TO: Mayor and Members of City Council
THRU: Marion J. Noland, Interim CEO/General Manager
Fayetteville Public Works Commission
FROM: Fayetteville Public Works Commission
DATE: January 9, 2023
RE:
Title
Bid Recommendation - Power Transformers for Multiple Substations
end
COUNCIL DISTRICT(S):
Council District(s)
All
b
Relationship To Strategic Plan:
High Quality Built Environment
Executive Summary:
Bids were received for the three (3) 67K Delta to 13.08y/7.56KV WYE with LTC 24/35 8/44.8MVA Power Transformers for Multiple Substations. The recommended lowest responsive, responsible bidder is Virginia Transformer Corp., Roanoke, VA in the total amount of $4,596,699.00.
Background:
The Fayetteville Public Works Commission, during their meeting on December 14, 2022, approved the bid recommendation to award the bid for the purchase of three (3) 67K Delta to 13.08y/7.56KV WYE with LTC 24/35.8/44.8MVA Power Transformers for Multiple Substations to Virginia Transformer Corp., Roanoke, VA, the lowest responsive, responsible bidder in the total amount of $4,596,699.00, and to forward the recommendation to the City Council for approval.
Bids were received on October 20, 2022, as follows:
BIDDERS TOTAL COST
* Transformer & Rectifiers (India) Limited, Gujarat, India $3,192,355.00
** Fleming Electric, Inc., Redwood City, CA $4,576,950.00
Virginia Transformer Corp., Roanoke, VA $4,596,699.00
Niagara Power Transformer, Buffalo, NY $4,721,547.00
Pennsylvania Transformer Technology, Inc., Canonsburg, PA $5,497,011.00
WEG Transformer USA, Washington, MO $6,227,663.00
Issues/Analysis:
Notice of the bid was advertised through PWC’s normal channels on August 26, 2022, with an initial bid submission deadline of October 6, 2022. PWC staff issued Addendum Nos. 1 and 2 to extend the bid submission deadline to October 20, 2022, and to clarify the exact time of the deadline. The Electric Systems Support Department has reviewed the bid submissions and agrees with the recommendation to award the bid to Virginia Transformer Corp.
* The Instructions to Bidders for this purchase specifically required bidders to submit with any bid “a cash deposit, cashier’s check, or certified check drawn on a bank or trust company insured by the Federal Deposit Insurance Corporation or Savings Association Insurance Fund, or a Bid Bond in an amount not less than five percent (5%) of the quoted bid price, not submit alternate bids unless specifically called for on the bid proposal form.” Transformer & Rectifiers (India) Limited did not submit the requisite deposit or bid bond. As such, PWC staff determined that the bid submitted by Transformer & Rectifiers (India) Limited is non-responsive.
** PWC staff determined based on a multitude of factors that the bid submitted by Fleming Electric, Inc., is not in the best interest of PWC as set forth in Exhibit A to this action request form
Budget Impact:
Cumberland Substation 058.0000.0802.2207988-02.690161.CPR1000471
Hoffer Substation 058.0000.0802.2102564-03.690161.CPR1000421
Yadkin Substation Replacement 058.0000.0802.2306582-03.CPR1000384
Options:
N/A
Recommended Action:
The Fayetteville Public Works Commission recommends the Fayetteville City Council approve the bid recommendation to award the purchase of the three (3) 67K Delta to 13.08y/7.56KV WYE with LTC 24/35.8/44.8MVA Power Transformers for Multiple Substations to Virginia Transformer Corp., Roanoke, VA, the lowest responsive, responsible bidder in the total amount of $4,596,699.00
Attachments:
Bid Recommendation - Three Transformers Substations; Bid Recommendation - Three Transformers Substations - Exhibit A