ITEM #5
July 8, 2025 RTC #25-417
Action on Award of
Contract for NRS Project
to Henkels & McCoy
RTC 25-417
Item #5
1852
THE MISSION CIT
July 8th, 2025
1 Background
• Silicon Valley Power (SVP), issued a Public Works project bid for:
NORTHERN
• Northern Receiving Station (NRS) - Project No. 2454 4 RECEIVING
STATION
• This project is part of SVP's Capital Improvement Program (NRS) (CIP) Gurus Cosege
• Projects were identified in SVP's Three-Year System to1 NORTH SANTA CLARA
Growth Plan Strategy SCOTT
wien "RECEIVING
• Accepted by City Council on September 28, 2021 (RTC#21-871) STATION (SRS)
• Purpose of the Projects are to: ste KIFER
RECEIVING
• Upgrade SVP's transmission system STATION
• Support anticipated system load growth (KRS)
• Replace end-of-life equipment Oco
Slara
• Maintain system reliability
2 POST MEETING MATERIAL
1 July 8, 2025 RTC #25-417
NRS Project Scope
• Increase station reliability with additional
transformers and reconfiguring/expanding 60kV,
115kV, and 230kV buses and air insulted switchgear
(AIS) to Double-Bus-Double-Breaker (DBDB)
• Increase capacity from 372MVA to over 900MVA
• Three 115kV/60kV, 336 MVA power transformers
• Two 230kV/115kV, 560 MVA power transformers
• Schedule considerations:
• City began long lead material procurement in 2023
• Start Construction - 3rd quarter 2025 Northern Receiving Station • Work Completion- 1s* quarter 2028
3 Request for Bid (RFB) Summary
• First RFB Issuance Period: March 11, 2025 - May 15, 2025 • Second RFB Issuance Period: May 21, 2025 - June 12, 2025 • Henkels & McCoy West, LLC (Lowest Responsive Bidder)
• Bid Opening: $47,783,784.64
• Corrected Bid: $47,788,603.86
• 32% under engineer's estimate of $70,300,000
• PAR Western Line Contractors, LLC
• Bid Opening: $45,700,982.00
• Corrected Bid: $49,763,888.61
• 29% under engineer's estimate of $70,300,000
Northern Roceiving Station
4 2
July 8, 2025 RTC #25-417
Request for Bid (RFB) Summary Silicon Valloy Power News • SVP follows the Public Works bidding process
• Two bids received (typical of projects of this size
and complexity)
• Mandatory pre-bid conducted with ~ 7 potential bidders • Outreach to contractors on the overall System
Expansion Program began November 2024 with
regular communication on upcoming bid
opportunities
5 Alternate Bid Items
• Staff requests the approval of Bid Alternates #1-9
• Bid alternates were included for work to prepare the site to support the future work approved by CAISO as part of the TPP 24/25 on May 22, 2025.
• Modification of existing caisson foundations
• Replacement of steel structures
• Demolition of existing main bus
• Replacement of new main and transfer bus at the
various voltage levels throughout the yard
• Bid Alternates #1-9 = $12,068,489.28
• Total-not-to-exceed amount of $59,857,093.14
• 15% under engineer's estimate of $70,300,000 Northern Receiving Station 6 3
July 8, 2025 RTC #25-417
FY 2025/26 Budget Amendment
Increase/ Accounts for additional
Current Revised
(Decrease) budgetary need:
Electric Utility Capital Fund (591) • PM services
Beginning Fund • Construction management
Besidede • Testing and commissioning
Beginning Fund $124,493,014 $16,000,000 $140,493,014
Balance Special testing services
Additional equipment and
Expenditures material costs (e.g.,
NRS Upgrades and $16,000,000 transformers)
Expansion Project $115,439,070 $131,439,070
7 Recommended Action
• Award the Public Works Contract for NRS Upgrade and Expansion (Contract No. 2454), to Henkels & McCoy West, LLC in the amount of $47,788,603.86 and authorize the City Manager or designee to execute the contract in a final form approved by the City Attorney • Authorize the City Manager or designee to take any actions necessary to implement and administer the Contract including executing any and all documents in furtherance of the award, completion, and acceptance of these projects and approval of:
• Bid Alternates #1-9, or $12,068,489.28, for a revised Contract Price not to exceed $59,857,093.14 • Any necessary change orders not to exceed 15% of the Contract Price, or $8,978,563.97, for a total not to exceed amount for the Contracts of $68,835,657.11
• Approve the FY 2025/26 budget amendment in the Electric Utility Capital Fund to increase the Unrestricted Beginning Fund Balance and increase the NRS Upgrades and Expansion Project in the amount of $16 million (five affirmative Council votes required to appropriate additional revenue
8 4
July 8, 2025 RTC #25-417
Action on Award of
SAT CLARA CONTE Contract for NRS Project
to Henkels & McCoy
RTC 25-417
Item #5
1852
THE MISSION GIM
July 8th, 2025
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