Staff recommends approval of the proposed Agreement with PowerSecure to perform annual switchgear maintenance and five year extended warranty for 8 previously installed switchgear locations.
This Distributed Generation project is performing as anticipated and is playing a significant role in the Department’s objective of reducing the wholesale power supply costs by reducing the Demand billing determinant during the monthly Coincident Peak hour. During the three months the generators have been available for service and deployed (January – March 2010), the distributed generation has reduced Leesburg’s power supply bill by more than $200,000.
To maintain operational readiness for both an automated emergency generator role as well as the distributed generation benefit it provides, staff recommends that Power Secure be contracted to perform the recommended semi-annual inspection and maintenance activities.
Similarly, because of the high reliance Leesburg has placed on these resources and to mitigate the high cost of repair in the event of a major malfunction, staff recommends Leesburg purchase the 5-Year Extended Warranty.
1. Approve the Agreement with PowerSecure; or
2. Such alternative action as the Commission may deem appropriate
The annual maintenance agreement will cost $23,000.00 and the 5-year exended warranty will cost $70,000.00 for the 8 generators. Although costs were not specifically budgeted funds are available in the Reserve for Future Use account of $1,259,266.50. Use of these funds will require a budget adjustment.
Prepared by: ______________________
Attachments: Yes____ No ______
Advertised: ____Not Required ______
Attorney Review : Yes___ No ____
Reviewed by: Dept. Head ________
Finance Dept. ______JB__________
Deputy C.M. ___________________
City Manager ___________________
Account No. _041-1062-531-3410___
Project No. ___________________
WF No. ______________________
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT WITH POWERSECURE FOR ANNUAL MAINTENANCE AND 5 YEAR EXTEDED WARRANTY FOR EIGHT PREVIOUSLY INSTALLED EMERGENCY GENERATOR SWITCHGEARS; AND PROVIDING AN EFFECTIVE DATE.
BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:
THAT the Mayor and City Clerk are hereby authorized to execute an agreement with POWERSECURE whose address is 1609 Heritage Commerce Ct., Wake Forest, NC 27587 for the installation of new switchgear, an annual maintenance agreement and a 5-Year Extended Warranty.
THAT this resolution shall become effective immediately.
PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the 10th day of May 2010.