REPORT TO THE CITY COUNCIL December 12, 2019 FROM: SCOTT MOZIER, PE, Director Public Works Department THROUGH: WILLIAM HERR, Assistant Director Public Works Department, Facilities and Construction Management Divisions BY: ROBIN O'MALLEY, Public Works Manager Public Works Department, Facilities Management Division SUBJECT ..Title Actions pertaining to the City Hall Electrical System Bus Duct and associated repairs: 1. Adopt a finding of Categorical Exemption per staff's determination, pursuant to Section 15301(b) and 15301(d) of the CEQA Guidelines 2. ***RESOLUTION - Declaring an Urgent Necessity for the Preservation of Life, Health, Property, and Authorizing the Purchasing Manager of the Finance Department or Designee to Contract for the Replacement of the City Hall Electrical System Bus Duct and Associated Repairs Without Advertised Competitive Bidding to A-C Electric Company (District 3) (Subject to Mayor's Veto) (Requires 5 votes) 3. Award a contract to A-C Electric not to exceed $400,000 ..Body RECOMMENDATIONS Staff recommends that City Council declares an urgent necessity for the preservation of life, health, property and authorizes the Purchasing Manager of the Finance Department or designee to contract for the replacement of the City Hall electrical system bus duct and associated repairs without advertised competitive bidding to A-C Electric Company at a cost not to exceed $400,000. EXECUTIVE SUMMARY The Department of Public Works is seeking a declaration of urgent necessity and authorization for the Purchasing Manager, or designee, to contract for the replacement of the City Hall electrical system bus duct and associated repairs without advertised competitive bidding to A-C Electric Company at a cost not to exceed $400,000. The bus duct failed and burned and City Hall is currently operating on rented emergency generator power. Without the emergency replacement of the bus duct, the need for the emergency generator will extended by several weeks at great cost. BACKGROUND On December 1, 2019 the electrical system bus duct failed and burned resulting in loss of electricity to City Hall. A temporary generator is being used to power the building. The bus duct needs to be replaced and is a custom item. It has been determined that A-C Electric Company can most cost effectively provide the services and materials necessary to perform this repair, due to the fact that they have a sub-contractor who will rebuild the bus duct in a relatively short amount of time. Further delays could have a serious financial impact due to the cost of the temporary generator being $9,000 per day, $23,600 per week or $61,280 per month. Replacement of the bus duct will take an estimated three weeks, and the delays inherent in advertising for bids will unacceptably delay commencement of the repair several additional weeks. ENVIRONMENTAL FINDINGS Staff has performed a preliminary environmental assessment of this Project in accordance with the requirements of CEQA and has determined that this Project is exempt under Class 1, Section 15301(b) (Existing facilities of both investor and publicly-owned utilities) and Section 15301(d) (Restoration or rehabilitation of deteriorated or damaged structures, facilities, or mechanical equipment to meet current standards of public health and safety), because this Project involves the rehabilitation of an existing structure. LOCAL PREFERENCE Local preference was not implemented because this award is an emergency purchase. However, A-C Electric Company, qualifies as a local business pursuant to the Fresno Municipal Code Section 4-108(d). FISCAL IMPACT There is no immediate impact to the General Fund. Funding is available in the FY20 Facilities Management operating budget and will be reimbursed through a Risk Management claim. Cost shares for the various General Fund, Enterprise and Special Revenue departments and divisions housed in City Hall will be determined at a future date and allocated through the budget process. Attachment: Resolution