Title
Approval of Amendment No. 2 to Services Agreement No. AGR17-914 with Alpha Southwest, Inc. in the amount of $649,886.00 for the Purpose of Inspection, Repair, and Ancillary Services on County Well and Booster Pumps.
Recommended Action
I move that the Board of Public Utilities approve Amendment No. 2 to Services Agreement No. AGR17-914 with Alpha Southwest, Inc. in the amount of $649,886.00, for a revised total agreement amount of $1,100,000.00, plus applicable gross receipts tax, and to extend the contract term two years for the purpose of Inspection, Repair, and Ancillary Services on County Well and Booster Pumps, and forward to Council for approval.
Staff Recommendation
Staff recommends approval of the agreement per the motion as presented.
Body
The DPU has, over the past four years, been consistently in need of the maintenance activities provided by this agreement with Alpha Southwest: pulling a deep well turbine pump out of the well and inspecting the well and pump equipment to see if any repairs and/or replacement of equipment is necessary. Sometimes the well itself needs servicing by chemical cleaning and agitation and usually the well pump requires repair or replacement. The DPU's wells are long term investments. The financial useful life of a well station (well + pump and control equipment) is estimated at 50 years, however, with good O&M practices a well can provide useful service well beyond that life span. The average age of the 12 existing well stations in the DPU system is 34 with the three oldest well stations being 55/56 years in the ground. The original contract amount ($150,114) only covered a single well pump pull that had already been scheduled. Amendment No. 1 added $300,000 (total $450,114) to the contract amount and this amount has been spent down over the past few years to where the remaining funds in the contract would not cover pulling and refurbishing the pump from even our shallowest well station. Amendment No...
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