REPORT TO COUNCIL
SUBJECT
Title
Action to Authorize the City Manager to Increase the Purchase Order Authorization with 3M Company for 715 Aluminum Conductor Composite Reinforced Conductors and Accessories for an Aggregate Maximum Compensation Amount of $5,000,000
Report
BACKGROUND
In 2008, the City of Santa Clara's Electric Department, Silicon Valley Power (SVP), adopted 3M Aluminum Conductor Composite Reinforced (ACCR) as the standard conductor for new and reconductored transmission lines within the City. A sole source justification for ACCR conductors was submitted to the Purchasing Division Manager in 2015. In 2023, the Purchasing Division Manager reaffirmed the sole source determination for an additional five years through June 2028, after determining that no other manufacturers were identified that could provide a conductor meeting SVP's requirements. Accordingly, purchases of ACCR conductors and related accessories qualify under the single source criteria exception set forth in Section 2.105.280(b)(2) of the Santa Clara City Code. This section authorizes purchases that are "required to ensure operation or function to match other products with respect to repair, expansion, or completion of a system, existing structure or program currently in use by the City, including, but not limited to, utility and technology purchases required to achieve interoperability with existing systems or programs." Consistent with section 2.105.280(b)(2), the sole source determination was based on the fact that continued of the same conductor ensures consistency in system design, operations, maintenance, repairs, and future system expansions while maintaining interoperability with the SVP's existing transmission infrastructure.
Consistent with this sole source determination, ACCR conductors and related accessories are purchased directly from 3M Company to obtain the most favorable pricing by avoiding distributor markups.
On March 19, 2024 (RTC 24-33), the City Council authori...
Click here for full text