CITY COUNCIL ACTION REQUEST
Department(s):
Finance
CEQA: Not a Project, File
No. PP17-003,
Agreements/Contracts (New
or Amended) resulting in no
physical changes to the
environment.
Coordination:
City Attorney’s Office; City
Manager’s Budget Office;
Department of Environmental
Services; Department of
Public Works
Dept. Approval:
/s/
Rick Bruneau
Council District(s):
Citywide
CMO Approval:
9/11/23
SUBJECT: ACTIONS RELATED TO THE PURCHASE ORDERS WITH VALLEY POWER SYSTEMS NORTH, INC. FOR ENGINE AND GENERATOR REPAIR SERVICES RECOMMENDATION:
Adopt a resolution authorizing the City Manager or designee to:
a) Amend purchase orders OP 63368 and OP 63537 with Valley Power Systems North, Inc. (City of Industry, CA) for engine and generator repair services to increase the total compensation by $200,000, for a maximum compensation not-to-exceed $450,000 for the period ending on or about April 12, 2024.
b) Exercise up to four one-year options to extend the term of the purchase orders with the last option ending on or about April 12, 2028, subject to the appropriation of funds.
Desired Outcome: Authorizing the City Manager to take this action provides the City with engine and generator repair services.
BASIS FOR RECOMMENDATION:
The Department of Public Works and Department of Environmental Services are responsible for overseeing the maintenance and repair of engine and emergency generators. Generators are used in various applications throughout the City, including for potable water delivery. Outside service providers are utilized to deliver specialized repair and maintenance services for generators and related equipment. Utilizing these outside service providers allows the City to minimize department operational impacts and mitigate equipment downtime. These engine and generator repair services are essential for safety and to preserve City assets.
In November 2022, a competitive Request for Bids was released by the Finance Department to procure these services. Two responsive bids were submitted, and no protests were received. Neither bidder applied for the City’s local or small business preferences. Staff awarded to Valley Power Systems North, Inc. as the lowest priced, responsive, and responsible bidder pursuant to the bidding procedures of the San José Municipal Code, Section 4.12.310B under City Manager authority. Approval of this recommendation will ensure the City continues to receive these essential engine and generator repair services with minimal impact to operations.
Commission Recommendation/Input: There is no commission recommendation or input associated with this action.
COST AND FUNDING SOURCE:
* The 2023-2024 Adopted Operating Budget was approved on June 13, 2023 and adopted on June 20, 2023 by the City Council .
Fund # Appn #
Appn. Name
Total Appn.
Amt. for
Recommendation
2023-2024 Proposed
Budget Pg.*
Last Budget Action
(Date, Ord. No)
552 0572
NP/EQUIP-PUBLIC
WORKS $3,041,166 $100,000 946
06/20/23,
30933
515 0762
NP/EQUIP-
ENVIRONMENTAL SVCS $45,566,632 $100,000 947
6/20/2023,
30933
FOR QUESTIONS CONTACT: Albie Udom, Deputy Director of Finance – Purchasing & Risk Management, at [email protected].
COUNCIL AGENDA: 9/26/23
FILE: 23-1270
ITEM: 2.11