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Item No: 5E.

 

Meeting Date: January 28, 2013

 

From: Mike Thornton, Purchasing Manager for

DC Maudlin, Acting Public Works Director

 

Subject: Resolution authorizing execution of an agreement with Ring Power Corporation for emissions compliance upgrades to six stationary generators.

 

 


Staff Recommendation:

Staff recommends approval of the resolution authorizing execution of an Agreement with the Ring Power Corporation for performing compliance upgrades for six stationary generators for a total cost of $142,549.75.

 

Analysis:

The purpose of this purchase is to contract with a qualified company to install emission upgrades on six City owned back-up generators in order to meet Federal Environmental Protection Agency (EPA) requirements.

 

The City has a total of 51 active generators both portable and stationary. Those generators that are used for electric peak-shaving, or load curtailment, for more than 50 hours per month must be upgraded to reduce exhaust emissions in accordance with EPA guidelines. Because the six generators listed are used for peak shaving, they are no longer considered emergency back-up generators by the EPA.

 

Recently, the Environmental Protection Agency (EPA) finalized amendments to the National Emissions Standards for Hazardous Air Pollutants (NESHAP) for stationary reciprocating internal combustion engines (RICE) several categories of stationary reciprocating internal combustion engines that directly impacts the engines of several emergency generators owned by City Departments as listed below under Procurement Information.

In 2004, EPA finalized the first regulation for stationary RICE greater than 500 HP located at major sources of HAP. In 2008, EPA finalized regulations for new RICE less than or equal to 500 HP.

 

After the publication of the final rules in 2010, various stakeholders raised a number of issues through lawsuits, petitions for reconsideration of the final rule and other communications. The stakeholders requested that EPA reconsider standards for operation of emergency engines.

 

EPA granted the petitions, held public hearings addressed the issues, and issued a final decision January 14, 2013, which presently requires the effected engines to be in compliance by May 2013.

The rules effecting Leesburg generators, as well as other municipalities, had been published previously; however, due to the ongoing EPA deliberations creating the possibility of revisions, the compliance date appeared to have become a moving target.

 

Procurement Information:

In the interest of time, the Purchasing Division with the concurrence of Fleet Services Division issued Invitation to Bid number 130191 on December 31, 2012. Notification of this opportunity was made by legal advertisement, as well as, posting on-line at publicpurchase.com.

 

On January 17, 2013, only one bid response was received. The bid was evaluated by purchasing and fleet services staff and is deemed to be reasonable and acceptable.

Ring Power has successfully performed other work on City generators for the City in the past. A review of the Department of Professional Regulation website revealed the contractor is appropriately licensed and has not had any complaints filed with the State.

 

Bid Tabulation Ring Power Corporation

Unit Number

Location

Cost of Upgrade

789

Turnpike Waste Water Treatment Plant

1600 CR 470, Okahumpka

$24, 802.00

3020

Water Treatment Plant

223 S. 5th Street, Leesburg

$26, 729.00

7014

Water Tower at Lake Square Mall

10401 US Highway 441, Leesburg

$22, 819.50

7016

Fleet Service/Public Works

550 South 14th Street, Leesburg

$23, 610.95

7056

Waste Water Treatment Influent

628 North Canal St., Leesburg

$21, 419.30

7057

Waste Water Treatment Operations

628 North Canal Street, Leesburg

$28, 180.20

8012

Police Department

115 E. Magnolia Street, Leesburg

$21, 717.80

TOTAL

$169, 278.75

$142,549.75

 

The strike through reflects a revision to the number of generators to be upgraded. The generator located at the Water Treatment Plant is an older piece of equipment that is scheduled to be replaced during the next fiscal year (2013-2014). If required, the replacement unit will be purchased with the appropriate emissions equipment.

 

The Local Vendor Preference (LVP) preference was not a factor in this bid evaluation in that no vendors qualifying as a local vendor submitted a bid.

 

Options:

1. Approve execution of the agreement with Ring Power Corporation; or

2. Such alternative action as the Commission may deem appropriate

 

Fiscal Impact:

Funds are budgeted and available in the Fleet Services Capital Improvement Fund.

 

Submission Date and Time: 1/23/2013 5:58 PM____

 

Department: _Fleet Services___________

Prepared by: _Mike Thornton__________

Attachments: Yes_X__ No ______

Advertised: X___Not Required ______

Dates: _12/30/2012_________________

Attorney Review : Yes___ No ____

_________________________________

Revised 6/10/04

 

Reviewed by: Dept. Head ________

 

Finance Dept. __________________

Deputy C.M. ___________________

Submitted by:

City Manager ___________________

 

Account No. _510-5199-519.64-10__

 

Project No. __FLEET_________

 

WF No. ____WF0807976/27_____

 

Budget ______$183,423.00________

 

Available _____$183,423.00_______


 

RESOLUTION NO._______________

 

RESOLUTION AUTHORIZING EXECUTION OF A FURNISH AND INSTALL AGREEMENT WITH RING POWER CORPORATION FOR EMISSIONS EQUIPMENT UPGRADES TO SIX STATIONARY BACK-UP GENERATORS FOR A TOTAL AMOUNT OF $142,549.75

 

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

 

THAT the Mayor and City Clerk are hereby authorized to execute an agreement with RING POWER CORPORATION whose address is P.O. BOX 935004, ATLANTA, GA 31194-5004, for emissions equipment upgrades to six (6) stationary generators pursuant to Invitation to Bid 130191.

 

THAT this resolution shall become effective immediately.

 

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the __28th___ day of __January___ 2013.

 

 

 

_________________________________

Mayor

 

ATTEST:

 

 

___________________________________

City Clerk