File #: 20-0454R    Name:
Type: Resolution Status: Passed
File created: 5/15/2020 In control: Public Works and Utilities
On agenda: 5/26/2020 Final action: 5/26/2020
Title: RESOLUTION AUTHORIZING A CONTRACT WITH PARSONS ELECTRIC LLC, FOR THE CONSTRUCTION OF THE DULUTH ENERGY SYSTEMS HOT WATER CONVERSION SYSTEM BALANCE OF PLANT ELECTRICAL UPGRADES IN AN AMOUNT NOT TO EXCEED $572,966.

Title

RESOLUTION AUTHORIZING A CONTRACT WITH PARSONS ELECTRIC LLC, FOR THE CONSTRUCTION OF THE DULUTH ENERGY SYSTEMS HOT WATER CONVERSION SYSTEM BALANCE OF PLANT ELECTRICAL UPGRADES IN AN AMOUNT NOT TO EXCEED $572,966.

 

Body

CITY PROPOSAL:

RESOLVED, that the proper city officials are authorized to contract with Parsons Electric LLC, for the electrical upgrades to support the steam to hot water conversion system at the Duluth Energy Systems (DES) plant in an amount not to exceed $572,966, payable from fund 540-920-1499-5530 (Steam; Steam Department; Steam Non-Operating; Improvements Other Than Buildings).

 

Statement of Purpose

STATEMENT OF PURPOSE:  This resolution authorizes a contract with Parsons Electric LLC for electrical upgrades to support the installation of a skid-built packaged steam converter system (SCS) in the DES Plant for an amount not to exceed $572,966.

 

Duluth Energy Systems is undergoing a conversion from a steam-based district energy distribution network to a hot water-based district energy network. The current once-through steam distribution network under Superior Street in downtown is being replaced with supply and return hot water piping.  The SCS supplied and installed under a previous contract will handle steam and condensate to transfer heat from the steam system to the hot water system; returning the sub-cooled condensate back to the Plant’s atmospheric non-pressurized condensate surge tank.  This contract covers electrical upgrades to power the SCS and provide a completed system.

 

Purchasing issued an Invitation for Bids on April 27, 2020 and received five responsive bids.  The bid received from Parson Electric LLC was the lowest responsive bid.

 

Company                                                                                                           Bid Total

Parsons Electric LLC                                                                                    $572,966

Hunt Electric Corp                                                                                    $654,000

Belknap Electric                                                                                    $691,125

Corval Constructors, Inc.                                                               $764,649

Benson Electric                                                                                    $797,000