2015 2:00:00 PM

Monday, January 12, 2015 2:00 PM
Council Chambers, Legislative Bldg, 745 4th St., Sparks

Consent Items: 8.2

Title: Consideration and possible approval for an annual contract (AC-5109) in the amount of $150,904.00 to Nelson Electric Co., Inc. to supply contract labor to perform preventative maintenance on the electrical equipment located at the Truckee Meadows Water Reclamation Facility (TMWRF) with an option to annually extend the contract for up to one (1) additional year at the same hourly rate.

Petitioner/Presenter: Michael Drinkwater, P.E. – Treatment Plant Manager/Kim Laber – TMWRF Maintenance Manager

Recommendation: Staff recommends City Council enter into a contract with Nelson Electric Co., Inc. in the amount of $150,904.00.

Financial Impact: There is no impact to the General Fund. There remains $1,356,228.83 in appropriations for this electrical support. Expenses will be charged to TMWRF, Fund 5605, Account 603242, Professional Services- Other using Program 131505, TMWRF Operations. Following quarterly reconciliation of TMWRF’s operating expenses between the Cities of Sparks and Reno, affecting the Sanitary Sewer Operations Fund (1630), Sparks is quantifying reimbursement from the City of Reno based on actual flow splits provided by ADS Environmental. The flow split for the quarter ending September 30, 2014 of Fiscal Year 2014-2015, was 35.11% / 64.89% for the Cities of Sparks and Reno respectively and the approximate split is outlined in Attachment 1, Figure 1.

Total Costs: $150,904.00

Fund: Joint Treatment Plant Account: 603242
Program: TMWRF Operations (131505)
Amount: $150,904.00 Budget Status: Budget Exists

Business Impact (Per NRS 237):
A Business Impact Statement is not required because this is not a rule.

Agenda Item Brief:

City staff is asking the City Council to approve a contract with Nelson Electric Co., Inc. to provide contract labor to assist in performing preventative maintenance on electrical equipment at the TMWRF facility. The preventative maintenance is needed to ensure that the electrical equipment performs as intended in order to meet TMWRF’s discharge permit.

Background:

Electrical equipment plays a signification role in processing the wastewater that is treated at TMWRF. Electrical voltage entering the plant is converted from 25,000 volts via transformers to 4160, 2400, 480 and 120 volts. This power is used to run pumps, valves, computers and other equipment that ensures TMWRF meets its discharge permit. TMWRF is in the process of upgrading some original electrical equipment that has been in service beyond their normal useful life (40 years). During this electrical equipment replacement TMWRF has recognized that preventative maintenance needs to be performed on all the transformers, switch gear, breakers, relays and associated electrical equipment throughout the facility. A previous backlog of over 900 electrical preventative maintenance tasks (PMs) needs to be brought and kept current.

Analysis:

TMWRF recognized that preventative electrical maintenance had been deferred on major electrical components at the facility. While OSHA does not have a requirement for electrical preventative maintenance, they refer to the National Fire Protection Association’s NFPA 70B that outlines the frequency and scope of work that should be performed on electrical equipment. In addition, electrical manufacturers have detailed guidelines for performing electrical maintenance on their equipment. By utilizing the services of contract labor, staff believes that electrical preventative maintenance can be brought up to acceptable levels.

TMWRF will pay on an hourly reimbursement basis for actual hours scheduled and not on a guaranteed volume of hours. This contract is not to exceed 2080 hours with an option to renew for an additional 2080 hours.

The City of Sparks performed a Request for Proposal for On-Call Electrical Maintenance on October 1, 2014 (BID #14/15-007). The city received four proposals which were rated and evaluated by both TMWRF staff and an outside consultant. The unanimous choice was that Nelson Electric Co., Inc. best fit the needs and requirements of TMWRF.

Alternatives:

The City Council could approve the agreement as presented by staff.
The City Council could reject the agreement and provide direction to the City Manager.

Recommended Motion:

I move that City Council approve a contract (AC-5109) with Nelson Electric Co. Inc. to supply contract labor in the amount not to exceed $150,904.00.

Attached Files:

Attachment 1.pdf

Nelson Contract-On Call Electrical Maintenance.pdf

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