HomeMy WebLinkAboutE-13 Staff Report - Purchase of Underground Copper Cables with CED IncCONSENT ITEM
E-13
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
VIA: SERGIO GONZALEZ, CITY MANAGER
FROM: TALIKA M. JOHNSON, DIRECTOR OF ADMINISTRATIVE SERVICES
DATE: NOVEMBER 18, 2019
SUBJECT: PURCHASE OF UNDERGROUND COPPER CABLES #2/0, #4/0, #350 MCM AND
#500 MCM
BACKGROUND:
The City stocks as inventory, underground copper cables #2/0, #4/0, #350 mcm and #500 mcm for the
use by the Electric Division for various projects throughout the city. As the Electric Division supplies
electric service to its customers, underground copper cables #2/0, #4/0, #350 mcm and #500 mcm are
used from inventory in the City’s Central Stores Warehouse. This action approves the purchase of
underground copper cables, and will ensure that inventory levels are maintained so that no delays are
experienced when cable is required.
RECOMMENDATION:
Staff recommends the City Council take the following action:
1)Approve the issuance of a purchase order to Consolidated Electrical Distributors, LLC in an
amount of $136,332.10 for the purchase of underground copper cables.
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 service as they have a standard lead-time of
ten (10) to twelve (12) weeks. Cables are stored as inventory under the Purchasing Division and are
released when utilized by the Electric Division. The cost to purchase these items exceeds the City
Manager’s authority, thus, City Council approval is required.
APPROVED
CITY COUNCIL
11/18/2019
Purchase Underground Copper Cables #2/0, #4/0, #350 mcm and #500 mcm
November 18, 2019
Page 2
The purchase of Underground Copper Cables are exempt from bidding under Azusa Municipal Code
Section 2-517 (37) – Solicitation and bidding exemptions; Electric Transformers, primary and secondary
copper cable, electric switches and controllers. Staff did, however, bid amongst the three largest
vendors and Consolidated Electrical Distributors, LLC was the lowest bidder. Staff is requesting
approval to purchase the underground copper cables with the lowest bidder at the time, Consolidated
Electrical Distributors, LLC for $136,332.10.
FISCAL IMPACT:
The total cost of $136,332.10 for the underground copper cables will be purchased under Stores
Inventory Account Number 33-00-000-000-160. The cables will be charged to the Light Division once
checked out with the appropriate account number.
Prepared by: Reviewed and Approved:
Adriana Garcia Talika M. Johnson
Purchasing Agent Director of Administrative Services
Reviewed and Approved:
Sergio Gonzalez
City Manager