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SR - AGR-6498 - WELL 26 VARIABLE FREQUENCY (VFD) REPLACEMENT1. SUBJECT Award of contract — Bid No. 167 -50 Well 26 Variable Frequency Drive (VFD) Replacement 2. SUMMARY One bid for the Well 26 VFD Replacement Project were received and opened on June 22, 2017. The apparent low bidder is Brithinee Electric, Inc. 3. RECOMMENDED ACTION Award a contract in the amount of $111,723 to Brithinee Electric, Inc. and authorize the Mayor and the City Clerk to execute on behalf of the City. 4. FISCAL IMPACT Funds are available to cover the cost of the purchases as follows: 600.8011.51510.00000 Maintenance of Wells $503,170 5. STRATEGIC PLAN GOAL(S) Provide for a safe community — b. Provide and maintain infrastructure necessary to ensure the safety of the public. 2. Be a fiscally healthy community — d. Effectively manage and develop City assets. 4. Provide outstanding public service — b. Provide facilities and services to meet customer expectations. 6. GENERAL PLAN IMPLEMENTATION Infrastructure Element Goal 6.0: Ensure water, sewer, and storm drain systems that meet the needs of residents and businesses. Policy 1.1: Provide sufficient levels of water, sewer, and storm drain service throughout the community. Economic Development Element Goal 6.0: Provide sufficient infrastructure to support anticipated economic development and growth. Policy 6.1: Provide public improvements to support commercial, industrial and institutional uses. 7. DISCUSSION and BACKGROUND Well 26 is located at 218 City Blvd. West within the Outlet of Orange. It was constructed in 2001 and produces approximately 3,000gpm. This well is equipped with a Variable Frequency Drive (VFD) to protect the water system from the high pressure in this area. Due to the age of this facility, the existing VFD unit has failed and is not operational. Staff contacted and consulted with qualified contractors to formulate an appropriate repair solution. It is recommended that the old VFD unit be replaced with a more modern equipment. Bids were requested to replace the existing VFD unit with a new Toshiba VFD unit. Six (6) bid packages were sent to contractors. One bid was received and opened on June 22, 2017. Staff also received an email from Halcyon Electric declining to bid due to their current workload. The Engineer's estimate for this project is $115,000. The result of the bid opening is as follow: 1. Brithinee Electric, Inc. $ 111,723 Staff has conducted a due diligence review of the lowest bidder, Brithinee Electric, Inc. They are a qualified and capable contractor that can safely perform the repair work at Well 26. They have also completed some repair work for the City in the past including motor rewind, electrical panel modification, motor control center upgrade, and VFD installation. Therefore, staff is recommending that Brithinee Electric, Inc. be awarded the contract in an amount not to exceed $111,723. 8. ATTACHMENTS Bid Results Draft Contract Agreement