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Agenda Item # 17

  Date: November 6, 2003
  Committee Meeting Date: November 20, 2003
  Board Meeting Date: December 4, 2003
  ACTION    X      DISCUSSION   ___ INFO   ___

BOARD MEMORANDUM

TO: Transit Planning and Operations Committee
 Santa Clara Valley Transportation Authority
 Board of Directors
  
THROUGH:Peter M. Cipolla
 General Manager
  
FROM:Frank T. Martin
 Chief Operating Officr
  
SUBJECT: Emergency Generator Systems Maintenance


RECOMMENDATION:

Authorize the General Manager to execute a contract with Pacific Power Service Corporation for Emergency Generator, UPS (Uninterruptible Power Systems), and Switchgear preventive maintenance and repair at various VTA facilities.  The term of the contract is for three years with two one-year options in the amount of $166,534 for year one, $165,460 for year two, and $169,036 for year three. Option year four is $173,132 and option year five is $174,328.  The total amount of the contract is $848,490 for the five-year period. 

BACKGROUND:

Emergency Generator, UPS, and Switchgear preventive maintenance/repair services are necessary to maintain emergency electrical power to customers and employees at the following VTA facilities:  Overhaul and Repair, Cerone, Chaboya, North and Guadalupe Maintenance & Operations Divisions, and River Oaks.

VTAs current contract for these services is with Pacific Power Service and was awarded on December 1, 2000 for a period of three years, expiring on December 2, 2003.  

DISCUSSION:

On September 17, 2003, an Invitation for Bids (IFB) was issued to solicit qualified firms to provide Emergency Generator, UPS, and Switchgear preventive maintenance/repair services to VTA-owned equipment.  The IFB was based on fixed unit pricing for each location for a three-year period.  On October 14, 2003, at 1:00 p.m., one sealed bid was received with the following results:

  •  Pacific Power Service Corp.                              $321,030

           Engineers Estimate (3 Year Basis)                    $288,400

Bids were quoted based on VTAs Emergency Generators and related equipment maintenance and repair service requirements using a fixed cost for scheduled quarterly, semi-annual, and annual preventive maintenance.  Unit pricing was used for unscheduled (on call) labor.  The first year cost of the fixed price and time and materials contract proposed by Pacific Power Service Corp. is $106,534 with an additional $60,000 per year contingency to cover materials and parts for a total cost of $166,534.   This includes $75,444 for scheduled preventive maintenance, $28,500 for 300 regular labor hours, and $2,590 for 19 emergency labor hours.  The terms of the bid document include a provision that the contractor be reimbursed for materials and electronic equipment purchased at the rate of net cost plus 15 percent for overhead and profit plus applicable tax.

Due to the specialized type of work and the critical nature of services needed, Pacific Power Service Corp. was the only bidder.  The bid is approximately 11.3 % higher than the Engineers Estimate. VTA staff recommends awarding the contract for services to Pacific Power Service Corp.

ALTERNATIVES:

There are no practical alternatives to the recommended action.

FISCAL IMPACT: 

Funding for these services is included in the FYs 2003-2004 and 2004-2005 Adopted Budget.  Funding for additional years of this contract will be included in future operating budget proposals.

DISADVANTAGED BUSINESS ENTERPRISE (DBE) PARTICIPATION:

Based on the limited scope of work and no subcontracting opportunities, no specific goal has been established for this contract.  Contractor is encouraged to make reasonable efforts to utilize DBEs in its procurement of ancillary services and products associated with the performance of this contract.

 

Prepared by: Robert T. Halstead
  

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