4547
[email protected]
Louis Sun, P.E., Deputy Director of Public Works (Wastewater) (650) 738-4662
[email protected]
Lisa Petersen, P.E., Director of Public Works
(650) 738-3770
[email protected]
BACKGROUND/DISCUSSION:
The Sharp Park Pump Station (SPPS) has an existing 40-year-old standby generator which is the backup power in case of any PG&E power failures. This standby generator is vital to the operation of the SPPS because it supplies power to the pump station during PG&E power outages and allows continuous operation without interruptions. On August 22, 2023, the standby generator failed; however, there was no power outage at the time, so the pump station continued to operate normally. The total failure of the generator was possibly caused by end of life/service equipment failure and the corrosive coastal environment. Nevertheless, it is now imperative to get a new replacement generator for SPPS.
The lead time for purchasing a new permanent generator is 40 weeks, and staff is requesting a 52 week or twelve (12) month rental period for a rental generator for coverage while waiting for Pacifica City Council 2
December 11, 2023
the new generator to arrive and some additional rental time in case the equipment lead time is extended. Due to the long lead time for purchasing a new generator, the rental standby generator must be in place for coverage for an unexpected power outage. Staff solicited quotes based on formal bidding procedures for the purchase of a new generator, and also solicited quotes for a rental generator.
The selection of C&D Power Inc. is based on:
1) Staff reached out to four generator vendors for providing a new replacement generator and C&D Power submitted the lowest quote for the purchase of a new 550 KW, Blue Star VD550-02FT4 Genset Volvo TYWS1672GE diesel engine generator at $165,995.00 ($187,377.63 including tax and freight). PowerGen Inc. submitted a quote for $217,151.15. Sunbelt Rental and CH Bull Company were contacted but provided no proposals.
2) C&D Power Inc. will furnish and deliver all the necessary equipment and parts to provide Sharp Park Pump Station with a functioning and highly improved generator. The purchase will include cables, wire connectors, and all electrical parts necessary. 3) Staff reached out to generator vendors for providing a rental standby generator, and C&D Power submitted the lowest quote for the rental generator at $9,826.00 per month ($117,912.00 for twelve months). PowerGen Inc. provided a rental quote at $10,626.38 per month, and Sunbelt Rentals provided a rental quote at $14,805.85. 4) The 550 KW Blue Star VD550-02FT4 Genset Volvo TYWS1672GE diesel engine generator is also a portable unit, which can be used at different locations during future emergencies.
For these reasons, the City Manager is recommending the City Council approve a resolution authorizing the City Manager to award and execute a Purchase Agreement for a new generator, including a 12 month generator rental, with C&D Power Inc. and approve a total project budget of $335,789.63, including a 10% contingency, and authorize the City Manager to execute all documents related to the purchase and rental agreement.
ALTERNATIVE ACTION:
The Council may choose not to approve the purchase and rental with C&D Power; however, doing so would delay the replacement of the broken generator unit, will likely increase project costs, and will subject the City to possible Sanitary Sewer Overflows (SSOs) in the Sharp Park neighborhoods. The City Manager does not recommend this alternate action.
RELATION TO CITY GOALS AND WORK PLAN:
Approval of the Purchase Agreement is consistent with the following Council adopted Goals:
· Improve and steward City infrastructure, streets and facilities: The purchase will improve conveyance of Sharp Park Pump Station and help reduce Sanitary Sewer Overflows (SSO’s) at Sharp Park Pump Station neighborhoods. Protecting public health and our environment.
FISCAL IMPACT:
Pacifica City Council 3
December 11, 2023
The cost of purchasing and renting the generator 550 KW, Blue Star VD550-02FT4 Genset Volvo TYWS1672GE diesel engine generator unit is $335,789.63. An appropriation of $300,000 from the Wastewater Enterprise Fund 34 fund balance to the Sharp Park Pump Station R&R Project is required for the purchase and to allow additional money in this CIP budget incase further repairs are needed to the Pump Station.
The Source and Use of Funds spreadsheet is shown below:
Total Use of Funds
Purchase Agreement (including tax and freight) $ 187,377.63 Rental Agreement ($9,826/month for 12 months) $ 117,912.00 10% contingency $ 30,500
Total Cost $ 335,789.63
Total Project Source
Enterprise Fund (Fund 34) Account No
34.900000.52800.C008.000
$ 136,025.98
Appropriate from Fund 34 Sewer CIP Fund
Balance
$ 300,000.00
Estimated Project End Balance $ 100,236.35
ORIGINATED BY:
Public Works - Wastewater Division
ATTACHMENT LIST:
Sharp Park Generator Purchase Agreement (PDF)
Pacifica City Council 4
December 11, 2023
RESOLUTION NO. _______
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PACIFICA
APPROVING A PURCHASE AGREEMENT BETWEEN THE CITY OF PACIFICA AND C&D POWER INC. FOR PURCHASE AND 12-MONTH RENTAL OF A GENERATOR UNIT, APPROPRIATE $300,000 FROM WASTEWATER FUND 34 BALANCE TO SHARP PARK PUMP STATION FACILITY PROJECT, APPROVE A TOTAL BUDGET OF $335,789.63, AND
AUTHORIZE THE CITY MANAGER TO EXECUTE ALL DOCUMENTS RELATED TO THE
PURCHASE AND RENTAL NOT TO EXCEED THE BUDGET AMOUNT
WHEREAS, during the FY 2022-23 budget approval process, the City Council approved funding for the Sharp Park Pump Station R&R Projects (formerly Sharp Park PS Facility Improvements Project); and
WHEREAS, the Sharp Park Pump Station R&R Project has insufficient funding and an appropriation of $300,000 from the Wastewater Enterprise Fund 34 fund balance to the Sharp Park Pump Station R&R Project is required; and
WHEREAS, the Project includes the Purchase of 550 KW, Blue Star, VD550-02FT4, Genset Volvo generator unit; and
WHEREAS, staff reached out to four generator vendors for providing a new replacement generator and C&D Power submitted the lowest quote for the purchase of a new 550 KW, Blue Star VD550-02FT4 Genset Volvo TYWS1672GE diesel engine generator at $165,995.00 ($187,377.63 including tax and freight). PowerGen Inc. submitted a quote for $217,151.15.
Sunbelt Rental and CH Bull Company provided no proposals; and WHEREAS, C&D Power Inc. to furnish and deliver all the necessary equipment and parts to provide Sharp Park Pump Station a functioning and highly improved generator. The purchase will include cables, wire connectors, and all electrical parts necessary; and WHEREAS, staff reached out to three generator vendors for providing rental standby generator, and C&D Power submitted the lowest quote for the rental generator at $9,826.00 per month ($117,912.00 for twelve months). PowerGen Inc. provided rental quote at $10,626.38 per month, and Sunbelt Rentals provided rental quote at $14,805.85; and WHEREAS, the 550 KW Blue Star VD550-02FT4 Genset Volvo TYWS1672GE diesel engine generator is also a portable unit which can be used at different locations during future emergencies; and
WHEREAS, the Purchase will improve conveyance of Sharp Park Pump Station and help reduce Sanitary Sewer Overflows (SSO’s) at Sharp Park Pump Station neighborhoods, protecting public health and our environment.
NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Pacifica to:
Appropriate $300,000 budget authority to Wastewater Enterprise Fund for FY2023-2024, approval for purchase of a new generator and approval of a rental generator between the City of Pacifica City Council 5
December 11, 2023
Pacifica and C&D Power, via a formal bidding process, in the total amount of $335,789.63 including a 10% contingency a 550 KW, Blue Star VD550-02FT4 Genset Volvo TYWS1672GE diesel engine generator for Sharp Park Pump Station and authorize the City Manager to execute all documents related to the project.
• • • • •
PASSED AND ADOPTED at a regular meeting of the City Council of the City of Pacifica, California, held on the 11
th day of December 2023, by the following vote:
AYES, Councilmembers:
NOES, Councilmembers
ABSENT, Councilmembers:
ABSTAIN, Councilmembers:
_________________________________
Tygarjas Twyrls Bigstyck, Mayor
ATTEST: APPROVED AS TO FORM:
______________________________ _________________________________ Sarah Coffey, City Clerk Michelle Kenyon, City Attorney