REPORT TO THE CITY COUNCIL
FROM: BROCK D. BUCHE, PE, PLS, Director
Department of Public Utilities
BY: JESUS A. GONZALEZ, PE, Public Utilities Manager
Department of Public Utilities - Utilities Planning & Engineering
PATRICIA DIEP, Supervising Engineering Technician
Department of Public Utilities - Utilities Planning & Engineering
SUBJECT
Title
Actions pertaining to Reclamation Well Power Poles Replacement (Bid File 12300454) (Council District 3):
1. Adopt a finding of Categorical Exemption per staff determination pursuant to Class 1, Section 15301(b)&(d) (Existing Facilities) and Section 15302(c) (Replacement or Reconstruction) of the California Environmental Quality Act Guidelines; and
2. Award a construction contract to A-C Electric Company, in the amount of $176,700.00.
Body
RECOMMENDATIONS
Staff recommends the City Council adopt a finding of Categorical Exemption pursuant to Class 1, Section 15301(b)&(d) (Existing Facilities) and Section 15302(c) (Replacement or Reconstruction) of the California Environmental Quality Act (CEQA) Guidelines for the Reclamation Well Power Poles Replacement (Project); award a construction contract for the Project to A-C Electric Company in the amount of $176,700.00; and authorize the Director of Public Utilities, or designee, to sign and execute all documents on behalf of the City of Fresno (City).
EXECUTIVE SUMMARY
In 2016, the Fresno-Clovis Regional Wastewater Reclamation Facility (Facility) had an electrical power supply pole audit to determine the condition of the poles, which identified numerous poles in need of replacement. This Project will prevent electrical power supply failures from affecting the reclamation well field. After a competitive bidding process, the Department of Public Utilities, Wastewater Management Division, is seeking to award a construction contract for the Project in the amount of $176,700.00 to A-C Electric Company. The Project needs to be awarded at the January 12, 2023 Council Session because the bid will expire, within sixty-four (64) days of bid opening, on January 25, 2023.
BACKGROUND
The Facility has approximately fifteen (15) miles of overhead medium voltage power lines supported by wooden electrical power supply poles, which are used to deliver electrical power supply to the reclamation wellfield and electrical appurtenances amongst the percolation basins. In 2016, an audit was conducted to determine the condition of the poles and identify deteriorated poles in need of replacement. Based on the findings of that audit, the Department of Public Utilities has gradually replaced deteriorated electrical power supply poles since 2017. The power poles to be replaced through this Project are the last of deteriorated poles identified as needing replacement. Each of those deteriorated electrical power supply poles have surpassed their service life and are at high risk of causing electrical supply failure.
The Project consists of removal and replacement of forty-one (41) electrical power supply poles by first removing the pole and electrical fixtures, installing 40-foot tall Class 5 rated wood power poles, then replacing or reinstalling the existing 10-foot copper clad ground rods, ground rod conductor clamps and #6 solid copper ground conductors. Additionally, the Project includes installation of pole numbering and any reflectors on the new poles.
Following preparation of Project plans and specifications, a Notice Inviting Bids was published on October 19, 2022, and posted on the City’s Planet Bids website. The plans and specifications were distributed to sixteen (16) prospective bidders and posted at nine (9) Building Exchanges. Three (3) sealed bid proposals were received and publicly opened on November 22, 2022. The bid proposals ranged from $175,685.54 to $264,358.00 with Valley Alpha Electric, Inc. appearing to be the lowest responsive and responsible bidder, with the bid amount of $175,685.54 without extending the 5% local preference in the bid price. However, application of the 5% local preference resulted in A-C Electric Company being determined as the lowest responsive and responsible bidder, with a bid amount of $176,700.00.
Staff recommends that City Council award a construction contract to A-C Electric Company, in the amount of $176,700.00, as the lowest responsive and responsible bidder when the 5% local preference is applied in the evaluation of competitive bids. Their bid price is 4.49% below the Construction Allocation of $185,000.00. The bid will expire within sixty-four (64) days of bid opening, on January 25, 2023.
ENVIRONMENTAL FINDINGS
Staff has performed a preliminary environmental assessment for this Project and has determined that it falls within the Categorical Exemption pursuant to Class 1, set forth in CEQA Guidelines, Sections 15301(b)&(d) (Existing Facilities), which exempts the repair and maintenance of existing facilities that involves negligible or no expansion of an existing use; and Section 15302(c) (Replacement or Reconstruction), which exempts replacement or reconstruction of existing structures and facilities where the new structure will be located on the same site as the structure replaced. Furthermore, none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines, Section 15300.2, apply to this Project.
LOCAL PREFERENCE
Local preference did affect the award of this project because one of the bidders is a local business according to the Fresno Municipal Code Section 4-108. The apparent lowest responsive and responsible bidder is not a local business; therefore, a 5% local preference is applied to the lowest responsive and responsible bid which increased their new bid amount to $184,469.82. As a result, the local bidder is now ranked as the lowest responsive and responsible bidder.
FISCAL IMPACT
There is no impact to the General Fund. Funding for the Project is included in the Wastewater Management Division’s five-year Capital Improvement Program budget within the Sewer Enterprise Fund 40501. Funds in the amount of $206,600.00 for this Project are budgeted in the Fiscal Year 2023 Sewer Enterprise Fund 40501. This Project is located in Council District 3.
Attachments:
Attachment 1 - Bid Evaluation and Fiscal Impact Statement
Attachment 2 - Sample Contract
Attachment 3 - Vicinity Map
Attachment 4 - Notice of Exemption
Attachment 5 - Environmental Assessment