TITLE
Recommendation to adopt resolution authorizing City Manager, or designee, to execute all documents necessary to amend Contract
No. 34272 with Pacific Rim Automation, Inc., of Huntington Beach, CA, to expand the scope of work to include providing natural gas distribution system telemetry support, software and hardware updates, and associated services for Long Beach Gas and Oil, and increase the contract amount by $1,109,430, for a total contract amount not to exceed $1,801,540, for a period ending April 30, 2020. (Citywide)
DISCUSSION
City Council approval is requested to amend Contract No. 34272 with Pacific Rim Automation, Inc. (Pac Rim) by increasing the contract amount by $1,109,430, and adopt a resolution to include natural gas services for Long Beach Gas and Oil (LBGO), for a revised total contract amount not to exceed $1,801,540.
On March 22, 2016, the City Council adopted a Resolution to execute a contract with Pac Rim to provide annual storm drain pump station monitoring, telemetry, system software updates, and electrical/control equipment services. The City is responsible for the operation and maintenance of 22 storm drain pump stations located throughout the City. Monitoring of pump stations is done remotely through a Supervisory Control and Data Acquisition (SCADA) telemetry system, which has the capability of providing system alarms and remote control of pumps. The SCADA system must be monitored on a 24- hour basis and alarms responded to in a timely manner. In addition, system software must be updated on a regular basis, and pump control equipment and electrical systems must be serviced every 30 days to ensure pumps remain operable.
Long Beach Gas and Oil (LBGO) is requesting the City Council adopt a Resolution to expand the existing contract with Pac Rim to support LBGO's SCADA system. Pac Rim developed, installed, programmed, and has maintained and upgraded the SCADA system since inception in 1997. Pac Rim possesses intimate knowledge of the SCADA system programming and Human Machine Interface. LBGO has, in turn, invested significant employee time and resources toward interacting with the PRA system. The uniqueness of the system and costs associated with switching vendors would negatively impact LBGO's requirements under U.S. Department of Transportation (DOT) regulations. LBGO is required by the DOT to continuously monitor system pressure, corrosion control systems and gas quality. The DOT also requires LBGO to respond to gas system alarms promptly, on a 24-hour basis. Since the installation in 1997, Pac Rim has been maintaining and upgrading the SCADA regularly through the issuance of annual, sole source, purchase orders.
City Charter Section 1801 requires that contracts for City purchases be awarded to the lowest responsible bidder after a competitive bid process, but allows for awards without a competitive bid process if accompanied by a Resolution adopted by the City Council.
Of the additional $1,109,430 requested, $434,430 will be allocated to LBGO for the expanded scope of work. Due to the recent storms, the remaining $675,000 in authority will be allocated to the Public Works Department and used for requests for service associated with emergency services calls, repairs to pump station equipment, and updates to the telemetry system as all of the Department's contract authority was used for storm response.
This matter was reviewed by Deputy City Attorney Richard F. Anthony on May 8, 2017 and by Budget Analysis Officer Julissa Jose-Murray on May 5, 2017.
TIMING CONSIDERATIONS
City Council action is requested on May 23, 2017, to allow for timely payment to the vendor for the services rendered for emergency storm response, pump station repairs, and updates to the telemetry system.
FISCAL IMPACT
The requested action increases the total contract authority by $1,109,430, for a revised contract amount not to exceed $1,801,540 for the period ending April 30, 2020. Sufficient funds to support the increased authority are budgeted in the General Fund (GF) and Capital Projects Fund (CP) in the Public Works Department (PW), and in the Gas Fund (EF 301) in the Long Beach Gas and Oil Department (GO). There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
BODY
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Respectfully Submitted,
CRAIG A. BECK
DIRECTOR OF PUBLIC WORKS
ROBERT DOWELL
DIRECTOR OF LONG BEACH GAS AND OIL
APPROVED:
PATRICK H. WEST
CITY MANAGER