HomeMy WebLinkAboutE-12 - Staff Report - Purchase of Underground Copper Cable 11-5-2018 TJCONSENT ITEM
E-12
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
VIA: SERGIO GONZALES, CITY MANAGER
FROM: TALIKA JOHNSON, DIRECTOR OF FINANCE
DATE: NOVEMBER 5, 2018
SUBJECT: PURCHASE OF 500 KCMIL UNDERGROUND COPPER CABLE
BACKGROUND:
The City stocks in its inventory, 15KV 500 KCMIL Primary Copper Cable for use by the Electric
Division for various projects throughout the city. As the Electric Division supplies electric service to its
customers, underground copper cables are used from inventory in the City’s Central Stores Warehouse.
One such project currently under way is the Amforge Circuit Extension, where approximately 7,075
circuit feet of 500 KCMIL Copper Cable is required to complete that circuit. This action approves the
purchase of the copper cable, and will ensure that inventory levels are maintained so that no delays are
experienced when additional copper cables are required.
RECOMMENDATION:
Staff recommends that the City Council take the following action:
1)Approve the issuance of a purchase order to Wesco Distribution in an amount not to
exceed $254,406.
ANALYSIS:
Underground copper cables are essential to providing electric service to the City’s customers. These
cables must constantly be kept in stock to avoid delays in the progress of projects such as the Amforge
Circuit Extension. Cables are stored as inventory under the Purchasing Division and are released when
utilized by the Electric Division. The cost to purchase this item exceeds the City Manager’s authority,
thus, City Council approval is required.
To ensure that the City is not overpaying, the Purchasing Division solicited formal sealed bids to
suppliers. Three bids were received, and a formal bid opening was conducted on October 29, 2018, in
the Office of the City Clerk.
APPROVED
CITY COUNCIL
11/5/2018
Purchase of Underground Cable
November 5, 2018
Page 2
The results are listed below, in terms of total cost, inclusive of sales tax and freight charges.
Vendor Location Cost Lead Time
Wesco Distribution Cerritos, CA $254,406.00 15 Weeks
One Source Distributors Garden Grove, CA $258,976.74 14-15 Weeks
Anixter Inc. Corona, CA $261,450.99 6-8 Weeks
FISCAL IMPACT:
The total cost of $254,406 for the copper cables will be purchased under Stores Inventory Account
Number 33-00-000-000-1601, and as it is checked out will be charged to Light Division Account
Number 33-40-733-670-7145 with the appropriate project numbers.
Prepared by: Fiscal Impact Review:
Tony Garcia Talika M. Johnson
Purchasing Buyer Director of Finance
Reviewed and Approved:
Sergio Gonzalez
City Manager