REPORT TO COUNCIL
SUBJECT
Title
Action to Delegate Authority to the City Manager to Negotiate and Execute an Agreement for Services With Reliability Optimization, Inc. for Predictive Maintenance Services for Silicon Valley Power
Report
COUNCIL PILLAR
Deliver and Enhance High Quality Efficient Services and Infrastructure
BACKGROUND
Silicon Valley Power (SVP), the City of Santa Clara's Electric Utility, owns significant assets requiring ongoing maintenance including three power plants, substations, and transmission and distribution lines largely located within the City of Santa Clara (City). As part of SVP's ongoing preventative maintenance program, SVP uses a contractor to perform predictive maintenance testing services. This testing is a critical component of SVP's Preventative Maintenance strategy. Results indicate machinery health and identify potential failure mechanisms. With information gained from these predictive maintenance testing services, SVP can allocate resources to prevent failures and resulting outages.
DISCUSSION
On July 5, 2022, the City published Request for Proposals (RFP) #21-22-78 for Predictive Maintenance Services. One proposal was received from Reliability Optimization Inc. (ROI). ROI is the incumbent vendor, and their proposal was found to be responsive to the requirements of the RFP. Purchasing staff reached out to a second firm that viewed the RFP to find out why they did not submit a proposal. They informed staff that many of the required services would need to be subcontracted, therefore, they decided not to participate in the process.
Staff recommends awarding the agreement to ROI. ROI has demonstrated experience and expertise providing quality predictive maintenance services for SVP's power plants, and, recently, for SVP's substation assets. Under the proposed agreement, ROI will provide all labor, materials, equipment, and technical expertise needed to provide the required services including vibration testing and an...
Click here for full text