REPORT TO COUNCIL
SUBJECT
Title
Action on a Procurement Agreement with Wireless Structures Consulting, Inc. dba Western Utility Telecom, Inc. for the purchase of steel poles for Parker Substation
Report
BACKGROUND
Vantage Data Centers, LLC (Vantage) is expanding its business in Santa Clara through the construction of the Parker Substation for the Vantage McLaren Data Center. On August 29, 2017, Council approved an Electric Service and Substation Agreement with Vantage where Silicon Valley Power (SVP) would provide 73 MVA of capacity upon completion of restructuring the existing Southern electrical transmission loop (South Loop) in the year 2020 and Vantage would construct the Parker Substation per SVP’s standards and requirements. SVP’s procurement of five (5) custom engineered Tubular Steel Poles with full-length anchor bolt cages and one (1) light duty, direct embedded tangent pole is required to ensure Parker Substation has infrastructures in place to tie into SVP’s transmission system. SVP is preparing separately a Public Works bid document for the installation of these steel poles. All costs associated with procurement and construction will be reimbursed by Vantage Data Centers, LLC.
DISCUSSION
A Request for Bids (RFB) was issued on September 28, 2018 and four (4) proposals were received by the October 12, 2018 deadline as follows:
|
Bidder Name |
Bid Amount |
|
Dis-Tran* |
$ 233,960.00 |
|
Klute Incorporated |
$ 270,048.74 |
|
Sabre-FWT* |
$ 181,179.00 |
|
Wireless Structures Consulting, Inc. dba Western Utility Telecom, Inc. |
$ 240,676.00 |
* These bids are non-responsive due to longer than specified delivery lead times
To accommodate the forecasted energization date of May 6, 2019, the bidders were required to deliver the materials and equipment by a specified date to allow crews to install the transmission lines to finish the interconnection of Parker Substation. Bids from Sabre-FWT and Dis-Tran were deemed non-responsive because they submitted delivery lead times that were 20 weeks and 34 weeks longer than the required lead time of 8 weeks, respectively. The delivery dates of these poles are critical to maintaining Vantage’s energization date for Parker Substation. A copy of the Procurement Agreement is provided in Attachment 1.
Staff recommends award of contract to Wireless Structures Consulting, Inc. dba Western Utility Telecom, Inc. as the lowest responsive, responsible bidder pursuant to Section 2.105.270 of the Santa Clara City Code.
ENVIRONMENTAL REVIEW
The potential environmental impacts of the project were addressed in the Mitigated Negative Declaration prepared for the McLaren Data Center project (and which was certified/approved on March 29, 2017).
FISCAL IMPACT
The total cost of the Procurement Agreement with Wireless Structures Consulting, Inc. dba Western Utility Telecom, Inc. shall not exceed $240,676. Sufficient funds for this project are available in the FY 2018/19 Electric Department Capital Improvement Program Parker Substation Project Budget funded by Vantage’s developer contributions.
COORDINATION
This report has been coordinated with the Finance Department and City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov> or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
Approval of the Procurement Agreement with Wireless Structures Consulting, Inc. dba Western Utility Telecom, Inc. in an amount not to exceed $240,676 for the purchase of steel poles for the development of Parker Substation
Staff
Reviewed by: John C. Roukema, Chief Electric Utility Officer
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Procurement Agreement with Wireless Structures Consulting, Inc. dba Western Utility Telecom, Inc.