REPORT TO COUNCIL
SUBJECT
Title
Action to Authorize the City Manager to Negotiate and Execute Amendments to the Agreement with Intertek USA, Inc., to Provide Non-Destructive Examination, Consulting, and Engineering Services for Silicon Valley Power, for a Total Not-to-Exceed Compensation of $1,050,000
Report
BACKGROUND
Silicon Valley Power (SVP), the City of Santa Clara's electric utility, operates and maintains electric generation facilities and associated critical equipment that require specialized technical services to support safe, reliable, and efficient operation. This equipment includes pumps, piping systems, pressure vessels, turbines, generators, and condensers.
In January 2024, staff issued a formal competitive solicitation for non-destructive examination, consulting, and engineering services to support inspection and condition assessment of critical power generation equipment at SVP facilities. The solicitation sought qualified firms capable of performing specialized inspection and testing services, including visual inspections, ultrasonic testing, radiographic testing, dye penetrant and magnetic particle testing, hardness testing, and other diagnostic methods used to detect material degradation, cracking, corrosion, and structural defects. The scope also included engineering consulting services such as equipment condition assessments, piping and heat recovery steam generator (HRSG) inspections, flow-accelerated corrosion evaluations, and technical analysis to support maintenance planning and reliability of plant equipment. Following an evaluation process, staff selected Intertek USA, Inc. (Intertek) to provide these services at the Donald Von Raesfeld and Gianera power plants.
In October 2024, the City Manager executed an agreement with Intertek for a maximum compensation amount of $250,000, in accordance with Section 2.105.300(a) of the Santa Clara City Code, which authorizes the City Manager to execute agreements on behalf of the City in amount...
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