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File #: 21-0274    Version: 1
Type: Consent - Staff Report Status: Agenda Ready
In control: City Council Regular Meeting
On agenda: 11/16/2021 Final action:
Title: Consideration of a Resolution Approving an Agreement with Variable Speed Solutions Inc. for the Purchase and Installation of a Variable Frequency Drive for Well 11A at a Cost Not-to-Exceed $101,791.40 (Public Works Director Lee). A) ADOPT RESOLUTION NO. 21-0101 B) APPROPRIATE FUNDS
Attachments: 1. Resolution No. 21-0101, 2. Agreement - Variable Speed Solutions, Inc., 3. Quote Analysis/Proposal
TO:
Honorable Mayor and Members of the City Council

THROUGH:
Bruce Moe, City Manager

FROM:
Erick Lee, Public Works Director
Lourdes Vargas, Utilities Manager
Nicholle Petroff, Management Analyst
Eric Jensen, Water Supervisor

SUBJECT:Title
Consideration of a Resolution Approving an Agreement with Variable Speed Solutions Inc. for the Purchase and Installation of a Variable Frequency Drive for Well 11A at a Cost Not-to-Exceed $101,791.40 (Public Works Director Lee).
A) ADOPT RESOLUTION NO. 21-0101
B) APPROPRIATE FUNDS
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Recommended Action
RECOMMENDATION:
Staff recommends that the City Council adopt a resolution:
1) Approving an agreement with Variable Speed Solutions Inc. to install the Variable Frequency Drive system at Well 11A in the amount not-to-exceed $101,791.40 which includes the base price of $92,545.82 and a ten percent contingency of $9,245.58 for purchase and installation;
2) Authorizing the City Manager to execute the Agreement;
3) Appropriating $101,792 from the Water Fund balance.
Body
FISCAL IMPLICATIONS:
The total amount exceeds the City Manager's approval authority per the City's purchasing policy; therefore, City Council approval of the purchase and installation of the Variable Frequency Drive (VFD) is required. An appropriation for $101,792 from the Water Fund balance is required for the purchase. The project is approved in the Five Year Capital Improvement Plan in Fiscal Year (FY) 2022-2023 but, as explained below, the purchase was originally planned to occur after Peck Reservoir is completed in November 2022. The purchase of the VFD in the current fiscal year will allow the City to pump more groundwater locally now, and therefore purchase less imported (and more expensive) water. This move will allow the City to reduce Water Enterprise Fund expenditures by approximately $100,000 per month. When compared to the original plan to implement VFD technology, the total savings ...

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